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Rediff.com  » Business » Jignesh Shah-led firm objects to property attachment by EOW

Jignesh Shah-led firm objects to property attachment by EOW

July 19, 2016 21:59 IST

The NSEL scam, involving Rs 5,600 crore, came to light after the now defunct exchange, promoted by Financial Technologies, failed to pay its investors in commodity pair contracts after July 31, 2013.

Jignesh Shah-promoted 63 Moons Technologies on Tuesday said it strongly disapproved the action of Mumbai Police's Economic Offences Wing to attach immovable properties of the company valued at Rs 2,000 crore (Rs 20 billion) and will seek legal remedies to protect its shareholders' interest.

The company, in a statement here, said it had learnt about the attachment of properties through a letter written by EOW to them.

63 Moons Technologies ((formerly Financial Technologies (India) Ltd) said it was a listed company having around 63,000 shareholders and about 1,000 employees.

"We will take all legal remedies to protect their interest. There is no legal basis for the said action and we will be moving court soon," the statement said.

Last week, a Special Prevention of Money Laundering Act (PMLA) Court sent Shah to judicial custody till August 1 in the National Spot Exchange (NSEL) payments default case.

The NSEL scam, involving Rs 5,600 crore, came to light after the now defunct exchange, promoted by Financial Technologies, failed to pay its investors in commodity pair contracts after July 31, 2013.

EOW later probed the scam and made a series of arrests. 

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