Lotus case: HC appoints receiver to take stock of inventory

The Bombay High Court has appointed a court receiver to take stock of the inventory of goods as set out in its complaint by Lotus Refineries against the troubled National Spot Exchange Ltd (NSEL), which is embroiled in Rs 5,600 crore payment crisis.
According to a statement issued by Lotus, the order by Justice S J Kathawalla said, "both the parties shall co-operate with the court receiver in preparing the inventory. The inventory shall be placed before the court on October 18 2013."
The parties shall maintain status quo in respect of the goods, the order said.
Last month, Lotus Refineries Private Ltd filed a claim suit worth Rs 2,773.29 crore against NSEL in Bombay High Court for goods being in the possession of the exchange (defendant) acting in fiduciary capacity in the warehouse owned and managed by the commodity exchange.

As per the claim suit filed by Lotus Refineries in the High Court against NSEL, Lotus Refineries has purchased goods worth Rs 2,665.04 crore while trading on the Exchange.
However, NSEL had failed to deliver goods worth Rs 2,640.79 crore until this date.
Moreover, NSEL has neither provided the original warehouse receipts nor issued any delivery order in respect of commodities, the claim suit said.