“Under the IBC (Insolvency and Bankruptcy Code), the company goes out of the promoter’s hands on day one, once the NCLT (National Company Law Tribunal) admits the case. It is that immediate transfer of control that makes the role of the resolution professional so powerful, and so sensitive,” senior advocate Sunil Fernandes told ThePrint.
According to the ED, large payments were routed from Richa Industries’ accounts to intermediaries, who then transferred significant sums back to Kumar’s personal bank accounts. Kumar’s arrest came weeks after the company’s former promoter and now-suspended managing director, Sandeep Gupta, was arrested under the Prevention of Money Laundering Act (PMLA) for fraud causing loss of Rs 236…