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Rajasthan High Court - Jaipur

Shanker Lal Khandelwal vs Union Of India on 1 December, 2016

                                 1

      IN THE HIGH COURT OF JUDICATURE FOR
           RAJASTHAN AT JAIPUR BENCH

                          O R D E R

        S.B.CR. MISC. THIRD BAIL APPL.
                 NO.15377/2016

Shankar Lal Khandelwal    S/o Shri Mohan
Lal   Khandelwal,   by   caste   Mahajan,
resident   of    171,   Officers   Campus
Extension, Sirsi Road, Jaipur
 (Presently lodged in Central Jail, Jaipur)

                                     ...Accused-petitioner

                               Vs.

Union of India through its Special Public
Prosecutor (C.B.I)

                                         .....Respondent.

  DATE OF ORDER               01/12/2016
HON'BLE MR.JUSTICE MAHESH CHANDRA SHARMA

Mr. Anand Purohit, Sr. Counsel with
Mr. Kapil Purohit, for the accused
petitioner.
Mr.Ashwini Kumar Sharma, Spl. PP for CBI.




             This third bail application has

been     filed      by    the        accused   petitioner

under Section 439 Cr.P.C for releasing

him on bail in the matter arising out of

FIR    No.    RC.BD       1/2016/E/0002        P.S.   CBI,

BS&FC,        New        Delhi        punishable      under

Sections 120B read with 409, 420, 467,

468,    471    IPC       and     Sec.13(2)     read    with
                             2

13(1) (c)(d) of Prevention of Corruption

Act, 1988.

          Brief facts of the case are that

an FIR came to be lodged on the basis of

written complaint of Sh. C. Sridharan,

Deputy General Manager, Syndicate Bank,

New Delhi stating therein that a fraud

was committed by branch officials and a

group     of     customers       by     resorting        to

discounting of fake/forged cheques, fake

bills     and     arranging       overdraft          limit

against         non-existent          LIC       policies

aggregating       to      Rs.1055.78          crores     at

Malviya Nagar, Jaipur, MI Road, Jaipur

Branch and Udaipur Branches of Syndicate

Bank. It is averred in the FIR that the

petitioner         entered         into         criminal

conspiracy       with     his    relative        Santosh

Kumar Gupta @ S.K.Gupta, the then Chief

Manager, Bharat Bamb and Vipul Kaushik

and   others.     In    pursuance        of    the     said

conspiracy,       accused       Vipul    Kaushik        got

issued    cheques       from    his     Patanjali       Yog

Chikitasalya having an account No.135 at

Rajsamand         Urban         Cooperative            Bank

Nathdwara. The said cheques were forged
                           3

by showing them as being issued by Temple

Board Nathdwara and were got discounted

by related concerns of Bharat Bamb i.e.

M/s.    Mobile     Associates,         M/s.    Everest

Ashiyana and others. In pursuance of the

conspiracy,       the    said     defrauded        bank

funds/crime proceeds were transferred to

the    account    of    Shankar    Khandelwal       and

bank accounts of his associates/relatives

which were further used to reduce bank

liabilities of firms/companies owned by

his relatives. He is the beneficiary of

the    bank   funds/crime       proceeds       received

from the discounting of forged cheques

purportedly shown as having been issued

by Temple Board Nathdwara. He knowingly

and dishonestly allowed his bank accounts

for      routing        the      defrauded         bank

funds/crime           proceeds         which       were

ultimately        utilized        by       him      for

clearing/reducing         bank    liabilities        of

firms         owned       by        his          family

members/relatives.            He received Rs.50.0

lacs from M/s. Raj Minerals which were

defrauded        bank    funds/crime           proceeds

availed against forged           cheques. The said
                             4

amount was further transferred by him to

Khandelwal Construction and Building on

28.5.2011.        He is not only a beneficiary

of   the    above        amount,        besides     that,

defrauded    bank        funds    to     the    tune    of

Rs.230 crores approximately were credited

in   his    group        companies        as    received

through     the     companies           controlled      by

Bharat Bamb.



       It was also mentioned that fake

transactions       had     been       carried     out   in

Malviya Nagar and M.I. Road Branches and

Udaipur     Branches        of        Syndicate     Bank,

Jaipur city and that a group of customers

defrauded the bank by discounting fake

cheques and obtaining over draft limits

against non-existent LIC policies. In the

report, it was inter alia, alleged that

one Satish Kumar Goyal, GM, FGM's Office,

New Delhi, Sanjeev Kumar, DGM, Regional

Office,    Jaipur,       Desh     Raj    Meena,     Chief

Manager, MI Road Branch, Jaipur, Adarsh

Manchanda,        Asstt.        GM,     Malviya     Nagar

Branch, Jaipur, Avdesh Tewari, Asstt. GM,

Udaipur Branch, all being employees of
                              5

Syndicate       Bank      along       with    one    Bharat

Bamb,     R/o    Udaipur,         Shankar         Khandelwal

(petitioner), Piyush Jain, Vineet Jain,

other             customers,                      companies,

proprietorship, persons involved in said

transaction etc, allegedly entered into a

criminal        conspiracy,           to     defraud       the

Syndicate        Bank,       in        particular          its

branches        situated         in     Malviya       Nagar,

Jaipur, MI Road, Jaipur and at Udaipur.

