The Mumbai high court on Tuesday stayed till June 13 an order of a Debt Recovery Tribunal attaching immoveable properties of Maharashtra government and its two accounts maintained by Reserve Bank of India and State Bank of India to recover Rs 81.67 crore (Rs 816.7 million) dues from six spinning mills in the cooperative sector.
Hearing a writ filed by state government, Chief Justice C K Thakker and justice Vijaya Tahilramani, in an ad-interim ruling, stayed the DRT order till June 13 and posted the matter for substantive arguments on that day.
Advocate General Goolam Vahanvati contended that the money lying with RBI belonged to the Consolidated Fund and hence could not be attached.
On a plea by leading financial institutions, a DRT in Pune had on May 26 attached immoveable properties of state government and its two accounts maintained by RBI and SBI.
The government's properties and bank accounts had been attached as it had stood as guarantor for the loans to these spinning mills, mostly controlled by politicians.
R Rajendra Yadav, recovery officer, DRT, Pune, on May 26, also ordered attachment of Central building, Collector's office and Council Hall, located in Pune.