HYDERABAD: Justice K C Bhanu of the AP High Court today dismissed the bail petition filed by promoter and director of Nagarjuna Finance Limited Nimesh Kampani.
The judge also dismissed the plea by Nimesh Kampani that further proceedings on the matter may be quashed. Further the anticipatory bail petitions filed by other promoters and directors of NFL, Minoo R Shroeff, A P Kurien, LVV Iyer and Sridharachary were also dismissed by the Court.
Hundreds of cases were filed against NFL and about 700 warrants were issued by courts all over the country, when the company failed to repay to its depositors since 1999. NFL former chairman K S Raju, promoter-directors CPKS Madhavan and G S Raju have been arrested in December last and were later granted bail. Interestingly Madhavan was also the CEO of Maytas group.
K S Raju and other promoters tried to take protection saying the company was sold to Mumbai-based Mahalakshmi Factoring Services in 2000. But their pleas were rejected and the AP High Court vacated its earlier stay orders which paved way for the arrest of K S Raju, Madhavan and GS Raju in December.
Of the 17 promoters and directors, about 10 were shown as absconding.