Indiabulls case: High court seeks government, RBI, Sebi reply

NEW DELHI: Delhi high court on Friday decided to examine the allegations, in a PIL by an NGO, of financial irregularities, siphoning of funds and other violations against the promoters of Indiabulls Housing Finance. A bench of Chief Justice D N Patel and Justice C Hari Shankar issued notice to government, RBI and Indiabulls seeking stand on the petition filed by an NGO.
The court issued notice to Sebi, National Housing Bank, the SFIO, Registrar of Companies and Sameer Gehlaut, the founder and chairman of Indiabulls group and asked them to file replies by December 13 — next date of hearing.
The bench decided to issue notice after arguments on behalf of company, represented by senior advocates Mukul Rohatgi and Abhishek Manu Singhvi, and NGO, for whom advocate Prashant Bhushan appeared.
Rohatgi urged the court not to issue notice and offered to file a response without it, saying once notice is issued, it would be appear in the news, which would affect company’s share value. The bench, however, did not agree.