Hyderabad: In a major turn of events, the Supreme Court issued managing director of Heera Gold Exim Pvt Ltd, Nowhera Shaik, an ultimatum to repay Rs 25 crore to investors within three months. Failure to do so will result in her arrest and cancellation of her bail.
Her lawyers argued that she lacks the required funds, but the Enforcement Directorate (ED) reminded her that some of her properties have been confiscated and could be auctioned to recover the dues, reported NDTV.
Nowhera Shaik case: ED in Hyderabad attaches assets worth Rs 103.4 cr
The ED, however, stated that the Nowhera Sheikh’s lawyer has not disclosed the list of unencumbered properties that can be auctioned. As of now, only three properties, of which two are in Telangana, can be auctioned by the ED.
In the hearing on March 5, the court directed the ED to divide the amount paid back equally between the affected investors. Nowhera Shaik will be taken into custody, and legal proceedings will be initiated for recovery of the remaining funds from her property, if the deadline is missed.
Scam allegations against Nowhera Shaik
Nowhera Shaik is at the center of a huge financial scam concerning Heera Gold Exim Pvt Ltd, which is said to have cheated many investors in different states, such as Telangana, Andhra Pradesh, Maharashtra, Karnataka, and Delhi. The estimated amount involved in the scam is about Rs 5,600 crore.
The company, Heera Gold, had allegedly lured investors with promises of unusually high returns on investments in gold, paying dividends as promised at first. But in 2018, some investors started complaining of irregularities, and there was a general complaint and legal proceedings against Nowhera Shaik. She was arrested in October 2018.
The Serious Frauds Investigation Office (SFIO) has been probing the case, and FIRs have been registered against her in many states.