The   fraud      allegedly        was       stated    to   be

between    2011      to    February         2016.    It    was

alleged that the fraud transpired through

providing       of     discounting           facility      of

cheques     which         were    fake,       discounting

facility against fake inland bills and

extending        the       facility          of      secured

overdraft       limits.      It       was    also    alleged

that many transactions were settled with

proceeds of new fraudulent transactions.



          As far as the mode of discounting

of fake cheques is concerned, the modus

operandi with the aforesaid branches of

Syndicate Bank was to the effect that for

instance, cheques purported to be drawn
                              6

on Jan Jati Vikas Vibhag, a Government

department, were discounted and proceeds

credited to current accounts of various

parties.       There         funds             were        then

transferred to various current accounts

with    Udaipur       Branch.         It       is     further

alleged    that      there       is   no       evidence     of

dispatch       of     discounted               cheques      by

concerning Branch of Syndicate Bank. As

far as Udaipur Branch of Syndicate Bank

is concerned, it was discounting cheques

purportedly issued by Pariyojna Adhikari,

Jan    Jati    Vikas    Vibhag,            a     Government

Department,     drawn    on       OBC,         Kankroli.     A

visit to Kankroli revealed that no such

office was located at kankroli. Further a

visit to OBC at Kankroli, revealed that

no such account was maintained with them

and the cheques were found to be fake. It

is also alleged that the discounted fake

cheques were never sent through post for

realization.



          It   was    further         alleged         in   the

complaint that the Malviya Nagar Branch

of Syndicate Bank commenced discounting
                               7

bills under L.C purported to be issued by

Bank of Baroda, Udaipur with L.C drawn by

Udaipur     parties         on     the        customers      at

Jaipur    with       covering          bill    of    exchange

without acceptance, covered the purported

delivery challan and transport documents

without vehicle numbers.



          It    was    also        alleged       that      over

draft     facility          was        extended       by    the

Malviya     Nagar      and        MI    Road     Branch      of

Syndicate Bank against fake LIC policies,

surrender value certificates and premium

receipts. It was also alleged that the

proceeds       of     these        over        drafts      were

utilized for adjusting debit balances in

current        accounts       and        these       transfer

transactions         were    completely             done   from

Udaipur Branch during February, 2016.



          On    the    aforesaid          complaint,        CBI

proceeded       to     register          a      formal      FIR

bearing     No.RC.BD         1/2016/E/0002            PS-CBI,

BS&FC, New Delhi for offences mentioned

therein.       The     investigation                then    was

commenced       and     during           the     course      of
                                8

investigation, the accused petitioner was

arrested on 18.3.2016. On behalf of the

petitioner, a bail application was moved

before    the     trial        court,      but     same      was

dismissed        vide     order       dated      12.7.2016.

Against     the        said        order     the      accused

petitioner moved bail application before

this     Court     which       was     dismissed        by    a

detailed order passed on 07.09.2016 with

the observation that if the petitioner

moves any application before the Court

below under section 54 of the Criminal

Procedure Code, the Court below after due

satisfaction or after hearing both the

parties,         or      after        inquiring           from

concerned        Medical           Officer,      or     other

responsible           persons,        will       pass        the

appropriate order in accordance with law.

          Thereafter          the     petitioner        moved

the second bail application before this

Court,     which        was    also     dismissed         vide

order dated 4.11.2016. On that day, it

was      contended            on     behalf        of        the

petitioner       that     the       accused      petitioner

moved the bail application under section

54 CrPC before the Court below, but till
                                  9

date    no    order        has       been    passed        by    the

court below on the aforesaid application.

In such circumstances, while dismissing

the     second       bail        application              of      the

petitioner, it was observed by this Court

that    if     the    application                filed     by     the

accused petitioner before the Court below

under        Section        54        CrPC         is      pending

consideration, it is expected from the

court below to decide the                              same       in

accordance with law.

          Now       this    third          bail        application

has     been        filed        on        behalf         of     the

petitioner.

          Mr. Anand Purohit assisted by Mr.

Kapil Purohit, appearing on behalf of the

accused       petitioner             has     contended           that

there     are       every    chances              of     delay     in

concluding          the    trial.           He     has    further

contended that the accused petitioner is

suffering       from       Cancer          disease        and    the

health of the petitioner is deteriorating

on daily basis. He has further contended

that    the     learned          Court           below    is     now

stating       the     liability             of     the    accused
petitioner to the tune of Rs. 50.00 crore plus
                           10

interest and declining an offer, which

was made by the petitioner for depositing

Rs. 5.00 crores immediately and remaining

Rs. 45.00 crores in installments. In this

view      of    the      matter,        the     accused

petitioner be released on bail.

          Mr. Ashwini Kumar Sharma, learned

Special Public Prosecutor appearing for

the CBI has opposed the bail application

and     has      submitted          that       no     new

developments      have    taken        place    in    the

matter after rejecting the earlier bail

applications by this Court. It has been

further submitted by Mr. Sharma that this

Court in the order dated 7.9.2016 passed

by     this    Court      on     the       first     bail

application      has    already      considered       the

disease        suffered        by      the      accused

petitioner.            Learned      Special         Public

Prosecutor has further submitted that the

allegations against the present accused

petitioner and other co-accused persons

are of putting the Syndicate Bank to the

loss of approx. one thousand crores by

way of criminal conspiracy.

