Harshad's widow seeks stay on RIL share sale
Jyoti Mehta, widow of late big bull Harshad Mehta, has filed a petition before the special court trying the 1992 securities scam cases seeking a stay on the sale of over 24 lakh shares of RIL belonging to the Harshad Mehta group.
By M Padmakshan, TNN |
MUMBAI: Jyoti Mehta, widow of late big bull Harshad Mehta, has filed a petition before the special court trying the 1992 securities scam cases seeking a stay on the sale of over 24 lakh shares of Reliance Industries belonging to the Harshad Mehta group.
The petition was filed after the custodian of the special court put up an advertisement in newspapers for auctioning the shares. In the advertisements, bids were invited by November 1.
In the petition, Ms Mehta pointed out that the scheme framed by the court for sale of shares needed a critical review as the earlier sales under the scheme had caused loss of several thousand crores to the notified parties.
The scheme was challenged by several notified parties including Apollo Tyres before the Supreme Court. The Supreme Court had admitted the petition in the case of Apollo Tyres shares and had directed the concerned parties not to deal with the shares till further order. The case is still pending before the Supreme Court.
The petition also sought disclosure from the custodian on break up of the shares bunched together under the “name and style of “ Harshad Mehta group. Ms Mehta stated that there is no such group and in law there can be none and despite the protests from her the custodian continued to use such terminology.
The petition also sought to disclose the basis on which decision of sale of shares have been made.
Ms Mehta stated in her petition “The applicant is therefore filing the present application also with a view so that the issues raised therein are agitated before the honourable court which has an important bearing even on the decision of sale of the aforesaid shares of Reliance Industries Ltd whose current market value is estimated to be above Rs 742 crore”.
The petition was filed after the custodian of the special court put up an advertisement in newspapers for auctioning the shares. In the advertisements, bids were invited by November 1.
In the petition, Ms Mehta pointed out that the scheme framed by the court for sale of shares needed a critical review as the earlier sales under the scheme had caused loss of several thousand crores to the notified parties.
The scheme was challenged by several notified parties including Apollo Tyres before the Supreme Court. The Supreme Court had admitted the petition in the case of Apollo Tyres shares and had directed the concerned parties not to deal with the shares till further order. The case is still pending before the Supreme Court.
The petition also sought disclosure from the custodian on break up of the shares bunched together under the “name and style of “ Harshad Mehta group. Ms Mehta stated that there is no such group and in law there can be none and despite the protests from her the custodian continued to use such terminology.
The petition also sought to disclose the basis on which decision of sale of shares have been made.
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Ms Mehta stated in her petition “The applicant is therefore filing the present application also with a view so that the issues raised therein are agitated before the honourable court which has an important bearing even on the decision of sale of the aforesaid shares of Reliance Industries Ltd whose current market value is estimated to be above Rs 742 crore”.
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