Bank fraud case: Delhi Court quashes lookout circular against ex-MD of Surya Vinayak Industries
Jul 02, 2023
New Delhi [India], July 2 : The Rouse Avenue Court of Delhi has quashed the lookout circular (LoC) issued against Sanjay Jain, former Managing Director of Surya Vinayak Industries Ltd. in an alleged bank fraud case to the tune of Rs 300 crore.
Chief Metropolitan Magistrate on Saturday, quashed an LoC which was issued by the Immigration Bureau on request of the Central Bureau of Investigation against Sanjay Jain.
Central Bureau of Investigation (CBI) registered a case in the year 2014 under the provisions of the Indian Penal Code (IPC) against Sanjay Jain and other promoters and directors of Suryavinayak Industries on the complaint of the Deputy General Manager of Allahabad Bank of Parliament Bank in New Delhi alleging fraud committed in the account maintained by Suryavinayak Industries and diversion of funds to the tune of Rs 316 crores.
The complaint also contained allegations of forgery by submitting false and fictitious details of Sundry creditors and debtors and monthly stock statements to cheat and defraud the bank.
A Look Out Circular was opened against Sanjay Jain by Immigration Bureau at the request of CBI. Subsequent to the completion of the investigation, a chargesheet was filed before the court of Magistrate against Sanjay Jain and others that took cognizance of the offences mentioned in the Chargesheet and summoned the accused persons including Sanjay Jain.
Sanjay Jain had filed an application before the Magistrate to quash the LoC on various grounds including that chargesheet has been filed against him and also requested the court to direct CBI to bring on record the proforma for issuance of LoC against him.
Adv Vijay Aggarwal and Adv Yash Agrawal appearing on behalf of Sanjay Jain argued before the court that the investigation of the case started in the year 2014 and in the present matter chargesheet has also been filed which shows investigation has been completed, therefore, the lookout circular deserved to be quashed.
Aggarwal further argued that Sanjay Jain is a permanent resident of New Delhi and has travelled multiple times abroad since the issuance of LOC with the permission of Delhi High Court as well as with permission of the Magistrate in the present case and has duly returned back and complied with all the conditions imposed vide said orders. To buttress his submission, Adv Aggarwal drew attention of the Court to an order passed by Delhi High Court which has taken note of the conduct of Sanjay Jain and thereafter permitted him to travel abroad.