      The learned Special Public Prosecutor

11 has drawn attention of the Court on the relevant part of the order dated 7.9.2016 passed by this Court in the first bail application, which is reproduced as under:

"I have heard learned counsel for the parties and perused the impugned order dated 12.7.2016, relevant portion of which is reproduced as under:
izdj.k ds lexz rF;ks ls Kkr gksrk gS fd vfHk;qDr 'kadj [k.Msoky dh lafyIrrk ds fcuk mlds }kjk bruh cMh jde dks izkIr djuk laHko ugh FkkA Hkkjr ckWEc ,oa 'kadj [k.Msyoky ds cSad [kkrks esa lg vfHk;qDr larks"k dqekj xqIrk }kjk QthZ pSdks] fcyks ,oa QthZ ,yvkbZlh ikWfyfl;ks ds fo:} djksMks dh jkf'k dk iFkkUrj.k fd;k x;kA ;s iFkkarj.k vfHk;qDr 'kadj [k.Msyoky ,oa mlds lacaf/k;ks ds [kkrksa esa fd, tkus ds nLrkost orZeku vuqla/kku vf/kdkjh }kjk layXu fd, gSA bl izdkj "kM;a= ds rgr izkIr dh xbZ jkf'k dk iz;ksx vfHk;qDr 'kadj [k.Msyoky }kjk mldh dUVªD'ku daiuh esa fd;k x;kA bl izdkj djhc 230 djksM :i, dh jkf'k dk iFkkarj.k vfHk;qDr 'kadj [k.Msyoky dh daiuh dks Qk;nk igqapkus ds fy, vfHk;qDrx.k }kjk fd;k x;kA vuqla/kku vf/kdkjh }kjk vkjksii= ds lkFk ,sls nLrkost ladfyr fd, gS ftlls vfHk;qDr Hkkjr ckWEc o 12 vfHk;qDr 'kadj [k.Msyoky }kjk vkilh lgefr ls "kM;a= djrs gq, vijk/k dkfjr fd;k tkuk izFke n`"V;k izdV gks jgk gSA ;g vo/kkj.kk ysus esa U;k;ky; dks ladksp ugh gS fd vfHk;qDr 'kadj [k.Msyoky dks ;g Kkr Fkk fd O;fDrxr :i ls foiqy dkSf'kd ;k Hkkjr ckWEc 200 djksM :i, tSlh cMh jkf'k dk _.k Lo;a ds L=ksr ls mls miyC/k djkus esa l{ke ugh FksA ftu eseksjs.Me vkWQ v.MjLVsfMax dk gokyk fo}ku vf/koDrk } kjk cgl ds dze esa fn;k x;k gS] ;s nLrkost lk/kkj.k isij ij rS;kj fd, x, nLrkost gSa ftudh lR;rk ,oa izekf.kdrk ds laca/k esa fdlh izdkj dh iqf"V ugha gks jgh gSA vfHk;qDr 'kadj [k.Msyoky }kjk foiqy dkSf'kd ,oa Hkkjr ckWEc ds vfrfjDr Hkh laO;ogkj fd;k x;k gS rFkk mlds [kkrksa esa eSllZ eksckbZy ,slksfl,V~l] ,ojsLV vkf'k;kuk] jkt feujYl] inekorh ,aVjizkbZtst] eSllZ jkes'oje] eSllZ vfjgar] jkuw eksVlZ vkfn daifu;ksa ls Hkkjh jkf'k;ksa dk iFkkarj.k fd;k x;k] ftl laca/k esa fdlh izdkj ds eseksjs.Me vkWQ v.MjLVsfMax dks vfHk;qDr }kjk izdV ugha fd;k x;k gSA vuqla/kku esa ;g Hkh Kkr gqvk gS fd vfHk;qDr Hkkjr ckWEc }kjk eseksjs.Me vkWQ v.MjLVsfMax fnukad 30-11-2013 ij mlds gLrk{kj gksus dh Li"V rkbZn ugha dh xbZ gS rFkk lk{kh d`".k dqekj 'kekZ }kjk mlds c;kuksa esa ;g ys[kc} djok;k x;k fd ;g nLrkost nhikoyh R;kSgkj ds djhc o"kZ 2015 esa fu"ikfnr gqvk gS rFkk ftl izdkj ;g Kkr gksrk gS fd dkykUrj esa 13 iwoZ frfFk dk nLrkost fujksfir fd;k x;k gSA d`".k dqekj 'kekZ lk{kh dk dFku gS fd tc mlus nLrkost gLrk{kfjr djs Fks] ml le; ;g uksVjkbZt ugha Fks rFkk mlds }kjk gLrk{kj o"kZ 2015 esa fd, x, Fks tcfd vc layXu nLrkost fnukad 30-11-2013 dks uksVjkbZt gksuk izdV gks jgk gSA blls bl nLrkost dh lR;rk ,oa izekf.kdrk lansgkLin izrhr gksrh gSAizdj.k esa izdV gks jgk gS fd /kesUnz ekBs vfHk;qDr 'kadj [k.Msyoky dh gksVy iyd iSjkMkbZt dk deZpkjh gSA d`".k dqekj 'kekZ }kjk ;g ys[kc} djok;k x;k gS fd fnukad 18-02-2016 dks Hkkjr ckWEc }kjk mls VsyhQksu ij lEidZ dj fuosnu fd;k x;k fd 10 O;fDr;ksa dh cSad vdkm.V [kksyus ds fy, vko';drk gS ftl ij mlus 'kadj [k.Msyoky ls lEidZ fd;k rFkk 'kadj [k.Msyoky ds funsZ'k ij mlus mu O;fDr;ksa dks cqyk;k ftudk gkmflax yksu py jgk Fkk rFkk ftl yksu vdkm.V dks 'kadj [k.Msyoky }kjk bLrseky fd;k x;k rFkk 'kadj [k.Msyoky gh bl _.k dh fd'rksa dk Hkqxrku dj jgk gSA dqN O;fDr;ksa dks 'kadj [k.Msyoky }kjk cqyok;k x;k vkSj mUgksus egs'k dqekj xqIrk eSustj flafMdsV cSad] jfo /kuoky tks fd Hkkjr ckWEc dk deZpkjh Fkk] dh mifLFkfr esa nLrkost gLrk{kfjr djsA bl izdkj izdj.k esa lafyIr jgs fofHkUu vfHk;qDrksa dh Hkwfedk ds fo"k;

