Following the precedent set by the Supreme Court in the 2G scam case, the Madras High Court Bench here has decided to personally monitor official action to be taken against SUS Bankers, a private finance company based in Kanyakumari district, for having allegedly cheated hundreds of depositors to the tune of several crores of rupees in 2005.
Justice D. Hariparanthaman took the decision after expressing dismay over the snail’s pace at which government officials had acted in the matter of attaching the properties of the finance firm and taking into consideration the “pitiable condition of the depositors whose money had not been settled even after 10 years since the issue came to light.”
Passing interim orders on a civil appeal, the judge pointed out that the case related to SUS Bankers had reached the Supreme Court in 2005 itself. Then, the company got itself bailed out of the issue by informing the apex court that it owned as many as 37 immovable properties and that it would be able to settle all claims even if it sells just two of those properties.
ADVERTISEMENT
Hence, the court passed an order on January 8, 2007 appointing the Registrar of Madras High Court to dispose of the two properties identified by the company. But the Registrar could not sell those properties for one reason or the other. The State Government too slept over the matter until December 17, 2009 when an interim order was passed attaching 18 properties worth Rs.25 crore.
Another Government Order was passed on June 4, 2012 attaching 16 other properties. “It is a sorry state of affairs that though the interim attachment order was passed as early as in 2009, no application was filed by the competent authority for making the attachment absolute so as to sell the properties and settle the claims of the depositors,” the judge said.
Observing that the finance company too had “used the courts as a tool to drag on the matter,” the judge directed the government officials concerned to submit before the court by Monday all relevant documents related to the action initiated so far against the company.
ADVERTISEMENT
The Special Court for hearing cases booked under Tamil Nadu Protection of Interest of Depositors (in Financial Establishments) Act, 1997 was also to ordered to file a report on the issue in order to enable the court to pass further orders.
Judge expresses dismay over State action on the issue