NSEL investors want freezing of FTIL assests

Investors say FTIL promoter Jignesh Shah's role cannot be divorced from activities of the company

A day when FTIL chief Jignesh Shah met finance ministry official with regards to the controversy surrounding the National Spot Exchange Ltd (NSEL), investors in the exchange demanded that all assests of FTIL, NSEL, their promoters and borrowers should be freezed pending the enquiry which is being conducted by the government.

"We fear that FTIL and all its sister concerns might frither away with their assests hence have demanded that they freezed till the investigations are complete," Shuva Mandal of AZB & Partners, one of the investors in NSEL told reporters. The investors also met economic affairs secretary Arvind Mayaram.

"We have been assured that all concerned departments are looking into the default and necessary and strict action will be taken after government goes through the probe report," Mandal said.

The report of two working groups constitituted by the government to analyse the NSEL payment default fallout have submitted their report to the government, which is now being looked by the high-powered committee of the government constituted under the chairmanship of Arvind Mayaram.

"We want all pssobile angles of this multi-crore fraud should be probed and firm responsibilities fixed," Mandal said. He said that the investors have demanded that a case of mis-apropriation of property, cheating, forgery, violation of Money Laundering Act, the role of defaulters and its link with the exchange should all be probed. "Government should ring fence the assests if the need arises," Mandal said.

The investors said that FTIL promoter Jignesh Shah, who was also involved in NSEL cannot escape his responsibility and his role cannot be divorced from the activities of the Company.