esa vuqla/kku tkjh gS ftlesa vfHk;aqDr 'kadj [k.Msyoky dh daiuh o laLFkkuks ls lacaf/kr deZpkjh Hkh lfEefyr gSA mijksDr rF;ksa o 14 ifjfLFkfr;ksa esa vfHk;qDr 'kadj [k.Msyoky dk izdj.k esa lfEefyr u gksuk rFkk ek= okf.kfT;d laO;ogkj ds ekeys esa izkbZosV O;fDr;ksa Hkkjr ckWEc o foiqy dkSf'kd ls 200 djksM :i, tSlh jkf'k;ksa dk Lo;a ds [kkrksa esa izkIr djuk xaHkhj lansgkLin fLFkfr dks izdV djrk gS rFkk vfHk;qDr dh Hkwfedk ds fo"k; esa ladfyr nLrkostksa ls mldh vijk/k esa lafyIrrk izFke n`"V;k nf'kZr gksrh gSA izkFkhZ&vfHk;qDr dh vksj ls izLrqr U;kf;d n`"VkUr ds rF; gLrxr izdj.k ds rF;ksa ls fHkUu gksus ls vfHk;qDr dh dksbZ enn djrs izrhr ugha gksrsA mijksDr foospuk dh jks'kuh esa izkFkhZ&vfHk;qDr dks tekur dk ykHk fn;k tkuk mfpr izrhr ugh gksrkA Further, I have gone through the judgments cited by both the parties, as stated above, i.e. Sanjay Chandra Vs. Central Bureau of Investigation (2012)1 SCC 40 and, State of Gujarat v. Mohanlal Jitamalji Porwal and another, (AIR 1987 1321), Gajanand Aggarwal Vs. State of Orissa 2007 AIR SCW 2857, Sudha Verma Vs. State of Uttar Pradesh, AIR 2007 SC(Supp)779, and Himanshu Chandravardhan Desai & others Vs. State of Gujrat, AIR 2006 SC 179 and also 2012 Cr.L.J.1519 Dr.Subramanian Swamy Vs. Dr. Manmohan Singh and anr.

15

Prima facie, it is admitted that the accused petitioner along with other co-accused persons have committed fraud of Rs.1055 crores approximately, and charge- sheet has been filed. Further, it is admitted fact that the sentence punishable under Sec.467 Cr.P.C is of life imprisonment, and the offence punishable under Secs.13(2) read with Sec.13(1)(c)

(d) of Prevention of Corruption Act, 1988 are triable only by Special Judge, CBI Cases, in such circumstances, looking to the aforesaid facts & circumstances of the case, specially the seriousness of charge, the nature of accusation and severity of punishment in the case of conviction, the evidence in support of the charge, and the fact that the petitioner is involved in a very serious matter of conspiracy, cheating and defraud to public institutions in a systematic manner, as also action of the petitioner may jeopardize the economy of the country also, I am not inclined to accept this bail application.

Accordingly, looking to the facts and circumstances of the case and the findings arrived at 16 by learned court below as quoted herein above, the learned court below is found to have dealt with each and every aspect of the matter, and has rightly passed the impugned order. I am in unison with the findings arrived at by the learned court below. Hence, in view of above, I do not think it just and proper to accept this bail application. The bail application is hereby dismissed.

However, if the petitioner moves any application before the court below under Sec.54 of the Criminal Procedure Code, the court below after due satisfaction or after hearing both the parties, or after inquiring from concerned Medical Officer, or other responsible persons, will pass the appropriate order in accordance with law."

