The Hyderabad High Court has dismissed three separate appeals filed by Sujana Universal Industries Ltd against the execution of decrees passed earlier against the company.
Two appeals were against the trial court’s orders upholding the validity and executability of the decrees passed by the UK High Court in the claim filed by Mauritius Commercial Bank.
The third appeal challenged the trial court’s order directing Sujana to file an affidavit disclosing the complete details of all its assets, movable as well as immovable, including its bank accounts.
The Mauritius Commercial Bank has also filed an application before the trial court seeking the arrest and detention of the company’s director in civil prison for a period of three months for failing to comply with the trial court order regarding disclosure of assets. Orders on that application have been reserved.
The bank has also filed an application before the trial court seeking initiation of criminal proceedings against the Managing Director of Sujana for committing perjury.
It alleged Sujana’s Managing Director G Srinivasa Raju has deliberately concealed details of the company’sassets. Arguments in that matter are on and the matter is now listed before the trial court for hearing on October 15.
Guarantor for loan The Sujana Group company had stood guarantor for a group company that raised ₹106 crore and the case relates to this loan, Sanjeev Luthra, Partner at Mumbai-based law firm Luthra and Luthra, told BusinessLine .
Sujana Universal is a company in which Union Minister YS Chowdary was earlier a Director.
Further setback Last month, Sujana Universal received a major setback with the Supreme Court dismissing an SLP filed by the company. Mauritius Commercial Bank, armed with a decree amounting to ₹106 crore passed by a court in UK, had simultaneously filed a winding-up petition in the Andhra Pradesh High Court as well as an Execution Petition before the City Civil Court (Hyderabad).
The company petition was filed against Sujana for its failure to pay the admitted dues of its owned subsidiary Hestia Holdings Ltd. Sujana had guaranteed the loan given by the bank to Hestia.
In another development, a top non-banking financial institution based in Mumbai, has attached certain assets of Sujana Towers, another group company for payment default.