Supreme Court Grants Transfer of Funds for Compliance with Court Order

The Supreme Court dismissed an application for time extension to deposit a specified amount but allowed the transfer of funds from a London bank account to comply with the court order. The contemnors provided bank drafts and a roadmap for clearing the principal amount by a specified date. The court deferred discussion on interest payment, directing the contemnors to list unencumbered properties for public auction, emphasizing attachment of a property in Aamby Valley City, Pune, Maharashtra. The court ordered attachment of this property for realizing the entire amount, pending the next hearing, and deferred consideration of interlocutory applications.

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Issues: Compliance with court order for deposit, payment of principal sum, attachment of properties for auction.

Compliance with Court Order for Deposit:
The Supreme Court, after dismissing an application for time extension to deposit a specified amount, allowed the transfer of funds equivalent to the said amount from an account in a London bank. Subsequently, the contemnors handed over bank drafts and deposit slips to the SEBI counsel, fulfilling the court's order. The contemnors also provided a roadmap for clearing the principal amount by a specified date. Additionally, the SEBI filed an application for attaching the contemnors' properties.

Payment of Principal Sum:
The court deliberated on the payment of the entire principal sum, deferring the discussion on interest payment until after the principal amount's deposit. The contemnors were directed to list unencumbered properties for public auction by a specified date, emphasizing that the suggested properties must be free from any encumbrance. Notably, the court ordered the attachment of a property in Aamby Valley City, Pune, Maharashtra, belonging to the contemnors, as it was deemed sufficient for realizing the entire amount, despite opposition from the contemnors' counsel.

Attachment of Properties for Auction:
The court, based on submissions from the SEBI counsel and the Amicus Curiae, decided to attach the property in Aamby Valley City, Pune, belonging to the contemnors for ensuring the deposit of the amount with SEBI. This attachment was ordered to remain in force until the next hearing date. The court scheduled the matter for the next hearing and deferred consideration of interlocutory applications until then.

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