FPA-FE-47/MUM/2014 of Shri Murarilal Mittal v/s The Special Director Directorate of Enforcement, Kolkata

1. 1.

   Whether issuance of corporate guarantees without upfront equity remittance violates FEMA regulations when local law permits deferred payment and registrars confirm shareholding.

2. 2.

   Whether the impugned penalty is arbitrary, disproportionate, and violative of Article 14 of the Constitution given the absence of illegal gain.

3. 3.

   Whether the liability of non-executive and independent directors arises for the corporate guarantee transaction in the absence of personal gain or mens rea.

Court

ATFP

Decided on

8 Feb 2019 · February

Case no.

FPA-FE-47/MUM/2014

Topic

Company and Corporate

1. 28 Aug 2017Order 1
2. 7 Mar 2018Order 2
3. 30 Aug 2018Order 3
4. 13 Sept 2018Order 4
5. 8 Feb 2019Order 5 — this page
6. 1 Jul 2019Order 6
7. 21 Apr 2020Order 7

Finding judgements on the same questions…