Hyderabad: The Telangana High Court on Friday attracts the protection order previously in support of the Directors of Transstroy India Ltd.
which was founded by former MPE member TDP Rayapati Sambasiva Rao and said bank-lender banks were free to continue the company’s personal signs which allegedly discussed the Bank in RS 9,000 crore.
The court explained that the company’s promoters, which stand as a private guarantor for thousands of crores loans produced, cannot be separated from the consequences of punishment flowing from losses that are harmed.
Chief Justice of Hima Kohli and Justice B Vijaysen Reddy gave this temporary direction while hearing the application filed by Canara Bank.
Appearing for the Bank, Senior Adviser Deepak Bhattacharjee told the court that Transstroy came to the Challenging Court of Circular RBI asked all banks to declare a suspicious bank account as a fraudulent account to prevent other banks from being tricked by the same defaulters.
The previous division bench had lived in the ground so it was unfair to unilaterally state loan accounts as a fraudulent account without hearing the borrower.
“Taking advantage of this protection, transstroy prevents the trial of the National Company Law court and debt recovery court, etc.
The Supreme Court has recently decided that private guarantor cannot escape from these responsibilities,” Bhattacharjee said.
Approved the argument of Canara Bank that Personal Investment should not take advantage of temporary protection given to the company, the bench remembers its previous order and gave the freedom to the bank to continue the personal guarantor – cum-director.
The petition in the Transstroy case was submitted by Cherukuri Sridhar, Chair and Transstroy Implementing Director, who is currently in liquidation.
The bench, can be recalled, previously provided similar freedom to the CBI and the enforcement directorate to continue their investigation into loan fraud and transfer of money, etc.
The bench also heard the petition from Sabbineni Surendra from coastal projects, which have it categorized as a fraudulency account, after the company avoids payment of RS 5,000 Crore and Hima Bindu from VMC projects for default at RS 1,700 Crore loans.
It also sounds dissatisfied YSRC MP Raghu Rama Krishna Raju’s Ind-Barh Thermal Power Power Ltd which challenges the bank’s decision to declare Rs 826 Crore loans as a fraudulent account.
All of these cases were postponed until September 24.