Setback for Margadarsi: SC asks Telangana HC to conduct detailed scrutiny of deposits
The court also noted that a former High Court judge should be appointed for this purpose. The court also said that the scrutiny should be completed in two to three months.
- Andhra Pradesh
P Krishnamurthy- Updated On:9 April 2024 8:35 AM GMT
NEW DELHI: In a major setback to the Margadarsi Chit Funds Private Limited (MCFPL), the Supreme Court has made stinging observations on the illegal deposits made by the firm's financiers.
A bench comprising Justices Surya Kant and Viswanathan was hearing a petition related to irregularities in Margadarsi chit funds. Hearing the arguments in the case on Tuesday, the Supreme Court said there was a need for a detailed scrutiny of the deposits, and the matter would be referred to the Telangana High Court. The court also said that the scrutiny should be completed in two to three months.
"There should be a comprehensive scrutiny of deposits. Hasn't the money been returned to any depositors yet? The details should be collected by issuing a public notice," the court observed.
The court also noted that a former High Court judge should be appointed for this purpose.
