NEW DELHI: The Supreme Court on Thursday asked Franklin Templeton Mutual Fund to conduct unitholders’ voting to get consent on winding up of the six debt schemes within one week. That said, the stay on redemptions in the mutual fund schemes will continue till further notice.
A bench of justices including S Abdul Nazeer and Sanjiv Khanna also agreed to hear an appeal filed by Franklin Templeton against the Karnataka High Court order which stopped the company from winding up its debt fund schemes without prior consent of the investors.
During the hearing, the bench observed that the issue is big and people wanted a refund.The counsel appearing for Securities and Exchange Board of India (Sebi) also submitted that the market regulator has no role in the winding up process.