Libertatem Magazine

Satyam Scam Case: Tech Mahindra Moves SC against AP High Court

Contents of this Page

Tech Mahindra has moved to the Supreme Court against the order of the Enforcement Directorate(ED) naming the company an accused in the Satyam Scam case. Section 70, Prevention of the Money Laundering Act 2002, ED is empowered to investigate where an offence under the act is committed by a company. ED has lodged a complaint in the trial court against Tech Mahindra and the same was challenged by the company in the High Court. The Single bench of the High Court ordered in the favor of the company restricting ED to investigate the same whereas a petition challenging the same was made before the divisional bench which overturned the order and stated that ED has acted within its powers and hence can frame charges, investigate and the company be made to face trial before the trail court. Senior Advocate Kapil Sibbal represented Tech Mahindra; the company raised the contention that, at the time the scam took place the company was not in existence and any charge under the Prevention of the Money Laundering Act 2002 can be made against the company. The case was filed on 8th May 2015 before the bench comprising of Justice T.S. Thakur, Justice R.K Agrawal and Justice R. Banumati where senior advocate Kapil Sibbal has made Ministry of Corporate Affairs and Ministry of Finance party to the matter. The Apex Court hearing the matter granted relief to the company and ordered the trial court defer framing of charges against the Tech Mahindra.

About the Author