The registration of cases and the ongoing investigation against the Hyderabad-based Heera group of companies was in the interest of nearly 1,70,000 investors from within the country and abroad, who had deposited close to ₹ 5,600 crore in that group, the Hyderabad police told the Telangana High Court on Thursday.
In a counter affidavit filed by the police over a writ petition by the group owner Nowhera Shaik seeking withdrawal of all FIRs issued against her and her group of companies, they said she would slip from the clutches of law if the probe was not continued. The counter affidavit filed by CCS Assistant Commissioner of Police (ACP) M. Ram Kumar stated that the Supreme Court had declined to interfere in the matter when Ms. Nowhera Shaik had filed a writ petition in a similar matter.
Already, the Nampally police had registered a criminal case when her aides allegedly threatened the depositors, the affidavit said. Rejecting the contention of the petitioner that the police had no power to investigate cases against her companies as the issue comes under Companies Act, the ACP said the Hyderabad police were investigating cases against her under Sections 409 (criminal breach of trust) and 420 (cheating) of Indian Penal Code. Refuting the argument of the petitioner that police had no power to investigate cases against her since already the Centre’s Serious Fraud Investigation Office (SFIO) launched the probe, the ACP stated that under Section 212 (17) (b) of the Companies Act the SFIO can share any information with other law-enforcing agencies. As part of the investigation, police had identified 85 properties of the group and directors of its companies located in Telangana, Andhra Pradesh, Delhi, Maharashtra, Kerala and Karnataka States, he said. Proposals were also sent to the State government to attach these properties under section three of the Telangana Protection of Depositors of Financial Establishments Act-1999. The government had issued orders on the matter and a petition was filed in the court to attach the properties, the affidavit said.