Court issues notice to liquidator in Loop's winding up process

A special court today issued notice to an official liquidator, appointed by the Bombay High Court to deal with the issue of winding up of Loop Mobile India Ltd, which is facing trial along with others in a case arising out of the 2G spectrum scam probe.
Special CBI Judge O P Saini allowed the plea filed by Loop Mobile India Ltd which said that a notice might be issued to Mumbai-based official liquidator Pratiba Ramaswamy to enable her to take necessary steps on the issue as per law.
Senior advocate Dayan Krishnan, appearing for the firm, told the court that the company has been ordered to be wound up by the Bombay High Court through its February 13 order and Ramaswamy has been appointed as official liquidator.

Responding to the plea, special public prosecutor Anand Grover said a notice was required to be issued to the official liquidator to enable her do the needful in the matter.
"After hearing the parties and going through the application, prayer is allowed. Notice be issued to the official liquidator for July 20, 2015, as prayed by both parties," the court said.
The court is currently hearing final arguments in the case in which Essar Group promoters Ravi Ruia and Anshuman Ruia, Loop Telecom promoters, Kiran Khaitan, her husband I P Khaitan and Essar Group Director (Strategy and Planning) Vikash Saraf are facing trial, along with three telecom firms, Loop Telecom Ltd, Loop Mobile India Ltd and Essar Tele Holding Ltd (ETHL).

CBI had earlier alleged that Essar Group of companies had created a "corporate veil" through a web of firms to "conceal" its actual holding in Loop Telecom Ltd to "circumvent" the guidelines of Unified Access Services Licences (UASL).

It had argued that Loop Telecom Ltd was "used" by Essar Group to acquire 2G licences by "circumventing" procedures.
The five individual accused, who are out on bail, have denied the charges levelled by CBI.
CBI had chargesheeted the accused on December 12, 2011, alleging they had cheated Department of Telecommunication by using Loop Telecom as a "front" to secure 2G licences in 2008.

On May 25, 2012, the court had framed charges against all the accused under section 120-B (criminal conspiracy) read with section 420 (cheating) of the IPC, while the charge of cheating was made out only against Saraf.