TMI Blog2017 (11) TMI 662X X X X Extracts X X X X X X X X Extracts X X X X ..... of landed properties. This Court deems it appropriate to constitute a Committee headed by Hon'ble Mr.Justice N.Paul Vasanthakumar, Retired Chief Justice of the Jammu and Kashmir High Court. The Committee shall consist of two senior members of the legal fraternity, namely, Mr.B.Kumar, Mr.M.S.Krishnan, who have been assisting this Court as Amicus Curiae and also Mr.C.Manishankar, Senior Advocate and Additional Advocate General. In addition, the Committee shall include the Competent Authority under TNPID Act, namely, Additional Commissioner of Land Administration or a person nominated by the Additional Commissioner of Land Administration not below the rank of the Joint Secretary to the State Government, two nominees of the Revenue Secretary to the State of Tamil Nadu of the rank of Revenue Divisional Officer, a nominee of the Additional Director General of Police, Economic Offences Wing, not below the rank of Superintendent of Police and a nominee of the Regional Director, SEBI not below the rank of Deputy General Manager. All depositors / investors of the Company should apply to the Committee with details of their investments and documents in support of their claims within the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2 The company floated land purchase schemes, which schemes could broadly be classified as Cash down land purchase scheme and scheme of land purchase by instalments. 3 As per the aforesaid schemes, investors have entered into agreements with the company by booking land of different sizes and by starting to make payments in instalments. 4 As per the schemes, the land is to be registered in the name of investors once payment is completed. The non willing customers have the option to pre-close the scheme and get back the amount paid with interest after deduction of pre-closure charges. 5 W.P.No.8084 of 2017 has been filed by way of public interest for settlement of the dues of the investors. Pursuant to an order of this court, the Hon'ble Mr.Justice G.M.Akbar Ali, a retired Judge of this Court was appointed Commissioner for settlement of the dues of the investors. 6 The company submitted a scheme of settlement to the Hon'ble Mr.Justice G.M.Akbar Ali (Retired), the Commissioner appointed by this Court. 7 From the said scheme of settlement, it appears that the Company has collected ₹ 1137,30,45,473.00 from about 12,27,274 investors. 8 The company claims t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... been registered for offences under the TNPID Act. 16 Having regard to the complexities of the issues involved in these writ petitions, this Bench passed an order dated 2nd August 2017, appointing Mr.B.Kumar, Mr.R.Vijay Narayan and Mr.M.S.Krishnan, Senior Advocates to assist this Court as Amicus Curiae to work out the mode by which the depositors / investors of the company could be paid their dues expeditiously in the light of TNPID Act and other applicable laws, without interfering with legal / criminal proceedings against the company. 17 Mr.R.Vijay Narayan has since been appointed Advocate General for Tamil Nadu. Amicus Curiae Mr.B.Kumar and Mr.M.S.Krishnan have painstakingly studied the matter and made their recommendations which we deem appropriate to accept. We express our appreciation for the assistance rendered to this Court by Mr.B.Kumar and Mr.M.S.Krishnan, Senior Advocates. 18 Under the TNPID Act, there are two procedures. There are provisions which deal with the property of financial establishments like the Company after an FIR is registered. There are also provisions for trial and punishment of financial establishments and persons responsible for running them u ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of Chartered Accountants to carry out the task of identifying the investors, identifying the lands that have been purchased, getting the land valued and raising funds for settlement of dues of investors / depositors by actual sale of landed properties. 23 This Court deems it appropriate to constitute a Committee headed by Hon'ble Mr.Justice N.Paul Vasanthakumar, Retired Chief Justice of the Jammu and Kashmir High Court. The Committee shall consist of two senior members of the legal fraternity, namely, Mr.B.Kumar, Mr.M.S.Krishnan, who have been assisting this Court as Amicus Curiae and also Mr.C.Manishankar, Senior Advocate and Additional Advocate General. In addition, the Committee shall include the Competent Authority under TNPID Act, namely, Additional Commissioner of Land Administration or a person nominated by the Additional Commissioner of Land Administration not below the rank of the Joint Secretary to the State Government, two nominees of the Revenue Secretary to the State of Tamil Nadu of the rank of Revenue Divisional Officer, a nominee of the Additional Director General of Police, Economic Offences Wing, not below the rank of Superintendent of Police and a nominee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ll depositors / investors in full, the depositors / investors shall be paid on pro rata basis in proportion with the amounts deposited by them in the Company as substantiated by cogent documents. The FIR shall, however, be kept alive as the prosecution may have to continue if the amounts realized are not sufficient to pay the amounts due to all depositors / investors. 29 In view of the constitution of the Committee, the Commissioner earlier appointed by this Court, Justice G.M.Akbar Ali, is discharged. 30 The Committee shall give the Company and the investors a hearing. The Committee may co-opt one or two representatives of the depositors as members of the Committee, if the committee deems it appropriate to do so. Needless to mention that the Company, its Directors, both past and present as also its sister concerns and persons in the management of its sister concerns shall render full cooperation and assistance to the Committee and furnish the Committee with all relevant documents and other materials as may be required for proper implementation of this order. 31 The Committee shall function as an Administrator of the Company. 32 The Company, its Directors, its sister co ..... X X X X Extracts X X X X X X X X Extracts X X X X
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