HC vacates stay order on CBI, ED probe
The Hindu
Telangana High Court has vacated the order staying investigation by the CBI and the Enforcement Directorate against the bank accounts (which were declared fraud accounts by the Reserve Bank of India)
Telangana High Court has vacated the order staying investigation by the CBI and the Enforcement Directorate against the bank accounts (which were declared fraud accounts by the Reserve Bank of India) of some private companies.
This paved way for continuation of the probe by the CBI and the ED authorities into the bank transactions of noted companies like Coastal Projects, Ind-Barath, Transstroy, VNR Infra and VMC Systems. The stay vacation order was passed by a bench of Chief Justice Satish Chandra Sharma and Justice N. Tukaramji.
The RBI on July 1, 2016 issued a master circular under section 35-A of Banking Regulation Act declaring bank accounts of the companies as fraud. Challenging this circular, owners of the companies moved the HC.
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