DHFL Scam: Delhi High Court Dismisses CBI's Challenge Against Grant Of Default Bail To Wadhwan Brothers
The Delhi High Court today dismissed the Petition filed under Section 482 of the Code of Criminal Procedure by the Central Bureau of Investigation seeking the cancellation of bail of Kapil Wadhawan and his brother Dheeraj Wadhwan who were the former promoters of Dewan Housing Finance Corporation Limited (DHFL).
The single-judge bench of Justice Dinesh Kumar Sharma held that there is no infirmity in the order of the Special Judge granting bail. The Court also held that the Chargesheet filed by the CBI is incomplete.
Senior Advocate Rebecca John along with Advocates Ashish Hira and Rohan Dakshini appeared for Respondent No.1 and Senior Advocate Amit Desai along with Advocates Prakhar Parekh and Deepa appeared for Respondent No. 2.
In the order passed by the High Court, the Judge observed that neither of the parties have argued on the merits of the case and that in the impugned order has inter alia held that the chargesheet filed was incomplete. "I consider that there is no ground to interfere with the order impugned", the Court said.
The High Court further held that "It is the jurisdiction of the Magistrate/Special Judge alone to decide that the material placed by the prosecution along with the report/chargesheet is sufficient to take cognizance or not." The High Court also observed that "The Judge has taken a reasoned and conscious view that the chargesheet so filed, on the face of it is incomplete, therefore this Court finds it difficult to interfere with the same."
Terming the chargesheet filed by the CBI incomplete, the High Court stated that the Court is of the considered opinion that the chargesheet filed by the CBI is piecemeal and incomplete chargesheet and terming the same as a final report under CrPC is merely to mute the statutory and fundamental rights. High Court also observed that it will also be against the mandate of Article 21 of the Constitution and thus the Criminal MC filed by CBI was dismissed.
The Wadhwan brothers were granted bail on December 3, 2022, by a Special Judge, PC Act, Rouse Avenue District Courts. The Order came to be challenged by the CBI before the High Court, the duo brother had given an undertaking to the Court that they will not proceed with their bail bonds before the learned Special Court.
The DHFL promoters had contended that the chargesheet filed is incomplete, against the provisions of Section 173 Cr.P.C. and in fact no legal and valid chargesheet in the eyes of the law. The brothers had claimed before that therefore they should be released on statutory bail. It is alleged that DHFL company through the present Petitioner and others in conspiracy with each other took loans from 17 banks and fraudulently by abusing their official position diverted/ misappropriate approximately Rs. 34,926.77 crores by committing forgery, cheating, criminal breach of trust and falsifying the books of accounts etc.
The Special Judge, PC Act, in the impugned order had observed that the "Application of the accused persons Kapil Wadhawan and Dheeraj Wadhawan under Section 167 (2) Cr.P.C. is disposed off. They are found entitled to statutory bail without discussing merits of the case because of incomplete chargesheet."
The Special Judge had also asked the promoters to submit a personal bond of Rs. 50 lakhs with one surety bond of the same amount and that they shall not leave the country without the permission of this court and have to surrender their passport.
Cause Title: Central Bureau of Investigtation v. Kapil Wadhawan & Anr [CRL.M.C. 6544/2022]