HC confirms SFIO's power under Section 212 to investigate company assets despite procedural objections

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....The HC upheld the Company Court's jurisdiction under Section 212 of the Companies Act, 2013, to direct the SFIO to investigate the affairs of the company despite the appellant's contention of lack of statutory authority. The court accepted the learned Administrator's findings of systematic misappropriation of assets by the promoters and recognized the necessity of SFIO's inquiry, especially given the complexity and opacity of related entities' asset disclosures. Although acknowledging procedural concerns regarding the commencement of proceedings amid a status quo order, the HC prioritized the substantive need for investigation due to serious allegations and government concurrence. Consequently, the appeals were dismissed, and the SFIO was directed to complete its preliminary investigation within two months and submit the report to the Company Court for further hearings.....