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Union minister Prabhu appears in court in scam case

Sandesh Prabhudesai in Panaji

Everybody thought he had flown down from Delhi to felicitate Advocate Uday Bhembre, noted Konkani writer, thinker and journalist, until he was then seen entering the court building and appearing before the judge as an accused in a multi-millionrore financial scam.

Suresh Prabhu, Union Minister for Chemicals and Fertilisers, finally appeared before the JMFC in Margao, failing which the court could have issued a warrant to arrest him. He has been avoiding the summons for quite a few months now.

He is facing a serious charge of duping several Goans to the extent of Rs 120 million as the former chairman of Western India Financial Services Limited, which wound up its business within one year in 1997 while the depositors' cheques got bounced.

This is a recent case filed by some investors from Margao while several other cases are still pending in other courts, mainly in Panaji. In fact, a case is presently pending in the high court, challenging the order of the district and sessions court dropping Prabhu's name from the case on technical grounds.

The investors are irked with the court judgement since the grounds on which Prabhu's name was dropped were never placed before the court for arguments due to which their counsels could not even counter it.

The investors feel lost because Prabhu is the only director of the WIFSL who is available. The banker-turned-politician is the elected MP and holding Union minister's position in the central government. His other former colleagues, Nandan Gadgil, Brijbhushan Nagpal and Narendra Kumar are still told to be absconding.

Although Prabhu had requested the JMFC in earlier cases to recall the process against him as he had resigned in May 1996, the form 32 he produced was neither dated, signed nor stamped by the Registrar of Companies. The investors had, however, produced a certified copy of the RoC, stating that he had resigned in March 1997.

Yet another case has been filed in the Margao court now while the Panaji-based investors are waiting for their petition to come up in the high court. Prabhu, while appearing before the Margao JMFC, has asked for exemption from further hearings.

Business

Goa