Bombay HC Grants Bail To Sujit Patker In ₹32 Crore BMC COVID-19 Jumbo Centre Scam; Cites ‘Bail Is Rule, Jail Exception’ Principle

Mumbai: The Bombay High Court on Wednesday granted bail to businessman Sujit Patker, an alleged aide of Shiv Sena (UBT) MP Sanjay Raut, in the COVID-19 jumbo centre scam case. The court observed that while there is prima facie material indicating Patker’s involvement, his continued incarceration is not justified since the investigation is complete.

Justice Amit Borkar, while granting Patker bail, emphasised that “bail is the rule and jail is the exception,” and noted the delay in commencement of trial and the time already spent by Patker in custody since his arrest in July 2023.

“If the allegations as they stand are taken at face value, they prima facie indicate complicity of Patker in the generation of proceeds of the crime; however, continued incarceration is not warranted, especially when the investigation is complete,” the court stated.

Patker was arrested by the Enforcement Directorate (ED) for his alleged role in a ₹32 crore scam related to the management of a COVID-19 jumbo centre in Worli. He was one of the four partners of Lifeline Hospital Management Services, which had been awarded the contract by the BMC during the pandemic.

The ED alleged that Patker and others cheated the BMC by under-deploying doctors and producing fake bills, and that Patker alone was linked to ₹18 crore of the misappropriated amount.

Patker had moved the high court after a special court rejected his bail plea in November 2024, noting that the accused had “played with the lives of people during the pandemic.”

However, Justice Borkar took a different view. “The applicant has been in custody since July 2023 and the trial is not showing signs of commencing in the near future. These factors must be evaluated in light of the overarching principle that bail is the rule and jail is the exception, especially when there is no likelihood of the accused tampering with evidence or absconding,” the court said.

The judge further noted that co-accused Hemant Gupta, who was responsible for routine management at the centre, was never arrested. “Parity with other similarly placed accused must also be considered,” he said.

The court added that statements of co-accused alone cannot justify continued custody unless backed by independent evidence. “Whether the applicant alone engaged in laundering or acted under the firm’s collective policy is a matter for trial,” it said.

The court directed Patker to furnish a personal bond of ₹1 lakh and comply with other bail conditions.