Investigation ordered against co. as director and lead manager of IPO diverted co.'s funds to its associates...

01 Sep 2019

Investigation ordered against co. as director and lead manager of IPO diverted co.'s funds to its associates...

 

Investigation ordered against co. as director and lead manager of IPO diverted co.'s funds to its associates

Comfort Intech Ltd. v. Ravi Kumar Distilleries Ltd., NATIONAL COMPANY LAW TRIBUNAL, CHENNAI BENCH

?Where petitioner being Lead Manager for IPO issue of company and respondent directors of the company had allegedly diverted IPO proceeds of the company to their associates, there existed circumstances which prima facie suggests that business of the company was being conducted with an intent to defraud its members, thus, it was necessary to investigate into affairs of company under provisions of section 213

 
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