Warrant issued against Union minister Chowdary over unpaid loans
A city court on Thursday issued a non-bailable warrant against Union minister YS Chowdary in a case of alleged default on repayment of loans.india Updated: Apr 08, 2016 13:27 IST
A city court on Thursday issued a non-bailable warrant against Union minister YS Chowdary in a case of alleged default on repayment of loans.
The XIIth Additional Chief Metropolitan Magistrate issued the NBW as the minister again failed to appear in the court despite the summons.
The minister of State for Science and Technology, Chowdary, along with others, has been accused of defaulting in repayment of loan in excess of Rs 106 crore taken from a Mauritius based bank.
Mauritius Commercial Bank filed a case against Chowdary’s Sujana Universal Industries Ltd and others.
“We submitted before the Court today that the Minister was taking excuses and flouting the orders of the Hon’ble Court on a regular basis. We also argued that this was a fit case for issuance of Non Bailable Warrants as the accused was evading the process of the Court and the Hon’ble Court was pleased to issue Non-Bailable Warrants against the Minister”, said Mr.Sanjeev Kumar, Partner Luthra & Luthra Law Offices, a Delhi based law firm that is representing the Mauritian Bank.
He pointed out that the minister chose not to appear before the court despite summons issued against him and a conditional order passed on the April 1 asking him to be present in court or face issuance of Warrants.
Chowdary, a non-executive director of Sujana Industries, earlier failed to personally appear before the court on March 22, along with the firm’s MD G. Srinavasa Raju and director Hanumantha Rao.
The bank had moved the court for the recovery of Rs 106 crore stating that the company stood as guarantor for the loan which was availed for Mauritius-based Hestia Holdings Ltd, the firm’s subsidiary.
Meanwhile, Chowdary, a member of Rajya Sabha from Andhra Pradesh, said he did not deliberately avoid the court. He said he could not appear on previous occasions due to some pressing engagements.
The Telugu Desam Party (TDP) leader said he respects the judiciary.