Madhya Pradesh High Court
Narendra Prajapat vs Union Of India on 10 May, 2023
Author: Vivek Rusia
Bench: Vivek Rusia
-1-
IN THE HIGH COURT OF MADHYA PRADESH
AT I N D O R E
BEFORE
HON'BLE SHRI JUSTICE VIVEK RUSIA
ON THE 10th OF MAY, 2023
MISC. CRIMINAL CASE No. 17708 of 2023
BETWEEN:-
NARENDRA PRAJAPAT S/O MOTILAL PRAJAPAT,
AGED ABOUT 62 YEARS, OCCUPATION: SERVICE,
R/O 65, SHUBHAMVILLA, NANAKHEDA, UJJAIN
(MADHYA PRADESH)
.....APPLICANT
(SHRI LAKHAN SINGH PANWAR, LEARNED COUNSEL FOR THE
APPLICANT.)
AND
UNION OF INDIA, THROUGH POLICE STATION
C.B.I., BHOPAL (MADHYA PRADESH)
.....RESPONDENTS
(SHRI KUSHAL GOYAL, LEARNED DEPUTY ADVOCATE GENERAL FOR THE
RESPONDENT / STATE.)
--------------------------------------------------------------------------------------------------------
This application coming on for orders this day, the court passed the
following:
ORDER
[1] This is the first application filed by the applicant under Section 439 of the Code of Criminal Procedure, 1973 for grant of bail in connection with Crime No.RC0092018A001/2018 registered at Police Station -Central Bureau of Investigation (CBI), Bhopal (M.P.) for offences punishable under Sections 420, 467, 468, 471, 120-B of IPC & -2- Section 13(2) r/w section 13(1)(d) of the Prevention of Corruption Act, 1988. The applicant is in custody since 18.12.2019. [2] As per prosecution story, Vijay Kumar Harit, Chief Manager, PNB, Assets Recovery Management Branch, Indore lodged a written complaint against M/s Anupam Trading Company, District Ujjain; Arpan Prajapati (proprietor of M/s Anupam Trading Co., Ujjain); Narendra Prajapati (guarantor); Rajesh Shrivastava (Bank's approved valuer); unknown officials of Punjab National Bank, Branch Kanthal, District Ujjain and unknown others alleging criminal breach of trust, cheating and fraud in the matter of disbursement of cash credit, hypothetical loan by PNB Kanthal Branch, District Ujjain to M/s Anupam Trading Company, district Ujjain causing wrongful loss of about Rs.4,50,33,781/- to PNB during the period July, 12 to October, 16. The FIR was registered on 27.3.2018 u/s 120-B, 420, 467, 468 & 471 IPC & 13(2) r/w 13(1) (d) of the PC Act, 1988 by the CBI. The investigation has revealed that Anupam Trading Company which is engaged in the trading of coal was granted the sanctioned cash credit (hypo) loan of Rs.4.00 crore by the PNB, Branch Kanthal, district Ujjain which was further enhanced on 13.12.2013 to Rs. 7 crores and for the purpose of aforesaid loan the coal stock and book debts were hypothicated as primary security. Narendra Prajapati stood as a guarantor, mortgaged his 3 immovable properties as collateral security in favour of the bank. Rajesh Shrivastava, the impaneled valuer has valued the aforesaid mortgaged property at Rs.1162.18 It is alleged in the charge sheet that the aforesaid primary security, stock and debt book were depleted by the borrower Arpan Prajapati without any information -3- to the bank and he did not Deposit the sale amount of the primary security with the bank. It has also been revealed that the value of the mortgaged property of the guarantor Narendra Prajapati as collateral security was shown on the higher side. An amount of Rs.4,50,33,781/- with interest was outstanding against Anupam Trading company which has turned NPA. The investigation has further revealed that the loan application dated 20.07.2012 was proceeded by the applicant Sudhir Kumar Kad, Senior Manager, PNB, Kanthal Branch who was functioning as Loan In-charge in the bank. He has failed to mention in the process note that the firm was availing cash credit of Rs.95 lakhs from the Allahabad Bank. He did not verify the document relating to the business of coal trading of the firm and on the basis of forged documents i.e. loan closure certificate of Allahabad bank, land diversion order dated 12.05.2011 has processed the loan which was later on enhanced to Rs.7 crores. Accordingly, he has been made as one of the accused in the case.
[3] Learned counsel for the applicant submits that this applicant has been granted benefit of bail in other criminal cases by Coordinate Bench of this Court. He is in jail since 18.12.2019. No further custodial interrogation is required. As on today, the Bank has recovered Rs.2,21,00,000/- by auctioning the mortgaged properties. If he is released, he will cooperate with the Bank for recovery of the remaining amount by selling the properties at a higher rate. Other co-accused persons have granted bail by this Court as well as by the Apex Court. Since, the applicant and his father both are in jail, therefore, the Bank is selling the properties by way of auction on throwaway prices, therefore, -4- he may be enlarged on bail.
[4] Learned counsel appearing for the CBI opposes the application by submitting that out of Rs.7,00,00,000/-, only Rs.2,50,00,000/- could be recovered and if this applicant is released, he will create hindrance in recovery proceedings. He is the son of main mastermind of this entire scam. Hence, the present application be rejected.
Heard both sides.
[5] So far as present case is concerned, this applicant has acted as guarantor. He is in jail since 18.12.2019. The trial has not begun so far as prosecution has not examined any witnesses. In identical facts and circumstances the Apex Court has granted bail. Order dated 24.02.2023 is reproduced below:-
''Leave granted.
We have heard learned counsel for the parties. Taking into consideration the facts and circumstances, we are of the considered opinion that the appellant is entitled to be enlarged on bail. The appellant is, accordingly, directed to be released on bail on such terms and conditions as deemed fit and proper by the trial court.
The appeal is allowed accordingly.
Pending application (s), if any, shall also stand disposed of.'' [6] Considering the facts and circumstances, without commenting on the merits of the case, the application filed by the applicant - Narendra Prajapat is allowed. The applicant is directed to be released on bail on his furnishing a personal bond in the sum of Rs.2,00,000/- (Rupees Two lacs Only) with one solvent surety of the like amount to -5- the satisfaction of the trial Court for his regular appearance before the trial Court during trial with a condition that he shall remain present before the court concerned during trial and shall also abide by the conditions enumerated under Section 437(3) Cr.P.C. [7] The appellant shall surrender his passport before the trial court and would not leave the country without leave of trial court. The appellant will not create hindrance in recovery proceedings otherwise Bank or CBI have liberty to apply for cancellation of bail.
(VIVEK RUSIA) JUDGE Divyansh Digitally signed by DIVYANSH SHUKLA Date: 2023.05.12 12:54:52 +05'30'