IHFL moved the Court after one of its shareholders filed a complaint at the Palghar police station in Maharashtra alleging siphoning of funds and requested that the lower court intervene to instruct the police to investigate the matter.
The complainant, Ashutosh Kamble, who owns around 500 shares in the company, stated in his complaint that he sustained losses owing to the devaluation of his shares as a result of suspected siphoning of cash and misdealing by IHFL.
The same shareholder thereafter petitioned the Judicial Magistrate at Wada district in Maharashtra, and secured an order under Section 156(3) of the Criminal Procedure Code (CrPC) to lodge a FIR and directing the Palghar police to conduct an inquiry.
Source: Barandbench
