TMI Blog2014 (9) TMI 1281X X X X Extracts X X X X X X X X Extracts X X X X ..... ion and this statement was recorded by the High Court in its order dated 30-7-2013. But till date, the assurance given to the High Court is not fulfilled. Even this Court had directed the petitioner to facilitate his son's coming back to India to join investigation, however, there is no positive response from the petitioner. His approach is evasive. There is no doubt that his purpose is to shield his son. The petitioner is, therefore, in breach of the condition imposed on him while granting provisional bail that he will cooperate with the investigating agency. The provisional bail was granted to him with the hope that the petitioner will cooperate with the Police. His conduct is to the contrary. The provisional bail, therefore, deserves ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ies and abuse of its position in NMCE by M/s. Neptune Overseas Limited ( NOL ), the anchor Promotor of NMCE. The Report of the Auditors appointed by the Commission pointed out irregularities committed by NMCE. A show cause notice was issued to the petitioner, who was the Vice-Chairman and Managing Director of the NMCE, under Section 4(b) of the Act. An Inquiry was conducted and after analysis of evidence, the Commission observed as under:- a) Embezzlement of huge funds from the Exchange through ATSPL amounting to atleast Rs.28.80 crore. b) Irregularities in the allotment of shares of NMCE to NOL, including misuse/misappropriation of Exchange funds for the said purchase. c) Misuse of Exchange funds running in crores of rupee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... id report, this Court observed that the status report discloses that the investigation into fraud and siphoning of funds was in progress. This Court further observed that from a reading of the report it appears that the provisional attachment order no. 08/2013 has been passed under Section 5 of the Prevention of Money Laundering Act attaching 33,45,729 shares of NMCE held by the companies allegedly controlled by the petitioner. This Court also noted that another provisional attachment order had been made on 31-12-2013 by which further shares worth Rs.12 crores approximately were attached. This Court noted that the charge-sheet had been filed and a supplementary charge-sheet against the petitioner s wife had also been filed in the matter. In ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at considering the gravity of the offence and the large scale embezzlement of the NMCE funds and considering the fact that the value of the shares which were attached by the investigating agency has been considerably reduced, the petitioner should deposit at least Rs.20 crores in this Court. Learned senior counsel for the petitioner made a statement that he will take instructions in this behalf. Hence, the Special Leave Petition was adjourned to 22-8-2014. On 22-8-2014, this Court adjourned the present matter for one week to enable learned Senior Counsel for the petitioner to make a statement as to when the petitioner s son will come back to India and also when he will deposit the amount. Yesterday, when the matter was heard, we were inf ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n investigation, however, there is no positive response from the petitioner. His approach is evasive. There is no doubt that his purpose is to shield his son. The petitioner is, therefore, in breach of the condition imposed on him while granting provisional bail that he will cooperate with the investigating agency. The provisional bail was granted to him with the hope that the petitioner will cooperate with the Police. His conduct is to the contrary. The provisional bail, therefore, deserves to be cancelled and is accordingly cancelled. His bail bond stands cancelled. We have perused the impugned order. The High Court has rightly declined bail to the petitioner. In our opinion, it is not necessary to interfere with the impugned order. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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