        He    has        further        drawn     the

attention    of   this    Court    on    the    order

dated   4.11.2016    passed       by    this    court

while    rejecting        the      second        bail

application of the petitioner, which is reproduced as under:-

17
"This second bail application has been filed by the accused petitioner under Section 439 Cr.P.C for releasing him on bail arising out of FIR No. RC.BD 1/2016/E/0002 P.S. CBI, BS&FC, New Delhi punishable under Sections 120B read with 409, 420, 467, 468, 471 IPC and Sec.13(2) read with 13(1) (c)(d) of Prevention of Corruption Act, 1988.
Brief facts of the case are that an FIR came to be lodged on the basis of written complaint of Sh. C. Sridharan, Deputy General Manager, Syndicate Bank, New Delhi stating therein that a fraud was committed by branch officials and a group of customers by resorting to discounting of fake/forged cheques, fake bills and arranging overdraft limit against non-existent LIC policies aggregating to Rs.1055.78 crores at Malviya Nagar, Jaipur, MI Road, Jaipur Branch and Udaipur Branches of Syndicate Bank. It is averred in the FIR that the petitioner has entered into criminal conspiracy with his relative Santosh Kumar Gupta @ S.K.Gupta, the then Chief Manager, Bharat Bamb and Vipul Kaushik and others. In pursuance of the said conspiracy, accused Vipul Kaushik got issued cheques from his Patanjali Yog Chikitasalya having an account No.135 at Rajsamand Urban Cooperative Bank Nathdrawar. The said cheques were forged by showing them as being issued by Temple Board Nathdwara and were got discounted by related concerns of Bharat Bamb i.e. M/s. Mobile Associates, M/s. Everest Ashiyana and others. In pursuance of the conspiracy, the said defrauded bank funds/crime proceeds were transferred to the account of Shankar Khandelwal and bank accounts of his associates/relatives which were further used to reduce bank 18 liabilities of firms/companies owned by his relatives. He is the beneficiary of the bank funds/crime proceeds received from the discounting of forged cheques purportedly shown as having been issued by Temple Board Nathdwara. He knowingly and dishonestly allowed his bank accounts for routing the defrauded bank funds/crime proceeds which were ultimately utilized by him for clearing/reducing bank liabilities of firms owned by his family members/relatives. He received Rs.50.0 lacs from M/s. Raj Minerals which were defrauded bank funds/crime proceeds availed against forged cheques. The said amount was further transferred by him to Khandelwal Construction and Building on 28.5.2011. He is not only a beneficiary of the above amount, besides that, defrauded bank funds to the tune of Rs.230 crores approximately were credited in his group companies as received through the companies controlled by Bharat Bamb.
It was also mentioned that fake transactions had been carried out in Malviya Nagar and M.I.Road Branches and Udaipur Branches of Syndicate Bank, Jaipur city and that a group of customers defrauded the bank by discounting fake cheques and obtaining over draft limits against non-existent LIC policies. In the report, it was inter alia, alleged that one Satish Kumar Goyal, GM, FGM's Office, Vnew Delhi, Sanjeev Kumar, DGM, Regional Office, Jaipur, Desh Raj Meena, Chief Manager, MI Road Branch, Jaipur, Adarsh Manchanda, Asstt. GM, Malviya Nagar Branch, Jaipur, Avdesh Tewari, Asstt. GM, Udaipur Branch, all being employees of Syndicate Bank along with one Bharat Bamb, R/o Udaipur, Shankar Khandelwal (petitioner), Piyush Jain, Vineet Jain, 19 other customers, companies, proprietorship, persons involved in said transaction etc, allegedly entered into a criminal conspiracy, to defraud the Syndicate Bank, in particular its branches situated in Malviya Nagar, Jaipur, MI Road, Jaipur and at Udaipur. The fraud allegedly was stated to be between 2011 to February 2016. It was alleged that the fraud transpired through providing of discounting facility of cheques which were fake, discounting facility against fake inland bills and extending the facility of secured overdraft limits. It was also alleged that many transactions were settled with proceeds of new fraudulent transactions.
As far as the mode of discounting of fake cheques is concerned, the modus operandi with the aforesaid branches of Syndicate Bank was to the effect that for instance, cheques purported to be drawn on Jan Jati Vikas Vibhag, a Government department, were discounted and proceeds credited to current accounts of various parties. There funds were then transferred to various current accounts with Udaipur Branch. It is further alleged that there is no evidence of dispatch of discounted cheques by concerning Branch of Syndicate Bank. As far as Udaipur Branch of Syndicate Bank is concerned, it was discounting cheques purportedly issued by Pariyojna Adhikari, Jan Jati Vikas Vibhag, a Government Department, drawn on OBC, Kankroli. A visit to Kankroli revealed that no such office was located at kankroli, further a visit to OBC at Kankroli, revealed that no such account was maintained with them and the cheques were found to be fake. It is also alleged that the discounted fake cheques were never sent through post for realization.
20
It was further alleged in the complaint that the Malviya Nagar Branch of Syndicate Bank commenced discounting bills under L.C purported to be issued by Bank of Baroda, Udaipur with L.C drawn by Udaipur parties on the customers at Jaipur with covering bill of exchange without acceptance, covered the purported delivery challan and transport documents without vehicle numbers.
It was also alleged that over draft facility was extended by the Malviya Nagar and MI Road Branch of Syndicate Bank against fake LIC policies, surrender value certificates and premium receipts. It was also alleged that the proceeds of these over drafts were utilized for adjusting debit balances in current accounts and these transfer transactions were completely done from Udaipur Branch during February, 2016.
On the aforesaid complaint, CBI proceeded to register a formal FIR bearing No.RC.BD 1/2016/E/0002 PS-CBI, BS&FC, New Delhi for offences mentioned therein. The investigation then was commenced and during the course of investigation, the accused petitioner was arrested on 18.3.2016. On behalf of the petitioner, a bail application was moved before the trial court, but same was dismissed vide order dated 12.7.2016. Against the said order the accused petitioner moved bail application before this Court which was dismissed by a detailed order passed on 07.09.2016.
Mr. Anand Purohit assisted by Mr. Kapil Purohit, appearing on behalf of the accused petitioner has submitted that the accused petitioner is suffering from carcinoma (Rt.) buccal mucosa (Cancer) 21 disease which is a critical disease and he has been advised for Surgery by the Sawai Man Singh Hospital, Jaipur. Counsel has further submitted that vide order dated 7.9.2016 passed on the first bail application it was directed that if the accused petitioners moves any application before the court below under section 54 of the Criminal Procedure Code, the court below after due satisfaction or after hearing both the parties, or after inquiring from concerned Medical Officer, or other responsible persons, will pass the appropriate order in accordance with law. Counsel has further submitted that thereafter the accused petitioner moved an application under section 54 Cr.P.C before the court below but till date no order has been passed by the court below on the aforesaid application. Counsel in support of his case has placed reliance upon para No. 19 of the Judgment delivered by the Hon'ble Apex Court in the case of Dipak Shubhashchandra Mehta Vs. C.B.I. & Anr., Criminal Appeal No. 348 of 2012 (Arising out of S.L.P (Crl.) No. 8995 of 2011) decided on 10.2.2012, in which the Hon'ble Apex Court has been pleased to observe as under:
19) As observed earlier, we are conscious of the fact that the present appellant along with the others are charged with economic offences of huge magnitude. At the same time, we cannot lose sight of the fact that though the Investigating Agency has completed the investigation and submitted the charge sheet including additional charge sheet, the fact remains that the necessary charges have not been framed, therefore, the presence 22 of the appellant in custody may not be necessary for further investigation. In view of the same, considering the health condition as supported by the documents including the certificate of the Medical Officer, Central Jail Dispensary, we are of the view that the appellant is entitled to an order of bail pending trial on stringent conditions in order to safe guard the interest of the CBI."
Thus, looking to the above submissions, the accused petitioner be released on bail.

