CUTTACK | Jul 28, 2015: In a partial relief, the Orissa High Court on Monday allowed two mining companies of the State -- Indrani Patnaik & Co. and Triveni Earthmovers & Transport Company -- to operate their bank accounts which were made inoperational by the Enforcement Directorate (ED) in May this year.
A Division Bench of the High Court headed by Chief Justice D. H. Waghela, however, in the interim order asked the two mining companies not to liquidate their fixed deposit accounts till the petitions in the High Court are disposed off.
According to sources, both the mining companies have fixed deposits to the tune of Rs.250 crore, which shall be treated as bank guarantees, pending disposal of the cases.
Following raids and seizure of bank accounts by the ED on account of the ongoing probe into the mining scam in the State, the two companies had moved the High Court challenging the ED action. Terming the ED action as “uncalled for since the State vigilance directorate has already begun investigating into the matter”, the mining companies had urged the Court for appropriate directions to the ED.
It may be mentioned that following the Shah Commission report, the ED had earlier this year registered cases against the mining companies. The same mining companies were also booked by the State vigilance directorate on allegations of excessive production thereby causing pecuniary loss to the State exchequer.
(Source: http://www.thehindu.com/)