The Supreme Court has directed status quo on the Delhi High Court’s order for winding up the SAIL Employees Cooperative Credit Society Ltd., offering a temporary reprieve to the Society pending further hearing, media reports say.
A bench of Justices Pamidighantam Sri Narasimha and Alok Aradhe asked the parties to file their responses and listed the matter after three weeks.
The case involves around 12,520 members and approximately ?430 crore in liabilities to depositors and members, including retired and serving SAIL employees awaiting repayment of fixed deposits despite Cooperative Ombudsman orders.
The Delhi High Court had directed the Central Registrar to wind up the Society and appoint a Liquidator after noting financial deterioration and alleged mismanagement. Before the Supreme Court, the Society’s former board questioned whether adequate procedural opportunity had been provided.
The apex court indicated that the statutory winding-up process must be followed properly, while examining the High Court’s directions regarding liquidation and asset control.
