No Bull? Lawyers who caused 7,000 crore meltdown admit to pursuing false allegations against Indiabulls

No Bull? Lawyers who caused 7,000 crore meltdown admit to pursuing false allegations against Indiabulls

Aditya AK

Managium Juris LLP has admitted to filing false complaints and petitions in various fora against Indiabulls Housing Finance Limited (IHFL).

The firm has also tendered a public apology to Indiabulls, expressing regret at the reputational and financial losses caused due to false and sensational allegations made against the company.

The apology states that after getting to know of Indiabulls’ plan to merge with Lakshmi Vilas Bank, the firm saw an opportunity to make scathing allegations against the company.

A petition was even filed in the Supreme Court by one Abhay Yadav, alleging misappropriation of funds to the tune of Rs. 98,000 crore. The petition alleged that IHFL Chairman Sameer Gehlaut, along with other Directors of the company, siphoned off around Rs. 98,000 crore for their personal use.

During the summer vacation, Indiabulls had sought early listing of the matter. Appearing for the company before the Vacation Bench, Senior Advocate Abhishek Manu Singhvi had stated that the petition was nothing more than an attempt to blackmail the company. He further stated that the reportage of the petition had led to the company suffering losses of nearly Rs. 7,000 crore in the markets.

The petition remained unlisted due to defective filing, and was later withdrawn by Yadav. Kislay Panday, who heads Managium Juris, states in the apology,

“Further, all similar false and factually incorrect complaints have now been withdrawn that were drafted through my office and were sent through my office under the names individuals…from across the country to flood various authorities and government functionaries with complaints against Indiabulls for the sole purpose of sensationalising allegations against Indiabulls and causing harassment to the company.”

Kislay Panday
Kislay Panday

Panday has further undertaken not to file any such litigation or complaints against Indiabulls in the future. He also states that there are other people trying to scuttle Indiabulls’ merger with Lakshmi Vilas Bank, and that his firm would not be party to such attempts.

Last month, Gurugram police had stated that the law degrees of Kislay and his father Mani Ram Panday, were fake. This was reportedly confirmed by the Allahabad High Court Bar Association. 

A TOI report details the modus operandi of the firm, revealing how they would first collect details about their targets and then file petitions in various courts alleging financial irregularities in companies. 

“Soon they would build pressure on the company by divulging details to the media. And subsequently they would withdraw the petitions in exchange for money”, Gurugram police was quoted as saying.

The police had even arrested Mani Ram in connection with another duping scandal last month. In June this year, non-bailable warrants were issued against the father-son duo for offences of fraud, cheating, extortion and conspiracy.

On its website, Managium Juris claims to be “undisputed masters of legal strategy” with a “global presence”. It is also claimed that the firm is “being patroned by former Supreme Court judges”. Another statement reads,

“Since no one can deny the fact that Managium Juris embodies the best lawyers in Delhi as well as in India.”

[Update at 20:24]: Speaking to Bar & Bench, Kislay Panday has clarified that the Gurugram Police’s allegation that he is a fake lawyer is untrue. He is a graduate of Allahabad University, and did his LL.B. from Chaudhary Charan Singh Law College, Meerut in 2013. He subsequently enrolled at the Bar Council of Delhi and bears the enrolment ID D/789/2013.

Panday is currently in London, awaiting orders from the Punjab & Haryana High Court in pleas filed to quash the FIRs filed against him.

Read the public apology tendered to Indiabulls:

Bar and Bench - Indian Legal news