Delhi High Court - Orders
Anant Raj Kanoria vs Union Of India & Ors on 4 September, 2023
Author: Subramonium Prasad
Bench: Subramonium Prasad
$~30
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ W.P.(C) 3313/2023
ANANT RAJ KANORIA ..... Petitioner
Through: Mr. Dayan Krishnan, Mr. Ankur
Chawla, Mr. Abhimanyu Bhandari,
Mr. Mudit Jain, Mr. Arav Pandit,
Advocates
versus
UNION OF INDIA & ORS ...... Respondents
Through: Mr. Ajay Digpaul, CGSC with Mr.
Kamal Digpaul, Ms. Swati Kwatra,
Ms. Ishita Pathak, Advocates for UoI
Mr. Ravi Prakash, Sr. Standing
Counsel with Mr. Aman Rewaria, Mr.
Yasharth Shukla, Advocates
CORAM:
HON'BLE MR. JUSTICE SUBRAMONIUM PRASAD
ORDER
% 04.09.2023 CM APPL. 43461/2023
1. The Petitioner has filed the instant writ petition seeking quashing of a Look Out Circular (LOC) opened against the Petitioner. The Petitioner, by way of the present application, has approached this Court seeking permission to travel to the United States of America from 03.09.2023 to 18.09.2023 for the purpose of his medical treatment.
2. Material on record reveals that two companies, namely, SREI Infrastructure Finance Ltd. ("SIFL") and SREI Equipment Finance Limited, W.P.(C) 3313/2023 Page 1 of 5 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 16/09/2023 at 16:14:35 ("SEFL") which are non-banking finance companies registered in Kolkata and are engaged in the business of financing of Infrastructure and Equipments. Material on record reveals that an FIR bearing No. 220 of 2021 was registered against members of Kanoria Family, who were running the aforesaid two companies, under section 420, 467, 468, 471, 474, 476, 323, 504, 506, 511 and 120B of Indian Penal Code, 1860 at Kotwali Jaunpur, U.P. It is stated that one Sh. Hari Prasad Kanoria and his sons, namely, Sh. Hemant Kanoria, Sh. Sujit Kanoria and Sh. Sunil Kanoria are the promoters and directors of the Kanoria Group. The Petitioner herein is the son of Sh. Sunil Kanoria. It is stated that the Petitioner was one of the beneficiaries of the Kanoria Foundation which is the promoting entity of SIFL and SEFL through another company called Adisri Commercial Private Limited which holds over 60 percent shares in SIFL, whereas the SEFL is a wholly owned subsidiary of SIFL.
3. Material on record further reveals that the aforesaid two companies i.e., SIFL and the SEFL defaulted on the repayment of dues to their creditors and, thereafter, insolvency proceedings have been initiated against SIFL and SEFL, and the total claim comes out to be over Rs.32,000 crores and more than Rs.10,000 crores have been reported as Fraudulent Transactions.
4. Learned Senior Counsel appearing for the Petitioner submits that the Petitioner is a patient of epilepsy and is being treated by a doctor in Boston, USA, since 2010. He states that the Petitioner has been advised by his doctor to get an electroencephalogram (EEG) test done in the USA and the same is scheduled for 05.09.2023. He further submits that the Petitioner has been called for investigation on 27.03.2023, 03.04.2023, 28.04.2023, 18.05.2023, 12.06.2023, 13.06.2023, 04.07.2023 & 11.07.2023 and he has appeared W.P.(C) 3313/2023 Page 2 of 5 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 16/09/2023 at 16:14:35 before the investigating authority on all dates and has co-operated with the investigation. He states that the Petitioner has neither been named in the FIR nor has he been named in the ECIR and no complaint has been registered against the Petitioner. He states that all the allegations are against Petitioner's uncle and father. He further states that the proceedings which have been initiated before the adjudicating authority under the Prevention of Money Laundering Act, 2002 have been stayed by this Court. He states that the Petitioner has extensive business interests in the country and has roots here and, therefore, the apprehension of the Respondents that the Petitioner will not return back is without any basis.
5. Per contra, learned Counsel for the Respondent/Directorate of Enforcement contends that the treatment for which the Petitioner is going to the USA is easily available in the country. He further states that the investigation is at a very crucial stage and permitting the Petitioner to go abroad will hamper the investigation. It is further stated that the Petitioner is not co-operating with the investigation and is giving false answers. He states that the Petitioner has got assets across the world and if he is permitted to go abroad he will tamper with proceeds of crime. It is further stated that the Petitioner's wife is in USA and there is a possibility that the Petitioner might not return to the country. He places reliance on the Order dated 24.05.2022, passed by this Court in CRL. M. C. 6638/2022, titled as Dr. Kanwar Deep Singh v. Directorate of Enforcement, wherein this Court has rejected the request of the Petitioner therein, who was suffering from cancer, to travel abroad for treatment.
6. Heard learned Counsel for the Parties and perused the material on record.
W.P.(C) 3313/2023 Page 3 of 5This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 16/09/2023 at 16:14:35
7. At this juncture, while considering the present application for permitting the Petitioner to go abroad, this Court does not want to make any observations on the merits of the case as it can prejudice both the Parties. The Petitioner herein has not been named in the FIR or in ECIR nor has any complaint is registered against him. Material on record indicates that the Petitioner has been called for investigation on eight dates and the Petitioner has appeared before the office of Enforcement Directorate on all the dates. Considering the fact that the Petitioner wants to go abroad for the purpose of his medical treatment and material on record does suggest that the Petitioner is a patient of epilepsy and is being treated by a doctor in Boston, USA from 2010, this Court is inclined to permit the Petitioner to go to Boston, USA only for the purpose of medical treatment from 06.09.2023 to 18.09.2023 on the following conditions:
a) The Petitioner shall furnish a bank guarantee of Rs.100 crores to the satisfaction of the Registrar General of this Court with two sureties in the like amount of persons who are living in India.
b) The Petitioner shall remain in Boston, USA throughout his period of stay abroad and will not travel outside Boston.
c) The petitioner shall also provide a phone number which would be used by him during his stay abroad, the number will be kept operational at all times.
d) The Petitioner shall not travel to any other country other than USA.
e) The Petitioner shall give his complete itinerary indicating the places where he will stay in Boston, USA to the Registrar W.P.(C) 3313/2023 Page 4 of 5 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 16/09/2023 at 16:14:36 General of this Court.
f) The Petitioner shall return to India on or before 19.09.2023 and shall report to the Registrar General within 24 hours of his return to India.
8. Accordingly, the application is disposed of.
W.P.(C) 3313/2023
1. List before Registrar General on 05.09.2023.
2. List before Court on 14.09.2023, the date already fixed.
SUBRAMONIUM PRASAD, J SEPTEMBER 04, 2023 Rahul W.P.(C) 3313/2023 Page 5 of 5 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 16/09/2023 at 16:14:36