NEW DELHI: Kishore Biyani, the erstwhile promoter of Future Retail, has moved the Bombay High Court against the forensic audit on certain company transactions submitted by BDO India LLP at the behest of Bank of India.
Future Retail informed the exchanges that Bank of India had asked former promoters -- Kishore Biyani and Rakesh Biyani – to respond to findings made in the forensic audit report by BDO. Bank of India, which initiated the corporate insolvency resolution process against Future Retail in June 2022, had also sought response from the resolution professional on the findings of the report.
Bank of India had written a letter to resolution professionals of Future Retail on 22 August 2023 seeking representation from the company and erstwhile promoters on the findings of the audit report. The resolution professional – Vijaykumar V Iyer – had in its response to the BoI letter had protested against the forensic audit process citing moratorium period mandated by the Insolvency and Bankruptcy Code.
Iyer had argued that no proceedings ‘in relation to classifying the loan accounts of the corporate debtor (Future Retail) as fraudulent, including any consequences of such classification, may be undertaken by the bank during the subsistence of the prevailing moratorium’.
The RP has also pointed out in his response that the forensic audit report is in respect of transactions carried out between 1 April 2017 and 30 April 2022, and that he does not have the details of these transactions.