₹4,700-Crore Popular Finance Case: NCLT Orders Wind-Up of 14 Entities
What Happened
The National Company Law Tribunal (NCLT) in Kochi ordered the winding up of 14 entities linked to the Popular Finance Group and directed liquidators to trace the flow of funds, identify assets bought using public money, and begin recovery proceedings. The orders were passed on petitions filed by the Serious Fraud Investigation Office (SFIO). An SFIO investigation found that the group had mobilised around ₹4,700 crore from the public, allegedly routing funds across various group entities and using some of the money for purposes including the personal use of promoters.
Key Takeaways
The NCLT has tasked liquidators with tracing where investor money went, recovering assets and processing claims from depositors, investors and creditors, marking a major step in efforts to recover funds linked to one of Kerala's biggest financial fraud cases.