Mr. Ashwini Kumar Sharma, learned Special Public Prosecutor appearing for the CBI has opposed the bail application and has submitted that no new developments have taken place in the matter after rejecting first bail application by this Court on 7.9.2016. It has been further submitted by Mr. Sharma that this Court in the order dated 7.9.2016 passed by this Court on the first bail application has already considered the disease suffered by the accused petitioner. Learned Special Public Prosecutor has further submitted that the allegations against the present accused petitioner and other co-accused persons are of putting the Syndicate Bank to the loss of approx. one thousand crores by way of criminal conspiracy. Learned Special Public Prosecutor with regard to para No. 19 of the Judgment delivered by the Hon'ble Apex Court in the case of Dipak Shubhashchandra Mehtra (supra) has submitted that in that case the investigating agency completed the investigation and submitted the charge- sheet but in the case in hand the 23 investigation against the accused petitioner is still pending. Thus the fact of the case is hand as also the case of Dipak Shubhashchandra Mehtra (supra) are different and same cannot be made applicable to the facts of the present case. The learned Special Public Prosecutor has drawn attention of the Court to the earlier order dated 7.9.2016 passed by this Court in the first bail application, which is reproduced as under:

"I have heard learned counsel for the parties and perused the impugned order dated 12.7.2016, relevant portion of which is reproduced as under:
izdj.k ds lexz rF;ks ls Kkr gksrk gS fd vfHk;qDr 'kadj [k.Msoky dh lafyIrrk ds fcuk mlds }kjk bruh cMh jde dks izkIr djuk laHko ugh FkkA Hkkjr ckWEc ,oa 'kadj [k.Msyoky ds cSad [kkrks esa lg vfHk;qDr larks"k dqekj xqIrk }kjk QthZ pSdks] fcyks ,oa QthZ ,yvkbZlh ikWfyfl;ks ds fo:} djksMks dh jkf'k dk iFkkUrj.k fd;k x;kA ;s iFkkarj.k vfHk;qDr 'kadj [k.Msyoky ,oa mlds lacaf/k;ks ds [kkrksa esa fd, tkus ds nLrkost orZeku vuqla/kku vf/kdkjh }kjk layXu fd, gSA bl izdkj "kM;a= ds rgr izkIr dh xbZ jkf'k dk iz;ksx vfHk;qDr 'kadj [k.Msyoky }kjk mldh dUVªD'ku daiuh esa fd;k x;kA bl izdkj djhc 230 djksM :i, dh jkf'k dk iFkkarj.k vfHk;qDr 'kadj [k.Msyoky dh daiuh dks Qk;nk igqapkus ds fy, vfHk;qDrx.k }kjk fd;k x;kA vuqla/kku vf/kdkjh }kjk vkjksii= ds lkFk ,sls nLrkost ladfyr fd, gS ftlls vfHk;qDr Hkkjr ckWEc o vfHk;qDr 'kadj [k.Msyoky }kjk vkilh lgefr ls "kM;a= djrs gq, vijk/k dkfjr fd;k tkuk izFke n`"V;k izdV gks jgk gSA ;g vo/kkj.kk ysus esa U;k;ky; dks ladksp ugh gS fd vfHk;qDr 'kadj 24 [k.Msyoky dks ;g Kkr Fkk fd O;fDrxr :i ls foiqy dkSf'kd ;k Hkkjr ckWEc 200 djksM :i, tSlh cMh jkf'k dk _.k Lo;a ds L=ksr ls mls miyC/k djkus esa l{ke ugh FksA ftu eseksjs.Me vkWQ v.MjLVsfMax dk gokyk fo}ku vf/koDrk } kjk cgl ds dze esa fn;k x;k gS] ;s nLrkost lk/kkj.k isij ij rS;kj fd, x, nLrkost gSa ftudh lR;rk ,oa izekf.kdrk ds laca/k esa fdlh izdkj dh iqf"V ugha gks jgh gSA vfHk;qDr 'kadj [k.Msyoky }kjk foiqy dkSf'kd ,oa Hkkjr ckWEc ds vfrfjDr Hkh laO;ogkj fd;k x;k gS rFkk