A three-judges bench headed by Chief Justice N.V. Ramana, Justice Surya Kant and Justice Hima Kohli had decided to hear the bail application of promoter and Religare shareholder Shivinder Mohan Singh on merits post-Diwali.
The bench today heard the submissions of Senior Advocate Siddharth Luthra, who appeared for Shivinder Mohan, who pressed the bail application. Senior Advocate R. Basant appeared for the complainant.
Solicitor General Tushar Mehta made submissions that notice was issued only for limited purpose. Mehta said he is opposing the bail application because an amount of Rs 1,500 crore is involved in this scam. Luthra reiterated the order wherein bail was granted by the trial court to Shivinder that investigating officer has submitted before the court that no supplementary chargesheet will be filed regarding the petitioner.
“Investigation is closed, My Lord,” Luthra said, adding, “Chargesheet contains 19000 pages and 158 witnesses.”
Chief Justice Ramana said to Luthra: “We will let you go before the High Court of Delhi, and if there is any change in circumstances, we will direct the High Court to expedite the matter at earliest. We are not bothered and concerned about government is saying. Let High Court take it afresh.”
Luthra submitted to Bench that the matter before the appropriate court should be fixed time bound.
SG Mehta: “Kindly look at my affidavit, Mr. Luthra pointed out nothing new. In Page 13 of compliance affidavit, it states that chargesheet filed qua petitioner on 6.1.2020 and the Supplementary chargesheet against Shivinder and other entities were later filed. Delhi High Court order is of June 2021.”
Chief Justice Ramana told teh SG: Now, prosecution has changed its stand.
The Supreme Court earlier had issued notice to the National Capital Territory of Delhi to intimate the court as in how much time the investigation will be completed regarding the misappropriation of Rs 2397 crore through RHC Holding Pvt Ltd qua Director of Shell Entities, in relation to the bail plea of Shivinder Mohan Singh, promoter of several entities and shareholder of REL.
However, the three-Judge Bench of Chief Justice N.V. Ramana, Justice Surya Kant and Justice A.S. Bopanna did not consider the argument of bail at this stage. Luthra had argued that the petitioner has been languishing in judicial custody since October 2019, 23 months to be precise. Charge-sheet has been filed by the Investigation Officer. Shivinder can’t be kept for longer period of time in custody, contended Luthra.
However, the Bench observed, “These allegations are serious in nature. Investigation is going on. But admittedly, it has been observed by the Investigation officer that money has still to be traced out.”
Luthra submitted that it is not a case, where the bail application got dismissed twice. “I was granted bail by the trial court and then vide a High Court order, they sent back me to Jail,” he said.
Senior Advocate Basant for the complainant stated about more than Rs 2000 crore has been embezzled. Investigation is not closed yet. To which the CJI asked Basant, how much time will it take to complete the investigation. “You can’t be amending stories,” said the CJI.
The averments against Shivinder by the prosecution were that he concerted with other persons along with his brother in manipulating with the management affairs of the company. Shivinder, at the behest of his brother Malvinder Singh and other co-accused for their personal benefit, siphoned the funds of Religare Finvest Limited. By creating a Corporate Loan Book, he also utilised the company funds and corporate loan policy was never followed by the Sanctioning Authority.
Shivinder had approached the apex court seeking regular bail. Earlier, the accused was granted bail by the trial court and vide order dated June 14, 2021, the Delhi High Court set aside the trial court order of bail granted to Shivinder on the petition of Religare, which moved the Delhi High Court, challenging his bail. A First Information Report got lodged u/s 409, 420/120-B IPC. He contended before High Court that co accused bail was also dismissed ,considering the gravity and seriousness of offence.
Background
Religare Enterprises Ltd (REL) is a public listed company and Core Investment Company (CIC) which has made investments in its subsidiary companies, of which Religare Finvest Ltd. (RFL) is the one. Respondent No.2 having absolute control over REL and its subsidiary companies, put RFL in poor financial condition by way of disbursing the loans to the entities having no financial standing.
The High Court was of the view that the grant of bail in a case involving cheating, criminal breach of interest by an agent of such a large magnitude of money, affecting a very large number of people would also have an adverse impact not only on the progress of the case but also on the trust of the criminal justice system that people repose. Thus, the parameters set out by the Hon’ble Supreme Court for cancellation of bail in Kanwar Singh Meena (Supra) have been met.