Govt approaches NCLAT, seeks power to attach properties of persons involved in PNB scam

The Government has approached the National Company Law Appellate Tribunal (NCLAT) seeking modification of an NCLT order so that it can attach the properties of those involved in the $2 billion PNB fraud.

In a petition, the corporate affairs ministry has also sought to invoke powers including the removal of the management and recovery of undue gains.

The plea seeks modification of the order passed by the Mumbai bench of the National Company Law Tribunal (NCLT) by adding sections such as 241, 242, 246 read with 339 of the Companies Act. A two member bench of NCLAT headed by Chairman Justice S J Mukhopadhaya has directed the matter to be listed on April 23.

The tribunal has also directed the government to come along with an application for condonation of delay as it had approached beyond the permissible period.

“Interim order dated February 23, 2018 passed by the NCLT bench Mumbai be modified to the extent that it be declared to be passed under section 221, 241, 242 read with 339 of the Companies Act, 2013 and not just under section 221 of the act,” the government said in the petition filed before NCLAT. According to the government, addition of the above mentioned sections would “ensure effective implementation” of direction issued by NCLT.