mlds [kkrksa esa eSllZ eksckbZy ,slksfl,V~l] ,ojsLV vkf'k;kuk] jkt feujYl] inekorh ,aVjizkbZtst] eSllZ jkes'oje] eSllZ vfjgar] jkuw eksVlZ vkfn daifu;ksa ls Hkkjh jkf'k;ksa dk iFkkarj.k fd;k x;k] ftl laca/k esa fdlh izdkj ds eseksjs.Me vkWQ v.MjLVsfMax dks vfHk;qDr }kjk izdV ugha fd;k x;k gSA vuqla/kku esa ;g Hkh Kkr gqvk gS fd vfHk;qDr Hkkjr ckWEc }kjk eseksjs.Me vkWQ v.MjLVsfMax fnukad 30-11-2013 ij mlds gLrk{kj gksus dh Li"V rkbZn ugha dh xbZ gS rFkk lk{kh d`".k dqekj 'kekZ }kjk mlds c;kuksa esa ;g ys[kc} djok;k x;k fd ;g nLrkost nhikoyh R;kSgkj ds djhc o"kZ 2015 esa fu"ikfnr gqvk gS rFkk ftl izdkj ;g Kkr gksrk gS fd dkykUrj esa iwoZ frfFk dk nLrkost fujksfir fd;k x;k gSA d`".k dqekj 'kekZ lk{kh dk dFku gS fd tc mlus nLrkost gLrk{kfjr djs Fks] ml le; ;g uksVjkbZt ugha Fks rFkk mlds }kjk gLrk{kj o"kZ 2015 esa fd, x, Fks tcfd vc layXu nLrkost fnukad 30-11-2013 dks uksVjkbZt gksuk izdV gks jgk gSA blls bl nLrkost dh lR;rk ,oa izekf.kdrk lansgkLin izrhr gksrh gSAizdj.k esa izdV gks jgk gS fd /kesUnz ekBs vfHk;qDr 'kadj [k.Msyoky dh gksVy iyd iSjkMkbZt dk deZpkjh gSA d`".k dqekj 'kekZ }kjk ;g ys[kc} djok;k x;k gS fd fnukad 18-02-2016 dks Hkkjr ckWEc }kjk mls VsyhQksu ij lEidZ dj fuosnu fd;k x;k 25 fd 10 O;fDr;ksa dh cSad vdkm.V [kksyus ds fy, vko';drk gS ftl ij mlus 'kadj [k.Msyoky ls lEidZ fd;k rFkk 'kadj [k.Msyoky ds funsZ'k ij mlus mu O;fDr;ksa dks cqyk;k ftudk gkmflax yksu py jgk Fkk rFkk ftl yksu vdkm.V dks 'kadj [k.Msyoky }kjk bLrseky fd;k x;k rFkk 'kadj [k.Msyoky gh bl _.k dh fd'rksa dk Hkqxrku dj jgk gSA dqN O;fDr;ksa dks 'kadj [k.Msyoky }kjk cqyok;k x;k vkSj mUgksus egs'k dqekj xqIrk eSustj flafMdsV cSad] jfo /kuoky tks fd Hkkjr ckWEc dk deZpkjh Fkk] dh mifLFkfr esa nLrkost gLrk{kfjr djsA bl izdkj izdj.k esa lafyIr jgs fofHkUu vfHk;qDrksa dh Hkwfedk ds fo"k;

esa vuqla/kku tkjh gS ftlesa vfHk;aqDr 'kadj [k.Msyoky dh daiuh o laLFkkuks ls lacaf/kr deZpkjh Hkh lfEefyr gSA mijksDr rF;ksa o ifjfLFkfr;ksa esa vfHk;qDr 'kadj [k.Msyoky dk izdj.k esa lfEefyr u gksuk rFkk ek= okf.kfT;d laO;ogkj ds ekeys esa izkbZosV O;fDr;ksa Hkkjr ckWEc o foiqy dkSf'kd ls 200 djksM :i, tSlh jkf'k;ksa dk Lo;a ds [kkrksa esa izkIr djuk xaHkhj lansgkLin fLFkfr dks izdV djrk gS rFkk vfHk;qDr dh Hkwfedk ds fo"k; esa ladfyr nLrkostksa ls mldh vijk/k esa lafyIrrk izFke n`"V;k nf'kZr gksrh gSA izkFkhZ&vfHk;qDr dh vksj ls izLrqr U;kf;d n`"VkUr ds rF; gLrxr izdj.k ds rF;ksa ls fHkUu gksus ls vfHk;qDr dh dksbZ enn djrs izrhr ugha gksrsA mijksDr foospuk dh jks'kuh esa izkFkhZ&vfHk;qDr dks tekur dk ykHk fn;k tkuk mfpr izrhr ugh gksrkA Further, I have gone through the judgments cited by both the parties, as stated above, i.e. Sanjay Chandra Vs. Central Bureau of Investigation (2012)1 SCC 40 and, State of Gujarat v. Mohanlal Jitamalji Porwal and another, (AIR 1987 1321), Gajanand Aggarwal Vs. State of Orissa 2007 26 AIR SCW 2857, Sudha Verma Vs. State of Uttar Pradesh, AIR 2007 SC(Supp)779, and Himanshu Chandravardhan Desai & others Vs. State of Gujrat, AIR 2006 SC 179 and also 2012 Cr.L.J.1519 Dr.Subramanian Swamy Vs. Dr. Manmohan Singh and anr.

