PMC Bank Fraud Case: Bombay High Court Rejects Rakesh Wadhwan's Medical Bail Plea; Says He's Receiving Best Possible Treatment In Govt Hospital

The Bombay High Court on Thursday rejected Housing Development Infrastructure Ltd (HDIL) promoter Rakesh Wadhwan's medical bail plea. He is accused of money laundering in the multi-crore Punjab and Maharashtra Co-operative (PMC) Bank Ltd fraud case. Wadhwan claimed that he should be released for further treatment, possibly a bypass if required, as medical facilities in the government hospital were not up to the mark. Justice Nitin Sambre noted that Wadhwan was receiving the best possible treatment at a well-known Government/Corporation Hospital and there is nothing on record to infer otherwise. At the government hospital, doctors successfully implanted a dual-chamber pacemaker in Wadhwan during an emergency. The court was further informed that arrangements were being made to prepare a cardiac care unit (CCU) at the BMC-run KEM Hospital. "It cannot be inferred that the right of the Applicant guaranteed under Article 21 of the Constitution for having proper medical treatment in super-speciality hospital is violated. Rather, various medical treatments which are given to the Applicant are proved to be lifesaving at this stage," the Court observed. The court then rejected Wadhawan's medical bail and interim applications. "Claim put-forth by the Applicant that he is immediately required to be released on temporary bail on medical ground is not justified. As such, both these Applications lack merit and stand rejected." However, the court granted Wadhawan liberty to approach the High Court again, if the facilities of a cardiac-ICU were not made available. Arguments Advocate Arjun Vinod Bobde argued that Wadhawan suffered from Covid-19 lung disease with cytokine storm and associated multiple comorbidities, low WBC count and immunosuppression. He claimed that KEM hospital, where Wadhawan is admitted, didn't have a cardiac ICU and in government setup due to heavy patient footprints, his client suffered from pneumonia which was required to be treated with IV antibiotics. The State's counsel APP P.P. Shinde while opposing the prayer for bail pointed out that the Cardiac Care Unit would be set up within a week and Wadhawan was given necessary treatment from time to time. Advocate Hiten S Venegaonkar, for ED, said that experts including pulmonologists, nephrologists, and cardiologists, have been treating Wadhawan in civic hospital and must not be released on bail. PMC Bank Scam The PMC Bank, with 16 lakh depositors, was placed under an RBI administrator on September 23, 2019, for six months due to massive under-reporting of dud loans. Over a long period of time, the bank had given more than Rs 6,700 crore in loans to HDIL, which is 73 per cent of its total advances, and which turned sour with a shift in the fortunes of the now bankrupt company. Its total loans stand at around 9,000 crores and the deposits at over Rs 11,610 crore. Rakesh and Sarang Wadhawan, promoters of HDIL, were arrested by the Economic Offences Wing and booked under sections 406, 409, 420, 465, 467, 471, 120B of the Indian Penal Code. Subsequently, the Enforcement Directorate filed a money laundering case against the two under sections 3 read with Section 4 of the Prevention of Money Laundering Act.

PMC Bank Fraud Case: Bombay High Court Rejects Rakesh Wadhwan's Medical Bail Plea; Says He's Receiving Best Possible Treatment In Govt Hospital

Sharmeen Hakim

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