KILLICK NIXON LTD. vs CUSTODIAN

The Supreme Court upheld the orders of the Special Court under the Special Courts (Trial of Offences Relating to Transactions in Securities) Act, 1992, confirming the attachment of assets belonging to M/s. Dhanraj Mills Private Limited due to their involvement in fraudulent securities transactions. The Court emphasized that the fraudulent activities resulted in significant financial losses to banks, justifying the piercing of the corporate veil to hold the directors accountable. The Court affirmed the Special Court's finding that the assets of M/s. Dhanraj Mills are liable for recovery of debts owed to the Custodian, thereby dismissing the claims of M/s. Dhanraj Mills to free the attached amounts.