Kapil and Dheeraj Wadhawan
Kapil and Dheeraj Wadhawan|PTI
Litigation News

Yes Bank Case: Supreme Court stays Bombay HC order granting bail to DHFL promoters Kapil and Dheeraj Wadhawan

The Bombay High Court had granted default bail to the Wadhawan brothers due to failure on ED's part to file its chargesheet within 60 days.

Shruti Mahajan

The Supreme Court on Thursday stayed the bail granted to the DHFL promoters Kapil and Dheeraj Wadhawan in relation to the Yes Bank Scam.

The Bench of Justices Sanjay Kishan Kaul, Ajay Rastogi and Aniruddha Bose on Thursday stayed the order of the Bombay High Court granting bail to the Wadhawan brothers till October 7 when the next date of hearing is fixed for.

The Court also issued notice on the petition filed by the Directorate of Enforcement (ED) against the order of the Bombay High Court.

The Bombay High Court, on August 20 had granted default bail to the promoters of DHFL on the ground that the ED had failed to file its chargesheet against the accused within the statutory period of 60 days from their date of remand as laid out in Section 167 (2), CrPC.

The Wadhawans were arrested and remanded before a Magistrate on May 14. After this, they applied for bail on July 13. The lower court judge who heard the case on July 15 found that the period within which the investigation was to be completed started from May 15, that is, excluding the first day of remand.

In order words, the lower court had held that the two were not entitled to default bail, reasoning that the day of their remand would be excluded from calculating the statutory period of 60 days within which investigation is to be completed.

The Wadhawan brothers then approached the Bombay High Court with their plea for bail which was granted on August 20.

This order of the High Court will remain stayed till October 7 by virtue of Supreme Court's order passed on Thursday.

The top court has granted two weeks' time to the Respondents, Wadhawan brothers, to file counter-affidavits and another two weeks thereafter in case of rejoinder affidavit is to be filed by the investigating agency.

The ED was represented by ASG Surya Prakash V Raju with Advocates Zoheb Hossain, Kanu Agrawal, Rajan Chourasia and B Krishna Prasad.

The Respondents were represented by Senior Advocates Mukul Rohatgi, Amit Desai with Advocates Mahesh Agarwal, Subodh Desai, Gopalkrishna Shenoy, Rohan Dakshini, Ankur Saigal, Shubham, Akanksha Saxena and EC Agrawala.

Read the Order:

ED vs Dheeraj Wadhawan and Anr.pdf

Image from here.

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