Union Science and Technology minister Y S Chowdary, popular as Sujana Chowdary, is in trouble. The minister, a close confidante of Andhra Pradesh chief minister Chandrababu Naidu, is already in the list of defaulters released by AIBEA some time back. Now the  Hyderabad High Court slapped contempt notice on  Chowdary and asked him to file his response in  two weeks in a case related to liquidation of one of his companies. This notice stems from a case filed by Mauritius Commercial Bank Ltd (MCBL) against Sujana Universal Industries, in which he is a director.  The MCBL   had lent Rs 100 crore to Heistia Holdings Ltd, a subsidiary of Sujana Industries. As the Heistia filed to repay the loan and as the guarantor, MCBL wants  Sujana Universal to pay the loan. The MCB had got the liquidation of  Sujana  Universal and secured a decree from a London Court for about Rs 106 crore.  The Bank had earlier filed a petition in the Civil Court seeking the execution of the London Court orders. The civil court asked the Sujana Universal to furnish the bank guarantee for the amount which it failed to comply  with. Later, the court directed the company to furnish the details of its assets. According to Niranjan Reddy, the counsel for the MCBL the firm had misled the city civil court by furnishing irrelevant details with inadequate information about the assets. “This was cleverly done to subvert the process of law and hence, we decided to file a contempt case against Sujana Industries,“ he informed the High Court. Later the High Court issued notice to all the directors  of Sujana Universal Industries, including YS Chowdary, who is a non-executive director.

It may be recalled here that All India Bank Employees’ Association (AIBEA) the Sujana group owned by YS Chowdary defaulted loans worth Rs 920 crore to two public sector banks, Central Bank of India and Bank of India.