Non-bailable warrant issued against Union Minister in a loan default case
Hyderabad: A local court today issued a non-bailable warrant against Union Minister Y S Chowdary as he "failed" to appear before it in connection with a criminal complaint filed by Mauritius Commercial Bank Ltd.
The XII Additional Chief Metropolitan Magistrate (Nampally, Hyderabad) issued the warrant against Chowdary, the Union Minister of State for Science and Technology. Mauritius Commercial Bank Ltd had filed the complaint in the court accusing Chowdary and others of "defaulting in repayment of loan of Rs 106 crore".
The bank had submitted that it had lent Rs 100 crore to Heistia Holdings Ltd, a subsidiary of Sujana Universal Industries Ltd, and had secured a decree from a London court. Chowdary is now a Non-Executive Director of Sujana Universal Industries Ltd.
According to the counsel of the Bank, the company stood as guarantor for the loan availed for Heistia Holdings Ltd, which is its subsidiary and the company has to repay Rs 106 crore to it. Subsequently, the Bank had filed several litigations against Sujana Universal Industries Ltd.
In the past, Chowdary had been asked to remain present in the court after issuing summons based on the criminal complaint. However, Chowdary "failed" to remain present before the court on three successive occasions.
"We submitted before the court today that the minister was taking excuses and flouting the orders of the court on a regular basis. We also argued that this was a fit case for issuance of NBW as the accused was evading the process of the court and the court was pleased to issue non-bailable warrant against the minister," Sanjeev Kumar, Partner Luthra & Luthra Law Offices, a Delhi-based law firm that is representing the Mauritian Bank, said in a statement.
On the other hand, a statement issued by Y S Chowdary said "I have been just informed that a NBW has been issued against me by the Court of the XII Additional Chief Metropolitan Magistrate (Nampally, Hyderabad). Owing to pressing public duties in public interest, I was unable to appear on the previous dates. I have the highest regard for the judiciary and never had any intention to evade or avoid appearing in the court. The orders of the court will be complied with." The matter has been posted for hearing on April 26.