Hold meet with investors, SC tells Franklin Templeton
New Delhi: The Supreme Court on Thursday asked Franklin Templeton Mutual Fund to initiate steps within one week for calling a meeting of unit holders to seek their consent for closure of six mutual fund scheme and said there will be no redemption of units by investors till further orders.
The top court also agreed to hear an appeal filed by Franklin Templeton against the Karnataka High Court order which stopped the fund house from winding up its debt fund schemes without prior consent of the investors. A bench of Justices S Abdul Nazeer and Sanjiv Khanna observed that the issue is big and people wanted a refund.
It said that without prejudice to the rights of any party, trustees are allowed to call a meeting of unit holders to seek their consent for approval and in this regard steps be taken within a period of one week.