NEW DELHI : A division bench of the Delhi High Court on Wednesday stayed an interim order of a single-judge bench that had prohibited coercive action against mortgage lender Indiabulls Housing Finance Ltd (IHFL) for failing to pay its dues to non- convertible debentures (NCD) holders.

The two-judge bench comprising Justices Siddharth Mridul and Talwant Singh has now listed the case for final arguments on 4 May, Abhishek Baid, counsel for IDBI Trusteeship, told Mint.

“Thanks to the division bench’s order today, debt-based mutual funds should be much relieved as they will continue to be able to compel payments from their borrowers. If mutual funds remain healthy and continue to receive payments, the general public who hold units in mutual funds will have at least one less reason to worry in these troubled times and will be secured in terms of the value and liquidity of their investments," said advocate Shankh Sengupta, a partner in law firm Trilegal, and who represented the Association of Mutual Funds in India (Amfi) in the appeal.