Court rejects ex-Bhushan Steel CMD's bail plea in money laundering case

A special court on Tuesday rejected the regular bail plea of ex-Bhushan Steel chief managing director Sanjay Singhal in connection with a multi-crore money laundering case pertaining to an alleged bank loan fraud. He is currently in lodged in judicial custody.

Special Judge Arun Bhardwaj while dismissing the bail heard the arguments from advocate Sidharth Luthra, representing the accused and Nitesh Rana, who appeared for the Enforcement Directorate (ED). The ED strongly opposed the bail application.

The agency submitted that Singhal has been "evasive" and is giving an "incorrect answers" during the questioning.

Singhal's counsel, however, stated, "There is no serious apprehension that the applicant will not be available to face the trial...he is no more the CMD of the company and therefore, cannot commit an offence similar to the offence of which he is accused."

Earlier, the court had dismissed an interim bail plea of Singhal on medical grounds. The court had also directed him to be provided with an orthopaedic mattress and western toilet in the jail.

Singhal's interim bail petition stated that he is old with a fragile heart and is being treated and on medication for multiple ailments. Singhal stated that he is seeking bail from the court in order to enable him to consult, get examined and treated by his trusted medical professionals and receive appropriate medical treatment.

The ED had arrested Singhal under the Prevention of Money Laundering (PMLA) Act. It had recently attached assets worth Rs 4,025 crore of Bhushan Power and Steel Ltd (BPSL).

"BPSL had used various modus operandi to siphon funds obtained as loans from various banks/financial institutions," the ED had said in an official statement.

( With inputs from ANI )