Relief comes for NSEL : HC orders defaulting firms to deposit Rs 157.5 crore

NSELA sigh of relief has come for NSEL lately which has been in muddy waters lately. The firm has won its case against the defaulting companies . The Bombay High Court on Wednesday (Feb 3) ordered the defaulting companies to deposit a sum of Rs 157.5 crore within a month.

A division bench has directed defaulting trading members  to deposit Rs 12.5 crore and Rs 145 crore, respectively, with the HC within four weeks. This is based on admissions of liability made by them.

Justice V M Kanade, who headed the bench, said that if any sum has been deposited earlier in the High Court, it can be deducted from these amounts.

The order was delivered on an appeal filed by defaulting companies against a decree in favour of NSEL, lawyer of the spot exchange Ameet Naik told PTI.

The total amount secured for recoveries stood at Rs 4515.93 crore, of which Rs 1233.02 crore is by way of decree, an NSEL release said.

The exchange has been facing Rs 5,600-crore payment default involving around 13,000 investors across the country. Aggrieved investors have moved the High Court to recover their monies.

A Special Court formed under Maharashtra Protection of Investors Deposits (MPID) Act recently ordered sale of property of a defaulting member of NSEL, Mohan India Group, worth about Rs 350 crore.

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  • Rohan rathore

    That’s great. A ray of hope for the people caught up in this chaos. Seems like the crisis will be resolved soon as the brokers are under investigation of SEBI

  • Deepak Ahuja

    This was much needed to serve justice in this issue. A well appreciated decision by the GOI and a great lesson for the brokers who indulge in such deceiving activities.

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