New Delhi: Bank of India has been served a notice by the National Company Law Appellate Tribunal (NCLAT) asking it to explain why action shoult not be taken against it for encashing the security deposited by realty player HDIL’s Executive Chairman Rakesh Wadhawan without the court’s permission.
Let notice be issued on ‘Bank of India’ to state as to why appropriate action should not be initiated against the officers for encashing the amount deposited by Rakesh Wadhawan, shareholder, without prior approval of this appellate tribunal and during the Corporate Insolvency Resolution Process,” said an order passed by a three-judge bench of NCLAT headed by Justice SJ Mukhopadhaya.
The NCLAT has given the bank one week time to file a reply. It has posted the matter for further hearing on 16 January.