QNet scam: SC questions high court’s order denying bail to Ferreira, others

NEW DELHI: The Supreme Court on Monday questioned the Maharashtra high court’s decision to cancel anticipatory bail of former World Billiards champion Michael Ferreira and four others in the case related to the multicrore QNet scam.

A bench of justice PC Gose and justice AK Roy directed the state government to submit the details of the money laundering probe against the accused. Ferreira and the other accused have approached the top court for pre-arrest bail.

They have challenged the Bombay High Court’s May 6 verdict, in which the anticipatory bail that was granted to them earlier was cancelled.

“We need to know as to why their liberty has been curtailed. The HC order notes the fact they were reporting to the police till the time they were on bail. What is so grievous that the bail was cancelled?” the bench asked state counsel.

Bombay HC judge Justice Mridula Bhatkar had declined pre-arrest bail to the accused on the ground that the probe into the case was still on.

According to police, Ferreira had started operations of QNet, a multi-level marketing company, in India via his firm, Vihaan Enteprises. They posed as a marketing firm which sold bio-discs, watches, herbal products and holiday packages. They claimed that by using the bio-disc, one can cure cancer and brain diseases.

The investigators claim that in the alleged `1,000 crore-scam, more than 5 lakh investors lost their money. Ferreira and the other four accused are facing charges under various sections of the criminal law for cheating investors and using forged documents.

They are also facing charges under Section 3 of MPID which deals with fraudulent default by a financial establishment.