Religare case: Delhi court dismisses Shivinder Mohan Singh's bail plea

Economic offenses having deep-rooted conspiracies and involving loss of public funds need to be viewed seriously, says court

A Delhi court on Wednesday dismissed former Fortis Healthcare Promoter Shivinder Mohan Singh's plea seeking to be released on bail in a money laundering case related to alleged misappropriation of funds at Religare Finvest Ltd.

Additional Sessions Judge Sandeep Yadav said the accused Shivinder Mohan Singh utilised the proceeds of crime and various acts attributed to him regarding the advancement of unsecured loans to different entities have come to the light during the investigation.

The court observed that the amount involved in the present case is huge (Rs 2,397 crore).

"It has been held in a catena of judgments that economic offenses constitute a class apart and needs to be visited with a different approach in the matter of bail. Economic offenses having deep-rooted conspiracies and involving loss of public funds need to be viewed seriously and considered as grave offenses affecting the economy of the country as a whole and thereby causing a threat to the financial health of the country," the court said.

Therefore, the sentence which conviction may entail will not be the sole criteria to determine the gravity of the offence, the court said agreeing with the point raised by Nitesh Rana, Special Public Prosecutor for Enforcement Directorate that in the economic offenses, it is the magnitude of the offense, which will determine the severity of the offense.

The court also noted that as per ED reply, Shivinder Singh misused the facility of provision of home-cooked food and to meet his family members for half an hour a day. The court noted that he managed to get a mobile phone inside the jail premises. The court noted that he used that mobile phone to talk and chat with his known persons and associates in the washroom.

"When the accused can indulge in such nefarious activities while being in custody, it will be reasonable to conclude that accused, if released on bail, will try to tamper with evidence and influence the witnesses," the court said in its order.

Singh was arrested in this case under charges of the Prevention of Money Laundering Act last year. Enforcement Directorate (ED) in January filed a charge sheet against former Fortis Healthcare promoter Malvinder Mohan Singh, Shivinder Singh and former CMD of Religare Enterprises Limited Sunil Godhwani in a money laundering case related to alleged misappropriation of funds at Religare Finvest Limited.

ED 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. The accused are undergoing judicial custody in the case.