Spin Cot Textiles Pvt. Ltd. one of the major NSEL defaulters and its on going High Court proceedings.

1. NSEL Defaulter –
Spin-cot Textiles Pvt. Ltd.

2. Index
• Prologue
• Directors of Spin Cot Textiles Pvt. Ltd
• NSEL Defaulter
• 20th January 2015 Committee Meeting Findings.
• Mr. bhushan Shah’s findings during the committee meeting.
• Orders passed by Mr.V.C. Daga at committee meeting.
• Properties secured for attachment by EOW
• Conclusion

3. Prologue
• Spin Cot Textiles Pvt. Ltd. was incorporated as a Pvt. Ltd.
Company in the year 2006 in Andhra Pradesh
• They started with 25200 spindles
• Spin Cot Textiles had a State of Art Technology Plant
with equipment from renowned textiles machinery
makers from Switzerland and Germany

4. Directors of
Spin Cot Textiles Pvt. Ltd
• Ghanta K. Rao
• Managing Director of Spin Cot Textiles
Pvt. Ltd.
• Ghanta Kasturi
• Director of Spin Cot Textiles Pvt. Ltd.

5. NSEL Defaulter
• Spin Cot Textiles Pvt. Ltd. is one of the defaulter of NSEL Crisis
• The outstanding amount is Rs. 38.26cr
• It gave an undertaking to Bombay High Court on 5th December
2013 that it would deposit Rs. 50 Lakh every month in the court
• 1st installment on 10th December 2013 and remaining installment
before 10th of each succeeding month

6. 20th January 2015
Committee Meeting findings
• Committee was informed; properties attached by court receiver but
the court do not possess copies of these documents
• Mr. Rao submitted, that a company has been given a proposal, so the
committee should allow him to run the realization of the property
• Mr. V. C. Daga directed Mr. Rao to bring the letter from the
company who has given the proposal
• Mr. V. C. Daga instructed to get his Book of Accounts and the same
needs to be furnished with correct details

7. Mr. bhushan Shah’s findings during
the committee meeting
• Mr. Bhushan Shah from MHCO, informed the committee that
Spin Cot had physical possession of NSEL commodities, at the
time of crisis valuing Rs. 26 crs which NSEL denied
• Mr. Bhushan Shah told bank to return and transfer the credit in
NSEL’s book of account from Spin Cot’s book of accounts

8. Orders passed by Mr. V. C. Daga at committee meeting
• A detailed affidavit to be filed by the bank to give Panchanama
with regards to the properties mortgaged by 22 January 2015
• To furnish a complete books of accounts and the details of the
chartered Account

9. Properties secured for attachment
by EOW
Asset
Type
Location Details Area
Flat
4-5-60/2/A, Saibaba Road, Guntur, Andhra
Pradesh
Factory
Survey No. 35/1, 35/2, 35/3, 31/4, 31/5, 36/1,
36/2, 36/3, 36/4, 39/1, 39/2, 39/4, 39/5, 39/7,
NH-5, 19 K.M. Opp. Pearl Beverages LTD,
Marripalem Unnava, Edlapadu Mandal,
Guntur 522233, Andhra Pradesh
24 Acres & 45
Cents

10. Conclusion
• Spin Cot Textiles Pvt. Ltd. is yet a major defaulter of NSEL
• Spin Cot traded with NSEL with the intent to default
• Legal proceeding are yet on going against Spin Cot Textiles
Pvt. Ltd. in the Bombay HC

11. Thank You
Images are for presentation purpose only.