The Delhi High Court granted bail to former Religare promoter Shivinder Mohan Singh in connection with a money laundering case related to alleged fraud in the Religare Finvest Ltd (RFL).
In this matter, there are four accused, Shivinder Mohan Singh; applicant’s brother, Malvinder Mohan Singh; Sunil Godhwani, and M/s RHC Holding Pvt. Ltd.
The ED had, in January, filed a charge sheet against Shivinder Mohan Singh, former Fortis Healthcare promoter Malvinder Mohan Singh and former Religare CMD Sunil Godhwani in a money laundering case related to alleged misappropriation of funds at ReligareFinvest Limited (RFL).
The Enforcement Directorate’s (ED’s) allegation is that the applicant is stated to be a 50% shareholder and one of the promoters of one M/s RHC Holding Pvt. Ltd., which company along with the applicant and other associate entities in-turn is said to have held about 50% shareholding of one M/s Religare Enterprises Ltd. as on March 31, 2016.
The M/s ReligareFinvest Ltd. is a non-banking financial company (NBFC) recognized by the Reserve Bank of India (RBI) and is stated to be engaged in the business of providing loan facilities to small and medium enterprises.
During the hearing, Singh’s counsel had submitted that the ED has already filed its prosecution complaint in the case and therefore no purpose would be served by keeping his client in further custody. He had also submitted that the evidence in the case was documentary in nature.
However, the counsel appearing for the economic offenses watchdog had submitted that granting bail to Singh would hamper the probe in the matter.
The directorate had told the court that there is enough evidence to initiate proceedings against the three accused under the charges of the Prevention of Money Laundering Act (PMLA). All other accused in the matter is undergoing judicial custody in the matter.
A bench of Justice Anup Jairam Bhambhani granted bail to Singh on him furnishing a personal bond of Rs 1 crore and two sureties of 25 lakh each by his family members.
The High Court also directed Singh to surrender his passport and not leave the country without the prior permission of the court.
Other conditions imposed by the court include providing a contact number to the investigation officer, cooperating in the investigation, not tampering with the evidence, not contacting or engaging directly with the officials of the financial institutions or banks involved in the case.
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