Dispose Lilavati Hospital case: HC
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Last Updated: Monday, July 25, 2011, 21:24
Mumbai: Coming down heavily on the office of the Charity Commissioner for neglect of duty, the Bombay High Court on Monday directed the commissioner to dispose of a dispute involving two factions of trustees of the Lilavati Hospital by August 16.

A division bench of Justices PB Majmudar and Mridula Bhatkar was hearing a dispute between two groups led by Prabodh Mehta and Charu Mehta regarding the bank account of the Lilavati trust.

Charu Mehta has alleged that Prabodh, who handles the financial accounts of the hospital pursuant to a resolution dated November 24, 2008 siphoned off money from the trust. In April this year, the Union Bank of India had freezed the accounts of the trust owing to the allegations.

The dispute was then handed over to the office of Charity Commissioner which is pending since January this year.

"The trust in question is a public trust. There should not be any attempt to siphon funds by the trustees. It is the statutory duty of the Charity Commissioner to adjudicate this dispute. Unfortunately, the concerned officer has failed to discharge his duty and has remained a silent spectator," Justice Majmudar remarked.

The court has directed the Charity Commissioner to hear the matter himself and dispose it off by August 16.

Defending the freezing of the bank accounts of the trust, lawyer for Union Bank M P Rao said, "The contradictory instructions that we have been receiving from the two disputing groups has made it difficult for the bank to permit operation of the account."


First Published: Monday, July 25, 2011, 21:24

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