Prima facie, it is admitted that the accused petitioner along with other co-accused persons have committed fraud of Rs.1055 crores approximately, and charge- sheet has been filed. Further, it is admitted fact that the sentence punishable under Sec.467 Cr.P.C is of life imprisonment, and the offence punishable under Secs.13(2) read with Sec.13(1)(c)

(d) of Prevention of Corruption Act, 1988 are triable only by Special Judge, CBI Cases, in such circumstances, looking to the aforesaid facts & circumstances of the case, specially the seriousness of charge, the nature of accusation and severity of punishment in the case of conviction, the evidence in support of the charge, and the fact that the petitioner is involved in a very serious matter of conspiracy, cheating and defraud to public institutions in a systematic manner, as also action of the petitioner may jeopardize the economy of the country also, I am not inclined to accept this bail application.

Accordingly, looking to the facts and circumstances of the case and the findings arrived at by learned court below as quoted herein above, the learned court 27 below is found to have dealt with each and every aspect of the matter, and has rightly passed the impugned order. I am in unison with the findings arrived at by the learned court below. Hence, in view of above, I do not think it just and proper to accept this bail application. The bail application is hereby dismissed.

However, if the petitioner moves any application before the court below under Sec.54 of the Criminal Procedure Code, the court below after due satisfaction or after hearing both the parties, or after inquiring from concerned Medical Officer, or other responsible persons, will pass the appropriate order in accordance with law."

Thus looking to the aforesaid submissions, the second bail application filed by the accused petitioner be dismissed.

I have heard learned counsel for the accused petitioner, learned Special Public Prosecutor appearing for the CBI and carefully scanned the entire material made available to me.

Without commenting any opinion on the merits and demerits of the case but looking to the fact that no new developments have taken place after rejecting first bail application by this Court on 7.9.2016, at this stage it is not a fit case where indulgence of bail can be granted to the accused petitioner under section 439 Cr.P.C.

The second bail application filed by the accused petitioner under section 439 Cr.P.C is accordingly dismissed. If 28 the application filed by the accused petitioner before the court below under section 54 Cr.P.C is pending consideration, it is expected from the court below to decide the same in accordance with law"

I have heard learned counsel for the accused petitioner, learned Special Public Prosecutor appearing for the CBI and carefully scanned the entire material made available to me including the order dated 23.11.2016 passed by the trial court on the IInd bail application filed by the petitioner.
For ready reference, Section 54 of the Code Of Criminal Procedure, 1973 is reproduced as under:
54. Examination of arrested person by medical practitioner at the request of the arrested person.

When a person who is arrested, whether on a charge or otherwise alleges, at the time when he is produced before a Magistrate or at any time during the period of his detention in custody that the examination of his body will afford evidence which will disprove the commission by him of any offence or which will establish the commission by any other person of any offence against his body, the Magistrate shall, if requested by the 29 arrested person so to do direct the examination of the body of such person by a registered medical practitioner unless the Magistrate considers that the request is made for the purpose of vexation or delay or for defeating the ends of justice.

A plain reading of Section 54 of CrPC suggests that it is the Magistrate concerned who decides as to from which registered medical practitioner, the accused is to be treated and the accused has no option to get the treatment from his own choice Doctor.

Learned trial court while rejecting the second bail application of the petitioner, vide order dated 23.11.2016 recorded that after obtaining the opinion of the medical board, the jail authorities presented the accused in Oncology Department of SMS Hospital. The accused petitioner was taken to Birla Cancer Center on 16.8.2016 and on 25.10.2016, the Doctor concerned advised the petitioner to come on 28.11.2016 for surgery, but the accused petitioner wanted to get the treatment from the same 30 Doctor, who operated him in the year 2003 for Carcinoma in Mouth at Bombay Hospital and Medical Research Center, Jaipur.

Under any law there is no provision for the accused persons to get the treatment from the Doctor of their choice.

Furthermore, nothing was found to have been mentioned as to who was the Doctor and from whom he wished to get the treatment. Rather the application dated 14.7.2016 was about getting treatment from Max Hospital, Gurgaon for backbone ailment and not for cancer.

It has also been mentioned by the trial court in its order that the petitioner accused cannot throw his weight by willingness to tender 50 crores as he is not involved in any simplicitor money transaction, rather he is involved in a big scam and in this view of the matter, the learned trial court dismissed the IInd bail application of the petitioner.

31
     Looking         to          the        facts          and

circumstances of the case                   and the fact

that no new developments have taken place after rejecting the earlier bail applications, without expressing any opinion on the merits and demerits of the case, I am not inclined to grant indulgence of bail to the accused petitioner under section 439 Cr.P.C.

Rather, I am in unison with the findings arrived at by the learned trial court.

          Accordingly,            the       third         bail

application         filed         by     the           accused

petitioner under section 439 Cr.P.C is dismissed. However, the petitioner will be at liberty to file a fresh bail application before the trial court after change of circumstances.

(MAHESH CHANDRA SHARMA)J. DK