KOCHI: The Kerala High Court on Tuesday granted an interim stay on further proceedings initiated by the Enforcement Directorate (ED) against the Kerala Infrastructure Investment Fund Board (KIIFB) over the utilisation of funds raised through Masala Bonds.
Justice V.G. Arun, while admitting the KIIFB’s writ petition, held that the issues raised required detailed examination.
Staying the show cause notice for three months, the court observed that a prima facie case had been made out.
The ED has been directed to file its counter-affidavit.
The interim order came on a petition filed by the KIIFB challenging enforcement proceedings initiated under the Foreign Exchange Management Act (FEMA), 1999.