Supreme Court Extends Interim Bail Granted To Ex-Delhi Minister Satyendar Jain On Medical Grounds In ED Case Till September 1st

Senior Advocate Dr. Abhishek Manu Singhvi appearing for Jain submitted that he is undergoing rehabilitation after a crucial spinal operation.

Additional Solicitor-General SV Raju however vehemently opposed the extension of interim bail "Please ask him to surrender and fix the matter. He should be treated like an ordinary prisoner. Not a case of medical bail. Extension not justified, even for a day." he submitted.  The ASG also insisted that the application for independent examination by AIIMS be considered.

"He wants a swimming pool in jail. Not everyone can afford this. If required, if that's a part of his physical therapy, we can take him to a swimming pool." the ASG said. "Look at the type of medical advice. Shower - standing. Showers are usually had standing". He added. 

"We'll take him to swimming pool for physiotherapy”, the ASG said. To which Justice Sundresh responded in a lighter vein, "What to do? If he does physiotherapy in jail, you'll take photos and publish them." "His co-accused are doing that" the ASG responded. 

The bench was at first inclined to order Jain to surrender on September 5, and for his main bail application to be taken up around a week after that. However, Singhvi objected to this, arguing that a surrender order was not necessary inasmuch as he was prepared to make a case for bail on merits any day. In fact, the senior counsel started making his submissions, but the bench stopped him. Finally, it amended its order and directed that Jain's interim bail would be extended till September 1, on the same day, on which the main application will be heard by the Supreme Court.

Background

In 2017, the Central Bureau of Investigation accused Jain and others of laundering money to the tune of Rs 11.78 crore during 2010-2012 and Rs 4.63 crores during 2015-16, when he had become a minister in the Delhi government. It was alleged that the money laundering exercise was carried out through three companies – Paryas Infosolution, Indo Metalimpex, Akinchan Developers, and Mangalayatan Projects.

Jain allegedly had given money to some Kolkata-based entry operators of different shell companies for accommodation entries, through his associates. The entry operators had then allegedly re-routed the money in the form of investment through shares in Jain-linked companies after ‘layering them through shell companies’.

The case lodged by the Directorate of Enforcement is based on the CBI complaint and alleges that Jain signed conveyance deeds for the purchase of agricultural lands by Prayas Infosolutions in 2011 and 2012. The central agency has further alleged that the land was later transferred to family members of Jain's associates who denied knowledge about the transfers.

Last year, the ED year attached properties worth Rs. 4.81 crores belonging to five companies and others in the money laundering case against Jain and others. These assets reportedly were in the name of Akinchan Developers, Indo Metal Impex, Paryas Infosolutions, Mangalayatan Projects, and J.J. Ideal Estate etc. The Aam Aadmi Party leader was taken in custody in connection with the money laundering case on May 30, 2022.

In November of last year, the bail application of the former cabinet minister was dismissed by a trial court, which said that it had prima facie come on record that Jain was ‘actually involved’ in concealing the proceeds of crime by giving cash to the Kolkata-based entry operators and thereafter, bringing the cash into three companies against the sale of shares to show that income of these three companies was untainted.

Subsequently, his bail was denied by the Delhi High Court as well in April, on the ground that he was an influential person and had the potential of tampering with evidence. As such, the twin conditions under the Prevention of Money Laundering Act, 2002 were held to not be satisfied. Justice Dinesh Kumar Sharma also denied bail to co-accused Vaibhav Jain and Ankush Jain.

In May, a vacation bench headed by Justice JK Maheshwari granted interim bail to the Aam Aadmi Party leader on medical grounds, which was extended by the court earlier this month.

Case Title

Satyendar Kumar Jain v. Directorate of Enforcement | Special Leave Petition (Criminal) No. 6561 of 2023

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