HEMANT KANORIA Vs. BANK OF INDIA

JUDGEMENT

(1.) The writ petitioner Hemant Kanoria was a shareholder and a Director of the SREI Infrastructure and Finance Limited and a Director of SREI Equipment Finance Limited. The Bank of India (BOI), Bank of Baroda (BOB) and Union Bank of India (UBI) were part of a consortium of lenders which had given loans to the said two Companies.

(2.) The consortium of lenders, at a meeting dated March 24, 2021 of the Joint Lender's Forum (JLF), commissioned an Auditor, namely KPMG, to audit accounts of the two companies.

(3.) On October 1, 2021, the Reserve Bank of India (RBI) passed an order under Sec. 45IE of the Reserve Bank of India Act, 1934 (for short, 'the 1934 Act') for supersession of the Boards of the two Companies, appointing an Administrator. On October 4, 2021, a press release was issued by the RBI wherefrom the petitioner allegedly learnt of the supersession. On and from that date, the petitioner claims to have had no access to the affairs and records of the two companies.