Trust Legal advised and represented BW BusinessWorld Media in a successful challenge when Delhi High Court permitted it to operate two bank accounts that were frozen under directions from the Enforcement Directorate.
BW BusinessWorld Media had challenged a 5 May provisional attachment order passed under section 5(1) of the Prevention of Money Laundering Act, 2002. The order was triggered by an investigation into an alleged scam at YES Bank involving its co-founder and former CEO, Rana Kapoor.
Trust Legal’s team was led by managing partner Sudhir Mishra, and comprised partners Ritwika Nanda and Petal Chandhok and associate Saurav Baveja. Pramod Dubey, an independent counsel, argued the case on instruction from Trust Legal.
Describing the ruling as “watershed”, Mishra told India Business Law Journal that it was a first for the high court. He said that this was “probably the reason why” five other parties who had petitioned the court before BW BusinessWorld Media had been unsuccessful.
The 28 May ruling was subsequently used in five other petitions that had challenged the 5 May provisional attachment order. On 10 June, the court ordered that all six petitioners would be at liberty to operate bank accounts mentioned in the provisional attachment order, subject to retaining a balance of the amount attached.