Why not drop cases against eco fugitives?: Supreme Court

The Supreme Court has suggested to the Centre to consider withdrawing criminal cases against over a dozen fugitives like Vijay Mallya and Nirav Modi if they were prepared to refund the money they had taken from the banks in India.

A Bench of Justices Sanjay Kishan Kaul and M M Sundresh on Tuesday noted that government agencies like the CBI and the Enforcement Directorate are trying for years to bring them to India and yet there is no 100% guarantee that the fugitives will ever return to clear their bank debts.

Instead of frittering away years in legal proceedings to bring back the fugitive businessmen, the Bench said a better course would be to grant them protection from arrest on return to India if they agree to refund the money.

It was hearing a case of Hemant S Hathi of the Sterling Group who fled along with the promoters from India after defaulting on Rs 14,500 crore bank loans. His counsel said he is prepared to refund the money provided the government guarantees he won’t be harassed on return to India and it will withdraw all criminal cases.

The counsel said Hathi has already returned Rs 600 crore to the banks and he is prepared to return the balance of around Rs 900 crore. The Bench was inclined to accede to his plea to let him return the arrears and come clean.

“You’re chasing many people around the world but you haven’t been able to get anything out of them. Here, he is offering to refund money. So, some criminal proceedings can be stayed and he (Hathi) can be allowed to come back."

Additional Solicitor General S V Raju told the court on behalf of the CBI that the agency has no problem if the fugitives want to come back and clear their dues; he assured the court that Hathi will not be arrested if he returns and pays off the dues.

The Bench asked the ASG to consider extending 3-pronged relief to such fugitives: Quash all criminal cases once they clear all bank dues; they should have freedom of movement to be able to set up business in any part of the country; and no coercive steps be taken against them in criminal cases, provided they are ready to repay money borrowed from the banks.

Published on: Thursday, February 03, 2022, 08:50 AM IST