Delhi’s Patiala House Court has dismissed the bail plea of Supertech chairman R K Arora, who was recently arrested by the Enforcement Directorate (ED) in a money laundering case. Arora was sent to 14 days of judicial custody on July 10, 2023.
The decision came after the court heard submissions from both the accused and the prosecuting agency. Arora had sought bail on the grounds that the actions of the ED were beyond its jurisdiction and in violation of the law. He argued that there was no proceed of crime in the case, and therefore, there could be no money laundering.
Arora’s defense maintained that the alleged diversion of funds relating to the purchase of land parcels by Supertech Limited was within the company’s objectives. They argued that the applicant had appeared for questioning multiple times and that there was no substantial evidence to support the alleged violations.
The ED, however, claimed that Supertech Limited had diverted funds to its group companies for the purchase of properties, resulting in illegal gains. The agency alleged that the accused had committed various criminal activities related to scheduled offenses and had acquired properties using the proceeds of crime.
The court deemed that a prima facie case for offenses under the Prevention of Money Laundering Act (PMLA) had been established. Arora’s defense lawyer argued that his client had been arrested without proper grounds and that no documentation had been provided to justify the arrest.
Overall, the court rejected Arora’s bail plea, maintaining that there were sufficient grounds to suspect the commission of the offenses. The case against Arora and Supertech Limited involves multiple allegations of cheating home buyers and diverting funds, leading to the provisional attachment of properties.
In conclusion, the Delhi Court’s dismissal of R K Arora’s bail plea signifies a significant development in the ongoing money laundering case involving Supertech Limited. The court’s decision reaffirms the need to thoroughly investigate and establish the veracity of the allegations against the accused. The case highlights the importance of ensuring transparency and accountability in the real estate sector to protect the interests of home buyers.
