MUMBAI: Chief Minister Devendra Fadnavis on Tuesday announced in the state Assembly that the government has proposed an amendment to the Maharashtra Protection of Interest of Depositors (in Financial Establishments) Act, 1999 (MPID Act) to ensure a faster, more punitive tool for recovering investor funds.
The amendments will be pertaining to 180 days (six months) mandate as a strict statutory deadline. The Designated Court is now required to decide on making a property attachment "absolute" within 180 days of the initial application.
The CM intervened during Question Hour on a question raised on the Srirampur scam, by member Hemant Ogle.
While courts have inherent powers, the amendment specifies that adjournments can no longer be granted as a matter of routine. Any delay must be backed by exceptional reasons, and the court is encouraged to impose heavy costs on parties seeking "frivolous" delays.
CM Fadnavis addressed the core issue where properties remain "attached on paper" but cannot be sold. The amendment mandates that the Special MPID Court must decide on making the attachment "absolute" within 6 months. This allows the state to begin the auction process even while the criminal trial continues.