Delhi High Court - Orders
Religare Finvest Limited vs State Of Nct Of Delhi & Anr on 15 January, 2021
Author: Suresh Kumar Kait
Bench: Suresh Kumar Kait
$~42
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ CRL.M.C.128/2021
RELIGARE FINVEST LIMITED ..... Petitioner
Through: Mr. Mohit Mathur, Senior
Advocate with Mr. Sandeep Das,
Mr. Siddharth Sharma, &
Ms.Aishwarya Singh, Advocates
Versus
STATE OF NCT OF DELHI & ANR. ..... Respondent
Through: Mr. Amit Chadha, Additional
Public Prosecutor for respondent
No.1/State
CORAM:
HON'BLE MR. JUSTICE SURESH KUMAR KAIT
ORDER
% 15.01.2021 The hearing has been conducted through video conferencing. Crl. M.A.655 /2021 (Exemption)
1. Allowed, subject to all just exceptions.
2. Application is disposed of.
CRL.M.C.128/2021 & Crl.M.A. 654/2021 (for stay)
3. Vide this petition, petitioner is seeking quashing of order dated 14.01.2021, passed by Shri Gulshan Kumar, Learned Additional Sessions Judge, Saket District Courts, New Delhi, vide which respondent No.2 has been granted bail.
4. Notice issued.
5. Mr. Amit Chadha, learned Additional Public Prosecutor, accepts CRL.M.C.128/2021 Page 1 of 5 notice on behalf of respondent No.1/State.
6. Learned senior counsel for the petitioner submits that the instant petition stems out of FIR No. 50/2019, registered at Economic Offences Wing, Delhi registered on the compliant of petitioner. Learned senior counsel further submits that the first charge sheet in this FIR case was filed on 6th January, 2020 and though respondent No.2 was named in the FIR, he was not named in the first charge sheet, while respondent/State reserved the right under Section 173(8) Cr.P.C. to further conduct investigation into the role of respondent No.2 and he was formally arrested on 27.10.2020. However, supplementary charge sheet in this case is yet to be filed.
7. Learned senior counsel for the petitioner points out that the petitioner is a wholly owned subsidiary of Religare Enterprise Limited and is a listed public company. He submits that respondent No.2 has played an active role in rotation and siphoning of public funds of this company and has utilized for his personal benefits. Learned senior counsel submits that respondent No.2, in conspiracy with close business associates Malvinder Mohan Singh and Shivinder Mohan Singh, took active part in siphoning of funds to the tune of Rs.2,400 crores under the Corporate Loan Book Account (CLB) of the petitioner company and has thereby, misled and cheated the general public shareholders as well as bank and financial institutions, who had extended finances to the petitioner.
8. Learned senior counsel for the petitioner submits that the petitioner-company commissioned M/S AZB & Partners (AZB) to conduct a review of the forensic loans and transactions in Corporate Loan CRL.M.C.128/2021 Page 2 of 5 Book Account (CLB) and in the detailed report dated 27.09.2018 filed by AZB, it is averred that respondent No.2 had direct control of the following entities:-
(i) Nishu Finlease Pvt. Ltd. ("Nishu Finlease");
(ii) Decent Financial Service Pvt. Ltd ("Decent Financial");
(iii) Arch Finance Limited ("Arch Finance"); and
(iv) VSB Investments Pvt. Ltd. ("VSB Investments") The impugned order records that these entities are owned and controlled by the respondent No.2 or his family members.
9. It is further stated by learned senior counsel that besides the above entities, respondent No.2 is also in control of the following entities:-
(i) A&A Capital Service Pvt. Ltd ("A&A");
(ii) Shridham Distributors Pvt. Ltd. (previously known as Abhiruchi Distributors Pvt. Ltd.) ("Shridham");
(iii) Annies Apparel Pvt. Ltd ("Annies Apparel");
(iv) Gurudev Financial Services Pvt Ltd ("Gurudev Financial");
(v) Tara Alloys Pvt. Ltd ("Tara Alloys")
10. It is further stated by learned senior counsel for the petitioner that the loans under the CLB were issued on the oral instructions of either Hemant Dhingra or respondent No.2. and that since respondent No.2 received monthly e-mails from the treasury of petitioner- company regarding existing loans, the disbursement date of CLB loans was communicated by respondent No.2 and his entities prior to the commencement of the disbursal process. Learned senior counsel submits that respondent No.2 is trying to escape criminal liability but his link with CRL.M.C.128/2021 Page 3 of 5 the aforesaid entities is evident as one entity Tara Alloys, is a share holder of Decent Financials, which is admittedly owned by respondent No.2. Learned senior counsel submits that it is a clear case of benami ownership of respondent No.2 over these entities. Learned senior counsel points out that in proceedings before the National Company Law Tribunal, Principal Bench, these entities have filed their reply stating that these were controlled by respondent No.2 and were working with an understanding that loans obtained from petitioner/company were not to be repaid and the funds were transferred through intermediaries at the behest of petitioner/company to enable repayment of loans obtained from third parties.
11. Learned senior counsel for petitioner submits that investigation in this case is still pending and new facts and evidence are emerging and there is every likelihood that while on bail, respondent No.2 will try to influence the witnesses or tamper with the evidence. Learned senior counsel for petitioner submits that while granting bail to the petitioner, learned Trial Court has not appreciated that bail application of Sunil N Godhwani and Kavi Arora has been dismissed by this Court. Learned senior counsel submits that huge public amount is involved in this case and learned Trial Court has fell in error while holding that respondent No.2 is a mere conduit and not an active conspirator and also that siphoning of funds is ultimately to the benefit of Malvinder Mohan Singh and Shivinder Mohan Singh. Learned senior counsel submits that the impugned order suffers from several factual and material infirmities and deserves to be set aside.
CRL.M.C.128/2021 Page 4 of 512. On petitioner taking steps, notice be issued to respondent No.2.
13. Re-notify on 19.02.2021.
14. Till further orders, the impugned order dated 14.01.2021, passed by Shri Gulshan Kumar, Learned Additional Sessions Judge, Saket District Courts, New Delhi be not given effect to.
15. A copy of this order be transmitted to the Jail Superintendent concerned and Trial Court for information and necessary compliance.
16. The order be uploaded on the website of this Court forthwith SURESH KUMAR KAIT, J JANUARY 15, 2021 r CRL.M.C.128/2021 Page 5 of 5