Hindustan Times (Gurugram)

Demonetisa­tion fraud: Court denies bail to bank manager

- Htreporter­s@hindustant­imes.com

NEW DELHI: A special court has denied bail to a suspended officier of a private bank who was arrested in a case of alleged irregulari­ties in facilitati­ng the conversion of about ₹35 crore worth of demonetise­d currency.

Special judge Hemani Malhotra dismissed the bail plea of Ashish Kumar, the then manager of Kotak Mahindra Bank, saying the allegation­s against him were serious and prima facie showed that he had cheated the government and public of crores of rupees.

Kumar, who is in custody since December 22, 2016 in another case, was arrested by the Delhi Police in this case on March 28 for alleged offences of cheating, criminal breach of trust, forgery of a valuable security, using forged document as genuine and criminal conspiracy.

“The facts and circumstan­ces thus prima facie reflect that accused (Kumar) cheated the government and general public to the tune of crores of rupees in a well-thought and systematic manner and was aided by coaccused and other associates of his who are still at large,” the court said.

The judge also said that since the allegation­s against the accused were “grave and serious in nature and the fact that investigat­ion is still underway, I do not see any premise to grant bail to Ashish Kumar. Same is accordingl­y dismissed.”

Prosecutio­n alleged that during the probe, it was found that co-accused Raj Kumar Goel and his associates were engaged in earning profits by routing money into various accounts by using forged documents. They received commission from the clients who either needed money by cheque or in cash.

The accounts were opened by Goel and his associates in Kotak Mahindra Bank and ICICI Bank, Naya Bazar branch here. On November 8, 2016 when the government announced demonetisa­tion, Goel conspired with Kumar, one chartered accountant and a mediator who used to bring demonetise­d currency to the bank to convert it into new notes and earned profits, it said.

It alleged that though Goel’s accounts were in different branches, Kumar and the chartered accountant allowed him to deposit old currency notes in the bank’s Connaught Place branch.

Prosecutio­n alleged that after demonetisa­tion, Goel opened accounts in Naya Bazar branch in the names of various companies and deposited ₹34.75 crore in both the branches.

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