SC upholds NCLAT order on winding up of Devas Multimedia

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New Delhi, Jan 17 | In a setback to Devas Multimedia, the Supreme Court on Monday upheld the National Company Law Appellate Tribunal (NCLAT), which in September last year dismissed a petition filed by Devas Multimedia against the order of the NCLT to wind up the company.

The NCLT’s direction had come on a petition filed by Antrix Corporation, the commercial arm of the Indian Space Research Organisation (ISRO). Devas has been fighting a decade-long legal battle against Antrix.

Today, a bench comprising Justices Hemant Gupta and V. Ramasubramanian dismissed the plea filed by Devas challenging the NCLAT order. The detailed judgment will be uploaded on the top court’s website later in the day.

The Bengaluru bench of NCLT, on May 25 last year, directed winding up of Devas Multimedia and appointed a provisional liquidator for the purpose. The NCLAT upheld this order saying that it has come to a conclusion that the company’s appeal is not maintainable in law. The NCLAT further added that the agreement by Devas with Antrix was “through fraud, misrepresentation or suppression”.

The NCLT had noted that Devas was incorporated with a fraudulent motive to collude with the then officials of Antrix Corporation to get bandwidth from it by entering into an agreement in 2005. The Central government later cancelled the agreement. Devas Multimedia was incorporated on December 17, 2004.

Source: IANS

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Share Market Closing Bell: Nifty ends around 15,800, Sensex tanks 1,416 pts

Share Market Closing Bell: Nifty ends around 15,800, Sensex tanks 1,416 pts

On the back of Global Clues and SGX, Nifty opened on a gap down note & continued downside momentum throughout the day and closed the session at 15809.40 level with a loss of 430.90. However, Bank nifty closed the session at 33315.65 level with a loss of 848.05 points.

India VIX closed at 24.56 up by 10.13% which is a sign of more volatility in upcoming sessions.47 stocks out of NIFTY 50 closed in RED which suggest broad based selling. All the sectoral indices were ended in the red with metal, IT indices down 4-5 percent.

Despite one way fall, Stocks like ITC, DRREDDY, POWERGRID were the top gainers, While WIPRO, HCLTECH, INFY, TCS & TECHM were prime losers. On a daily chart, Nifty has formed a Bearish candle which indicates downside momentum for an upcoming session. Moreover, Nifty is showing support from horizontal line i.e., 15750 levels which is make or break level. In addition, Nifty has been sustained above the 21-Monthly Moving Average which indicates a bounce back from lower levels can be seen.

However, the momentum indicators MACD & Stochastic were trading with a negative crossover & trading in oversold zone which is a sign of sideways to negative trend in Nifty. The Nifty may find Strong support around 15700 levels, breaching below it can show more downside till 15500 levels while on the upside 16000 may act as an immediate hurdle. On the other hand, Bank nifty has support at 32800 levels while resistance at 34500 levels.

Palak Kothari
Research Associate
Choice Broking

Source: Choice India

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