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Sterling Biotech case: Court extends alleged middleman's judicial custody

Press Trust of India  |  New Delhi 

A court has extended till November 1 the judicial custody of a man accused of sending Rs 25 lakh cash to a senior leader's residence in connection with the over Rs 5,000 involving Gujarat-based Sterling Biotech.

Satish Kumar Arora, who had earlier issued open-ended non-bailable warrants against pharma firm's directors, including and Nitin Jayantilal Sandesara, extended the custody of Ranjit Malik alias Johny after he was produced before the court.

An "open-ended NBW" does not carry a time limit for execution unlike non-bailable warrants (NBW).

and A R Aditya, appearing for the ED, told the court that further extension of the custody was required as the probe was at a crucial stage.

Malik was arrested by the agency for allegedly sending Rs 25 lakh through one to the politician's residence in the national capital.

The ED in its charge sheet had told the court that the probe will continue in the matter and supplementary charge sheet is likely to be filed.

The charge sheet against Malik also named Delhi-based Gagan Dhawan, who was arrested earlier in the case and is currently out on bail. Malik was allegedly a middleman for Dhawan.

Besides Sandesra brother, the court had also issued NBW against Chetan's wife Dipti Sandesara, also a director in the firm, and her brother

The open-ended NBWs were issued after ED told the court that the four accused were likely to have left the country.

In its charge sheet, the ED had told the court that the directors of the firm, along with others, had taken loans of over Rs 5,000 crore from a consortium led by which turned into non-performing asset (NPA) or bad loan.

The ED registered a money laundering case in this instance after taking cognisance of an FIR filed earlier by the CBI.

The CBI had booked Vadodara-based Sterling Biotech, its directors Nitin, Chetan, Dipti, and Vilas Joshi, chartered Hemant Hathi, Garg and some unidentified persons in connection with the alleged

According to the FIR, the total pending dues of the group of companies were Rs 5,383 crore as on December 31, 2016.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Wed, October 10 2018. 19:10 IST