Karnataka high court grants relief for Rajya Sabha deputy chairman

The Karnataka high court on Monday issued a stay on the order by the registrar of societies to initiate criminal proceedings against the directors and staff of Amanath Bank, including Rajya Sabha deputy chairman Rehman Khan.

Khan had filed a writ petition in the high court requesting the court to stay the order and had contended that the registrar had given his order based on the second report filed by the additional registrar of societies.

The second report was altered and was filed after the one-year period that was given to him to conduct an inquiry and file a report had elapsed. The present order was not different from the one issued in 2007.

The registrar of societies had ordered that criminal proceedings be initiated against all 10 directors and staff of the bank for having given benami loans worth `102 crore and file civil suits to recover the money on February 14, 2011.
Justice BS Patil also directed the petitioner, Rajya Sabha deputy chairman Khan, to appeal against the order before a competent authority.