Naresh T Jain vs. The State Of Maharashtra

Facts

Two bail applications were filed by Anil O. Khandelwal (Chief Financial Officer of Cox and Kings Limited - CKL) and Naresh Tikamchand Jain (Internal Auditor of CKL) in connection with C.R. No.30 of 2020, registered by the Economic Offences Wing for offences under Sections 406, 409, 465, 467, 468, 471, 477A read with 120-B of the Indian Penal Code. The applicants are co-accused in a case concerning the default in repayment of a loan of Rs. 174.32 crores to Kotak Mahindra Bank, advanced as working capital between November 2012 and August 2019. The prosecution alleges falsification of accounts and diversion of funds. Anil O. Khandelwal has been incarcerated since December 28, 2020, and Naresh Tikamchand Jain since March 17, 2021. Charge-sheet has been filed.

Held

The Court allowed both bail applications. The Court noted that the applicants, Anil O. Khandelwal (CFO) and Naresh Tikamchand Jain (Internal Auditor), were seeking bail after prolonged incarceration. It was highlighted that the main accused, Ajay Ajit Peter Kerkar, had been granted bail by the Supreme Court, and Anil O. Khandelwal had also been granted bail by this Court in a related matter. Furthermore, both applicants had secured bail from the PMLA Special Court on grounds of delay in trial commencement and their long period of custody. The Court observed that the Complainant Bank had advanced substantial amounts over a long period (7 years) and questioned whether adequate due diligence was performed, especially given the allegations of falsified accounts. While acknowledging that the complicity of the accused would be determined at trial, the Court found that the applicants had made out a case for bail based on their long incarceration and the aforementioned orders. The applicants were directed to be released on bail with specific terms and conditions, including furnishing bail bonds, reporting to the Investigating Officer, cooperating with the trial, not leaving the state without permission, and surrendering their passports.

Key Issues

1. Whether the applicants are entitled to regular bail under Section 439 of the Code of Criminal Procedure, 1973, considering their period of incarceration and the bail granted to the main accused and co-accused. Petitioner's Arguments: - The main accused, Ajay Ajit Peter Kerkar, was granted bail by the Supreme Court on August 29, 2024. - Anil O. Khandelwal was previously granted bail by this Court on August 13, 2024, in a related matter with similar allegations. - Both applicants have been granted bail by the PMLA Special Court on April 30, 2024, on grounds of delay in trial commencement and long incarceration. - The applicants claim parity with the main accused and co-accused who have been enlarged on bail. - They have fully cooperated with the investigation. Respondent's Arguments: - The judgment records no specific arguments from the State.