Delhi High Court - Orders
Price Waterhouse Chartered ... vs National Financial Reporting ... on 15 July, 2021
Author: Rekha Palli
Bench: Rekha Palli
$~38
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ W.P.(C) 6605/2021 & CM APPL. 20735/2021
PRICE WATERHOUSE CHARTERED
ACCOUNTANTS LLP & ANR. .... Petitioners
Through Mr. Mukul Rohtagi, Sr. Adv. with
Mr. V. P. Singh, Mr. Kamal Shankar,
Ms. Devnashi Singh, Mr. Abhimanyu
Chopra, Mr. Priyank Ladoia, Mr.
Raghav Seth and Mr. Raj Kanwar
Singh, Advs. for P-1
Mr. Sandeep Sethi, Sr. Adv. with Mr.
V. P. Singh, Mr. Kamal Shankar, Mr.
Abhimanyu Chopra, Mr. Priyank
Ladoia, Mr. Raghav Seth and Mr. Raj
Kanwar Singh, Advs. for P-2
versus
NATIONAL FINANCIAL REPORTING
AUTHORITY ..... Respondent
Through Mr. Chetan Sharma, ASG with Mr.
Kirtiman Singh, CGSC, Mr. Akshay
Gandeok, Mr. Sahaj Garg, Mr. Amit
Gupta and Mr. Vinay Yadav, Advs.
CORAM:
HON'BLE MS. JUSTICE REKHA PALLI
ORDER
% 15.07.2021
CM APPL. 20736-37/2021
1. Exemptions allowed, subject to all just exceptions.
2. Notarized affidavit be filed within two weeks of the Court resuming physical hearing.
Signature Not Verified Signed By:GARIMA MADAN Location: Signing Date:16.07.2021 14:51:203. The applications stand disposed of.
W.P.(C) 6605/2021
4. The present petition seeks to assail the show cause notice dated 21.05.2021 issued by respondent no.1/National Financial Reporting Authority (NFRA) wherein the petitioner no.2 has been directed to make oral submissions before the Executive Body of NFRA in respect of incidents of professional misconduct committed by the petitioner no.1 in its capacity as the statutory auditor of M/s Atlanta Ltd.
5. The primary contention of the learned senior counsel for the petitioner is that the impugned show cause notice is without jurisdiction since not only was the respondent Authority constituted only on 01.10.2018, but the provision under which the investigation is sought to be made, i.e., Section 132(1) of the Companies Act, 2013, was notified on 24.10.2018, which is after the petitioner had already resigned from the post of statutory auditor of M/s Atlanta Ltd. on 29.05.2018.
6. However, learned senior counsel for the petitioners seek to rely on certain additional documents as also a compendium, all of which were circulated to the Court Master through electronic mode in the morning today.
7. In my view, these documents ought to be brought on record before further submissions are heard. Learned counsel for the petitioner to ensure that the said additional documents and compendium are duly brought on record before the next date.
8. Learned senior counsel for the petitioners have informed this Court that the proceeding before the respondent is likely to be listed tomorrow, i.e., 16.07.2021. However, given that this Court intends to hear this petition Signature Not Verified Signed By:GARIMA MADAN Location: Signing Date:16.07.2021 14:51:20 further, the learned ASG appearing on behalf of the respondent assures the Court that the proceedings before the respondent will be suitably adjourned to a date subsequent to the date fixed by this Court.
9. Re-notify on 05.08.2021.
REKHA PALLI, J JULY 15, 2021 ms Signature Not Verified Signed By:GARIMA MADAN Location: Signing Date:16.07.2021 14:51:20