SC issues contempt notice to Amrapali directors

The Supreme Court on October 11 ordered that the three directors of the embattled Amrapali Group be kept in custody for 15 days until all documents pertaining to the 46 firms are retrieved by forensic auditors. It also issued contempt notice against them for defying court orders.

While the next date of hearing has been fixed for October 24, the three directors have to respond to the contempt notice by November 20.

The directors will be confined to hotel Park Ascent in Noida 62 after 6 pm on October 12 for 15 days under police custody. They will also not have access to cell phones.

The apex court said the three will remain under police surveillance from Friday after 8 am after which they will be taken by the police to the sealed premises one by one where documents of the 46 companies will be catalogued by the forensic experts.

Forensic auditors on Thursday informed the court that it was physically impossible to sort out the documents to make a list and that only the promoters could help sort them. Also, once the list of documents has been prepared, they would require about 50 days to carry out the forensic audit.

The Supreme Court had earlier ordered the superintendents of police to seal nine properties of Amrapali Group located in Noida, Greater Noida, Buxar and Rajgir.

The company's nine properties in Noida, Greater Noida as also Rajgir and Buxar in Bihar were sealed also sealed in compliance with the court's order.

The court had also noted earlier in the week that the company had not submitted its financial documents from 2008-2015 and 2015 to 2018.

Cops took into custody all three Amrapali promoters within the court premises on October 9. “Enough of your hide and seek. You will be in police custody until you comply with the orders,” the court had said.

“You have taken the court for granted. This is a clear case of contempt. We want you to hand over all the documents to the auditors,” the court had said.

The three directors had informed the court that the documents related to Amrapali's 46 group companies were kept in seven locations at Noida and Greater Noida and two premises -- Rajgir and Buxar districts in Bihar.   The bench had then directed that after the sealing of these nine premises, the keys be handed over to the registrar of the apex court.

Last week, the Supreme Court allowed National Buildings Construction Corporation Ltd (NBCC) to float tenders for selecting the builder to complete the stalled projects of Amrapali Group.

The top court also asked the NBCC to prepare a detailed project report for pending projects within 60 days. A bench of Justices Arun Mishra and U U Lalit asked the NBCC to submit the detailed proposals along with their terms and conditions before the court and directed the existing architects of Amrapali Group of Companies to ensure cooperation with the NBCC

A bench of Justices Arun Mishra and UU Lalit asked NBCC to submit the detailed proposals along with their terms and conditions before the court and directed the existing architects of Amrapali Group of Companies to ensure cooperation with the NBCC.

The bench was informed that proceedings before the Debts Recovery Tribunal (DRT), Delhi for sale of the unsold inventory of Amrapali Group has started, valuation of properties has been ordered, and the tribunal has directed for production of original documents, sanctioned plans and other relevant documents with the company.