Delhi Court Accepts CBI's Closure Report In Loan Conspiracy Case Involving NDTV Founders Prannoy Roy & Radhika Roy

A Delhi Court on Thursday (January 23) accepted the closure report filed by the Central Bureau of Investigation (CBI) in a case involving allegations of criminal conspiracy against TV news channel NDTV's founders Prannoy Roy and Radhika Roy with ICICI Bank officials over a loan advancement. Special Judge (PC Act), Shailender Malik of Rouse Avenue Courts accepted the CBI's report that the Roys did not violate Section 19(2) of the Banking Regulation Act, 1949, which mandates that a banking company cannot hold shares in any company as pledgee, mortgagee or absolute owner exceeding 30% amount of the paid-up share capital of that company or paid-up share capital and reserves.The complaint against the NDTV promoters was filed by Sanjay Dutt the Director of M/s Quantum Security Pvt. Ltd. Allegations made in the complaint stated that for financial year 2008-09 the promoter of M/s NDTV Limited namely Dr. Prannoy Roy and Mrs. Radhika Roy along with RRPR Holding Pvt. Ltd., acted in concert and made an open offer of Rs.438.98 per fully paid up equity share of Rs.4 each, to acquire upto 1,26,90,257 fully paid up shares of face value of Rs.4 each of NDTV Limited, representing 20% of voting share capital of that company. It was alleged that the Roys and M/s RRPR Holding Pvt. Ltd entered into a criminal conspiracy with officials of ICICI Bank He alleged that in pursuance of the conspiracy, ICICI Bank advanced a loan of Rs. 375 crores and took over the entire shareholding of Roys as a collateral, in contravention of Section 19(2) of Banking Regulation Act. The Court noted that the CBI had concluded that there was "no collusion or criminal conspiracy" with the bank officials or violation of Section 19(2) of Banking Regulation Act. It was concluded that since there was no regular payment of interest on the amount of loan, committee of directors of ICICI in its meeting held on 09.02.2009 decided to reduce DSRA balance to the amount equivalent to six months interest instead of nine months interest as approved earlier."It also came in closure report that there was no collusion or criminal conspiracy or abuse of official position by any public servant or officers of ICICI bank for reduction of rate of interest from 19% to 9.65%. Even forensic audit of record of loan conducted by M/s Pramod Kumar and Associates, opined that there seems to be normal business transaction and by closing loan by ICICI Bank, there was no violation of Section 19(2) of Banking Regulation Act," the order notes. The Court also noted that the complainant Sanjay Dutt (complainant) had made a statement that he was "satisfied" with the CBI's investigation. Being satisfied with the Closure Report, the Court said, "Upon going through entire closure report, documents annexed with the same coupled with submissions made by ld. PP for CBI as well as statement given by the complainant to the effect that he is satisfied with the investigation of CBI in the present case, this Court accepts the closure report filed by CBI as no criminality or violation of Section 19(2) of Banking Regulation Act, 1949 has been found by any of the accused persons. Therefore closure report appears to be satisfactory and hence it is accepted."Case title: CBI vs. Closure Report (Pronnoy Roy and ors.) (CLOR 19/2024) Click Here To Read/Download Order

Delhi Court Accepts CBI's Closure Report In Loan Conspiracy Case Involving NDTV Founders Prannoy Roy & Radhika Roy

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Delhi Court Accepts CBI's Closure Report In Loan Conspiracy Case Involving NDTV Founders Prannoy Roy & Radhika Roy

Sanjana Dadmi

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INR 1099+GST

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