The Supreme Court on Tuesday extended the protection granted to Yes Bank in an FIR lodged by the Noida police and also the restraint order from transferring and exercising voting rights in Dish TV on the basis of 44.53 crore shares pledged on disbursal of Rs 5,270 crore loan in 2016-18 to Essel group and its sister concerns.
In November 2021, the apex court stayed the Uttar Pradesh Police notice restraining Yes Bank from transferring and exercising voting rights on its Dish TV shares.
A bench headed by Chief Justice D Y Chandrachud said protection, granted in November last year to the Yes Bank, can continue.
After hearing senior advocate A.M. Singhvi, representing Yes Bank, it restored the application filed under Section 482 of the Criminal Procedure Code before the high court. “Let the high court take a call,” the bench said.
The bench added that till the high court disposes the matter, the interim order passed by the apex court on November 30, 2021, staying the operation of notices and proceedings in connection with the FIR, shall continue.
In November 2021, the apex court issued notice on Yes Bank’s plea and stayed the operation of notice by the police to the bank and also any further action based on the FIR.
Yes Bank moved the apex court challenging an order issued on November 25, 2021 of a single judge of Allahabad High Court. The high court had declined to entertain the plea to quash the FIR registered in September 2020.
The police had sent the notice to Yes Bank directing the bank not to transfer the 44.53 crore shares or to exercise rights in respect of the shares till completion of investigation by the Crime Branch or further orders.
Yes Bank acquired 24.5 per cent stake in Dish TV after the promoters failed to repay their debt and banks invoked the pledged shares.
A police complaint was filed by Subhash Chandra, the founder of Essel group, against the bank and its former management led by Rana Kapoor accusing them of fraud while brokering a merger transaction between Videocon D2H and Dish TV India.