Andhra Pradesh High Court on Friday rejected the plea of NMart to grant a stay on the police investigation into its business activities.
Earlier, NMart filed a writ petition in the High Court appealing to quash the proceedings of investigation into the business activities of the company. It contended that it is into business activities and has customers all over the country. The company supplies provisions to its customers on long basis.The police interfered into the its business activities of NMart basing on the complaint lodged by a civil society organistion Corporate Frauds Watch, the petitioner said. The counsel on behalf of NMart stated that Corporate Frauds Watch is not a customer of their retail business outlets nor he suffered any loss due to the activities of the company. "It is a frivolous complaint," it averred.However Justice K C Bhanu after hearing the arguments at length rejected the plea for issuing stay orders stalling the procedure of investigation into the business activities of NMart. The Judge asked the State government and the police to file their counters in three weeks. The Corporate Frauds Watch was also made one of the respondents and was asked to file its counter.NMart's counsel appealed to the High Court to grant relief for at least one week so that they could carry on its business activities as usual. "It is just a civil matter in which the police interfered," he stated.
However the assistant Government pleader assured the High Court that the police would not interfere in the civil matters of the company.
Justice K C Bhanu asked all the respondents to file their counters in three weeks and posted the petition after three weeks.