16 Years On, Gujarat Bank Scam Accused Couple Denied Bail In ₹38.75 Crore Case
Summarized by AI; it may make mistakes. Check important info
Summarized by AI; it may make mistakes. Check important info
A Sessions Court has rejected the regular bail applications of a couple accused in a ₹38.75-crore financial scam involving the Gujarat Industrial Co-operative Bank, noting that they had allegedly remained absconding for nearly 16 years.
Bhupendrabhai Mistry, 66, and his wife Nitaben Mistry, 63, were arrested by the CID Crime Branch after remaining at large in connection with the case registered in 2010. Following their arrest, the couple was sent to Sabarmati Jail.
Court Cites 16-Year Absence From Law
While rejecting their bail pleas, the court noted that the accused had been evading the law for 16 years in connection with an offence dating back to 2010.
The court also observed that the allegations involved a financial loss of ₹38.75 crore to the bank and that fraud of such a nature ultimately affects the wider economy. Considering the seriousness of the allegations and the prolonged period for which the accused had remained absconding, the court held that releasing them on bail would not be in the interest of justice.
Case Registered Over Alleged Bank Irregularities
The CID Crime Branch in Gandhinagar had registered the case in 2010 in connection with an alleged multi-crore scam involving the Gujarat Industrial Co-operative Bank.
According to the prosecution, Nitaben Mistry, proprietor of Vraj Traders, and Bhupendrabhai Mistry, proprietor of Jay Ambe Traders, allegedly acted in collusion with officials of the bank to withdraw crores of rupees without providing security or submitting formal loan applications.
The prosecution alleged that funds were obtained by discounting third-party cheques that were never sent for clearing. The accused couple also allegedly obtained loans through irregular means, causing a financial loss of ₹38.75 crore to the bank.
Prosecution Opposes Bail
Opposing the regular bail applications, Chief Public Prosecutor Sudhir Brahmbhatt told the court that a warrant under Section 70 of the CrPC had been issued against the accused and proceedings under Section 82 had also been initiated.
The prosecution argued that despite these proceedings, the couple had remained absconding for 16 years.
It further submitted that the accused had allegedly acted together to cause the bank a financial loss of ₹38.75 crore and that the gravity of the allegations warranted rejection of their bail pleas.
After hearing arguments from both sides, the Sessions Court rejected the regular bail applications of Bhupendrabhai Mistry and Nitaben Mistry.
