Embraer deal kickbacks: Delhi HC notice to CBI on Gautam Khaitan's bail plea

New Delhi [India], September 9 : The Delhi High Court on Friday issued notice to the Central Bureau of Investigation (CBI) on a bail plea of Delhi-based lawyer Gautam Khaitan, recently arrested in connection with a case of alleged kickback paid by a Brazilian aircraft manufacturer to a middleman.
His bail plea was dismissed by the trial court on September 3, 2022.
The bench of Justice Jasmeet Singh on Friday sought a response from the CBI and a status report within one week and listed the matter for September 16, 2022.
Appearing for Gautam Khaitan, Senior Advocate submitted that this is a six-years-old FIR and his client has joined the investigation numerous times and fully co-operated with the CBI. The main accused/public servants in the case are still not identified.
The bail plea was moved on behalf of the applicant/accused Gautam Khaitan for grant of bail in FIR dated October 18, 2016, registered by CBI under Section 120 B and Section 7,8,9,12 and 13 (2) r/w Section 13(1)(d) of Prevention of Corruption Act 1988, (PC Act) against unknown officials of Ministry of Defence, Government of India, M/s Embraer Brazil, Vipin Khanna, M/s Interdev Pte. Ltd. Singapore and ors.
Khaitan was arrested in this case on August 25, 2022. He was remanded to police custody till August 29, 2022, and ever since, he has been in judicial custody in this case.
According to the CBI, the instant case is still under investigation and a probe regarding the involvement of public servants associated with the process of the procurement in question is still going on. Evidences pertaining to the role of concerned officers/officials of DRDO and the Indian Air Force, who were the accomplice of the accused persons are yet to be established. Since the case is under investigation, it is vehemently denied that the investigation regarding the concerned DRDO officials and the procurement in question has been concluded.
The trial court recently while dismissing the bail petition of Gautam Khaitan had noted that the instant case was registered on the complaint of the DRDO which led to preliminary inquiry revealing the deal of commission/kick-back money to the tune of USD 5.76 millions for the supply of 3 aircraft by M/s Embraer SA, Brazil to DRDO.
Although, the FIR was registered in 2016, for lack of cooperation from the foreign governments, the CBI was unable to get any lead in the matter to know the involvement of the public servants/officials of DRDO and the Indian Air Force in the deal. It is only after the collection of certain material evidence from the USA pursuant to the Mutual Legal Assistant Treaty and from the Government of Austria under Letter Rogatory, that the CBI has laid a hand on certain documents showing the involvement of the applicant/accused in the alleged deal, said the trial court.
The investigation is at the nascent stage as the applicant/accused was arrested less than 10 days before i.e. on August 25, 2022. The role of the public servants/officers of DRDO and IAF is yet to be established. The magnitude of the amount involved in the office is also huge. Further, the accused/applicant is also having previous involvement in one another serious offence of CBI case of Augusta West Land Matter wherein, he is already facing trial, said the court.
Keeping into account the facts and circumstances of the case, "I do not find the case fit for grant of bail to the applicant/accused at this stage when the probe for ascertaining the roles of public servants in the alleged offence is at the nascent stage because previously, on
account of lack of co-operation from foreign governments, CBI could not get any lead in the matter to investigate on that line or to arrest the accused persons. Application is hence rejected", the trial court ordered.
Gautam Khaitan was earlier also arrested for allegedly routing money in the AgustaWestland VVIP Chopper case and is presently on bail in the matter.