Heera Gold Scam: Supreme Court warns Nowhera Shaik to return ₹25 crore to investors or go to jail

The Supreme Court on Wednesday warned Nowhera Shaik, Managing Director of Heera Gold Exim Private Limited, to return ₹25 crore taken from investors or face imprisonment in the fraud and cheating case involving investors nationwide or else her bail shall stand cancelled. [Nowhera Shaik & Another vs. Union of India & Others].A Bench comprising Justice JB Pardiwala and Justice R Mahadevan said that her bail would be cancelled if she is not able to return ₹25 crores.The Court also ordered her to refrain from further advertisements, warning that any violation would result in cancellation of bail."We propose a last opportunity to accused. An amount of ₹25 crore shall be deposited by her within period of two months, failing which her bail shall stand cancelled and she should be sent back to jail by ED. We direct the accused not to engage in further advertisement. If this court find that she indulged in advertisement, she will be sent back to jail," the Court directed..Senior Advocate Kapil Sibal, representing Shaik, stated that she had no money. However, the Court insisted that she borrow or arrange the amount by any means. "We request learned counsel for petitioner to impress upon accused to pay heed to our orders," the Court made it clear..The Court took serious note of the repeated violations of its orders since November 11, 2024, when the surrender deadline was extended on the condition that she pays ₹25 crore."We reiterate that if the amount of ₹25 crores is not deposited within 2 months, he bail shall stand cancelled," court emphasized..The case arose when Heera Gold Exim Private Limited, a gold trading company, amassed substantial public deposits, promising a 36% return on investments. However, when the company defaulted on dividend and maturity payments, investors from various states filed complaints, citing allegations of fraud and deception.Following this, the Serious Frauds Investigation Office (SFIO) initiated an investigation into Heera Gold and Nowhera Shaik, and the inquiry remains ongoing. Numerous cases related to the matter are still pending across Telangana, Andhra Pradesh, Maharashtra, Karnataka and Delhi.In January 2021, the Supreme Court granted her interim bail on the condition that she would settle the claims of the investors. "It is towards the aforesaid endeavour that we are willing to enlarge the petitioner on interim bail as a probation period for her to show her bona fides to settle the claims of the investors making it clear that lack of strict compliance will take her to the four corners of the custody once again with little chance of getting out thereafter," Court directed in its January 2021 order..[Read Live Coverage].Follow Bar and Bench channel on WhatsAppDownload the Bar and Bench Mobile app for instant access to the latest legal news.