Parivar Dairies case: committee appointed to facilitate settlement to depositors

The Madurai Bench of the Madras High Court has appointed a committee headed by a former judge of the Madras High Court Justice N. Kirubakaran to facilitate settlement of deposits in the financial fraud case involving Parivar Dairies. The CBI is conducting a probe into the case.

The accused had cheated several depositors who had deposited money in the company which they were managing. They had collected ₹49.76 crore from a total of 17,379 depositors and the entire amount was misappropriated.

Justice B. Pugalendhi appointed the committee after the petitioners: Rakesh Singh Narwaria and Ahibaran Singh, both accused in the case had agreed to settle the deposits made by the depositors. They sought the appointment of a committee to disburse the amount.

During the course of the hearing in the case, the intervenors submitted that the total deposit amount was ₹77.91 crore and the maturity amount was ₹222.02 crore. It was said that the total depositors was 45,167.

The court was informed that several depositors were not aware of the pending proceedings and many others did not know to whom they had to approach to lodge a complaint. A paper publication would be made on the proceedings so that depositors are made aware of details.

The CBI submitted that a chargesheet was filed in the case and further investigation into the case was still continuing. The accused company had cheated depositors in Tamil Nadu and Madhya Pradesh and properties were purchased in Dindigul, Chennai and Bangalore.

After the petitioners said that they would pay a sum of ₹2.50 crore, the court granted them bail with conditions. The committee headed by the former High Court judge would facilitate the settlement of deposits and would be assisted by an advocate and other staff.

A savings bank account would be created for this purpose. A mobile phone contact number and an e-mail will also be made available for the committee. The police shall also assist the committee. The accused should appear before the CBI, the court said.

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Printable version | Oct 20, 2021 7:26:25 AM |

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