Consumer forum rejects plea on compensation in Satyam case
Consumer forum refused to hear Satyam investors' petition seeking a compensation of Rs 4,987.5 cr, saying it is not equipped to deal with such cases.
By PTI |
NEW DELHI: The National Consumer Disputes Redressal Commission on Monday refused to hear an investor body's petition seeking a compensation of Rs 4,987.5 crore for three lakh retail shareholders of fraud-hit Satyam, saying it is not equipped to deal with such cases.
"We do not have the infrastructure to deal with such kind of petititon...CBI and CLB (are) already seized with the matter," observed a Bench of the National Consumer Disputes Redressal Commission comprising Justice K S Gupta, presiding member and Rajyalakshmi Rao, member, while rejecting the Midas Touch Investors Association's (MTIA's) petition.
Midas Touch, a consumer protection organisation, filed a petition before the Consumer Commission seeking compensation for the retail investors of Satyam who had suffered because of the accounting fraud perpetrated by the founder of the Hyderabad-based IT company, B Ramalinga Raju, for years.
"We are exploring all options to see how this can be taken forward. It is disappointing and sends a wrong message to retail investors in India and globally," MTIA Director Virendra Jain told reporters after the hearing, which lasted just five minutes.
The petition, which sought a compensation of Rs 4,987.5 crore for about three lakh retail investors of Satyam on the basis of a formula, was mentioned before the Commission by advocates Madhumita Bhattacharjee and Yeeshu Jain.
"We do not have the infrastructure to deal with such kind of petititon...CBI and CLB (are) already seized with the matter," observed a Bench of the National Consumer Disputes Redressal Commission comprising Justice K S Gupta, presiding member and Rajyalakshmi Rao, member, while rejecting the Midas Touch Investors Association's (MTIA's) petition.
Midas Touch, a consumer protection organisation, filed a petition before the Consumer Commission seeking compensation for the retail investors of Satyam who had suffered because of the accounting fraud perpetrated by the founder of the Hyderabad-based IT company, B Ramalinga Raju, for years.
"We are exploring all options to see how this can be taken forward. It is disappointing and sends a wrong message to retail investors in India and globally," MTIA Director Virendra Jain told reporters after the hearing, which lasted just five minutes.
The petition, which sought a compensation of Rs 4,987.5 crore for about three lakh retail investors of Satyam on the basis of a formula, was mentioned before the Commission by advocates Madhumita Bhattacharjee and Yeeshu Jain.
Download
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
Download
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
ADVERTISEMENT
