India Court Orders Releases Of INR6.50 Billion In Harshad Mehta Case
September 13 2011 - 9:39AM
Dow Jones News
A special court in India Tuesday allowed the finance ministry to
distribute INR6.50 billion to the income-tax department, banks and
other financial institutions from the liquidated assets of the
Harshad Mehta group of entities against pending claims.
Harshad Mehta was the prime suspect in a securities scam that
shook India's stock exchanges in the early 1990s. Mehta died in
2001 when he was still being tried for cheating, forgery and
stock-price manipulation, which allegedly led to losses of billions
of rupees to banks and financial institutions.
The court has ordered to pay INR283.4 million to the income-tax
department, INR2.60 billion to State Bank of India (500112.BY),
INR162.5 million to SBI Capital Markets Ltd. and INR3.46 billion to
Standard Chartered Bank, a government statement said.
In March, the court had ordered release of INR22 billion, from
which INR20 billion went to the income-tax department and the rest
to State Bank of India.
-By Nupur Acharya; Dow Jones Newswires; +91-22-61456117;
nupur.acharya@dowjones.com