Delhi HC directs DMRC to provide bank account details on DAMEPL’s plea

“DMRC is directed to furnish the details of bank accounts in Delhi or outside Delhi. The affidavit will also mention how much amount is lying in a particular account,” the court ordered.

Justice Suresh Kait said that DMRC has 1,642.69 crore are available in its bank accounts, and said that if DAMEPL does not want to accept the corporation’s proposal to take over its loans to the extent of adjudication, the court cannot compel it to do so.

“(Says DAMEPL) if it has money in escrow account, then at least it can bargain with banks for restructuring etc. Let’s say it gives you total liabilities, to pay lenders, It will lose its bargaining power. It is a decree holder; you (DMRC) are indebted to the judgment. If your offer is accepted, it doesn’t matter… but when it is not accepting it, it The court cannot compel you to accept as such,” the judge said.

The judge observed that attachment of DMRC’s properties was not permitted, but there was no such restriction in respect of its bank accounts.

The order comes after DAMEPL refused to accept DMRC’s proposal to negotiate directly with banks and repay the intermediary prize money.

Advocate Prateek Seksaria, appearing for DAMEPL, submitted that its lenders have rejected DMRC’s proposal to take care of its liabilities and argued that no special treatment can be given to the government in the present execution proceedings.

He argued that the government should “set an example” by paying the award instead, adding that even after the DMRC has submitted 1,000 crore in escrow account, more There were still Rs 6,000 crore outstanding. They also submitted that DAMEPL is entitled to the benefit of the amount provided in the arbitration proceedings as well as “any surplus” that can be used for restarting its businesses.

He also relied on the DMRC’s affidavit, which stated that the corporation was liquidated. 5,800 crore in his bank accounts on December 17, with 1,642 crore its earnings and more 2400 crore and 1,700 crores is its Project Allocation Fund and Deposit Fund respectively.

He demanded that at least the sanctioned income of DMRC should be directly appropriated for the execution of the award.

However, this was opposed by Tushar Mehta, Solicitor General for DMRC, who submitted that he had no direction with regard to the respective banks rejecting the proposal and reiterated that the corporation would take the loans of DAMEPL to the extent of award and the lenders. will talk with. be in the public interest.