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2020 (2) TMI 390 - NATIONAL COMPANY LAW APPELLATE TRIBUNAL, NEW DELHIJurisdiction - siphoning of funds - power of Adjudicating Authority to direct the SFIO to investigate about the fraud or siphoning of funds, if any, committed by the Company (Corporate Debtor) - HELD THAT:- Similar issue decided in the case of LAGADAPATI RAMESH AND M/S. COMMUNE PROPERTIES INDIA PVT. LTD. & ORS. VERSUS SMT. RAMANATHAN BHUVANESHWARI & ORS. [2019 (9) TMI 1316 - NATIONAL COMPANY LAW APPELLATE TRIBUNAL, NEW DELHI] where it was held that the Adjudicating Authority was not competent to straight away direct any investigation to be conducted by the 'Serious Fraud Investigation Office'. However, the Adjudicating Authority (Tribunal) being competent to pass order under Section 213 of the Companies Act, 2013, it was always open to the Adjudicating Authority/Tribunal to give a notice with regard to the aforesaid charges to the Promoters and others, including the Appellants herein and after following the procedure as laid down in Section 213, if prima facie case was made out, it could refer the matter to the Central Government for investigation by the Inspector or Inspectors and on such investigation, if any, actionable material is made out and if the Central Government feels that the matter requires investigation through the 'Serious Fraud Investigation', it can proceed in accordance with the provisions as discussed above. Impugned order shows parties have been heard on the charges claimed by the 'Resolution Professional'. The matter remitted to the Central Government for investigation through 'Inspector' or 'Inspectors' to find out whether one or other promoter or officer or employee or any other person related to the company or companies in question have violated the provisions of Section 70 of the 'I&B Code' - The matter is referred to the Secretary, Ministry of Corporate Affairs to get the matter investigated by 'Inspector' or 'Inspectors' following the procedure in terms of Section 213 of the Companies Act, 2013 read with Section 70 of the 'I&B Code' and Section 447 of the Companies Act, 2013 or any other offence punishable under Chapter VII of the 'I&B Code'. Appeal disposed off.
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