Mumbai : The Bombay High Court on Friday granted bail to the two IDBI bank officials who were booked in the Rs 900 crore loan default case of Vijay Mallya.
Former Chairman Yogesh Aggarwal and former deputy Managing Director BK Batra had approached the single-judge bench of Justice Sadhana Jadhav seeking bail. The duo was denied bail by a special Central Bureau of Investigation (CBI) court in February.
According to the CBI, Aggarwal and Batra had shown undue favour to the defunct Kingfisher Airlines and had sanctioned loans of nearly one thousand crore to Mallya. The agency had sought their custody on the ground that it was conducting further probe.
In her order, Justice Jadhav observed that the CBI had failed to justify why it required their further custody given the fact that the agency has already filed its chargesheet against them.
“Despite the serious charges against the present applicants (Aggarwal and Batra) the core issue before this Court is whether further incarceration of the applicants was warranted after completion of investigation against them and after filing of the charge-sheet,” Justice Jadhav said.
Justice Jadhav also considered the submission that the decision to sanction loans for Kingfisher was a unanimous decision of the Board of Directors of IDBI. “It is also submitted that the entire Board of Directors had failed to foresee the doomsday of Kingfisher Airlines or that Vijay Mallya would cheat banks,” Justice Jadhav said.
Justice Jadhav also held that there would be no question of tampering of evidence by Aggarwal and Batra on their release as they have retired on superannuation.