The High Court of Karnataka on Thursday directed the State Government not to take any coercive measures against Vihaan Direct Selling (India) Pvt. Ltd. till further orders as the court was examining the issue of correctness of invoking the provisions of the Karnataka Protection of Interest of Depositors in Financial Establishments Act, 2004, against the company.
The court, however, directed the company to cooperate with the authorities in the investigation taken up based on the complaints lodged by people alleging that the company had lured them to deposit money.
A Division Bench comprising Chief Justice Ritu Raj Awasthi and Justice Suraj Govindaraj passed the interim order while hearing the petition filed by the company questioning the legality of invoking the provisions of the KPIDFE Act, and challenging some of its provisions.
