Alchemist ARC to move Jaisalmer court against Pratip Chaudhuri's arrest

Alchemist Asset Reconstruction Company (ARC) will move Jaisalmer district court on November 8 against rejection of bail to its director Pratip Chaudhuri, who is a former chairman of the SBI. 

The Rajasthan Police had on Sunday arrested Chaudhuri in Delhi in connection with an alleged loan scam. He has been sent to judicial custody for 14 days for an alleged sale of a non-performing asset (NPA) —Hotel Gaudavan — to Alchemist ARC at a low value. The arrest was made on the basis of a protest petition filed by former directors of Hotel Gaudavan before the Chief Judicial Magistrate (CJM) Jaisalmer.

The court issued arrest warrants against eight people, including Chaudhuri. Seven others are yet to be arrested. Alchemist ARC will also file a review petition with the court, challenging the arrest warrants against other directors of the ARC.

Sachin Gupta, advocate for Alchemist ARC, said the due process of law was not followed in the case. "Courts are closed this week on account of Diwali and we will move court next week (Monday)... If the plea, including the stay on arrests, is not granted, we will consider approaching a higher legal forum (high court),” Gupta said.