Hyderabad: The Chandigarh police took a former independent director of debt-laden newspaper publisher Deccan Chronicle Holdings Ltd (DCHL) into custody in a bounced cheque case filed by non-banking financial company Religare Finvest Ltd, and produced him before the court on Thursday.

M. Sukumar Reddy, the director, “has already been produced in the court", R.P. Upadhyaya, inspector general of police, Chandigarh, said on telephone on Thursday afternoon. Reddy was produced before judge Ashok Kumar at the Chandigarh district court, a Religare representative said over the phone. Reddy was later released on bail by the court, said the Religare representative, who didn’t want to be named.

A five-member team from the Chandigarh police was in Hyderabad to serve a non-bailable warrant issued by a Chandigarh district court against the promoters of DCHL—chairman T. Venkattram Reddy, vice-chairman and managing director T. Vinayak Ravi Reddy and vice-chairman P.K. Iyer—and four former directors.

The court ordered them to appear before it on 30 July and issued non-bailable warrants after rejecting a plea by DCHL’s counsel seeking exemption from appearance of its senior officials, The Times of India reported on Thursday.

Sukumar Reddy, who is engaged in real estate and construction, had been on the board of DCHL since 2003, and resigned along with three other independent directors of the company on 8 December.

DCHL, the publisher of Deccan Chronicle, Financial Chronicle, Asian Age newspapers, and the Telugu daily Andhra Bhoomi is laden with debt and has been dragged to courts and the debt recovery tribunal by various financial institutions over non-repayment of dues.

HT Media Ltd, publisher of Mint and Hindustan Times, competes with DCHL publications in some markets.

Close