New Delhi: In a prominent move, the Delhi High Court on Friday asked the special CBI court to furnish original documents to ascertain claims of two corporate honchos, accused of facilitating transfer of Rs 200 crore from DB Group firms to DMK-run Kalaignar TV in 2G scam. Agencies
"The trial court is directed to hand over these documents (pertaining to purported loan transactions) to the investigating officer who shall bring them here on the next date of hearing on June 20," Justice Ajit Bharihoke said.
Justice Bharihoke had recently dismissed bail pleas of alleged beneficiaries of Rs 200 crore bribe trail -- DMK MP Kanimozhi and Kaliagnar TV MD Sharad Kumar.
Seeking bail for Rajeev Agarwal and Asif Balwa, the directors of Kusegaon Fruits and Vegetable Private Ltd, their counsel said that a loan was advanced to Cineyug Films which,
in turn, paid the money to Kalaignar TV and the CBI has wrongly termed the money transfers as bribe transactions.
Justice Bharihoke sought originals of the alleged agreements executed between Kalaignar TV, Cineyug Films Pvt Ltd and Kusegaon Fruits and Vegetable Pvt Ltd.
It has been alleged that D B Group, promoted by Shahid Balwa, after "unauthorisedly" getting the UAS licenses with active connivance of former Telecom Minister A Raja routed Rs
200 crore bribe through its group firms, Kusegaon Fruits and Cineyug Films, to Kalaignar TV.
The alleged bribe money came back through the same route after Raja was summoned for the first time for investigation on December 24, 2010.
The accused, however, claimed that the alleged bribe routing was inter-corporate loan transactions. Vijay Agarwal, counsel for Asif and Rajeev Agarwal who are in Tihar jail along with other high-profile co-accused in the Supreme Court-monitored case, said the CBI did not consider the valid loan documents and arrayed them as accused.
Justice Bharihoke also sought the original copy of the communications between Cineyug and Citi Bank which were cited by advocate Agarwal as a proof that the money was received for
The accused had claimed that Cineyug Films wanted to acquire stakes in Kalaignar TV and, hence, transferred the money to the channel for subscribing its shares.
Later, Cinyug Films, due to financial reasons, chose not to buy the stakes and treated transferred money as loan, Agarwal argued.
The counsel also attempted to rebut the court's earlier findings in dismissing bail applications of Kanimozhi and Sharad Kumar, saying, "They (Asif and Rajeev) are small
persons. They neither run a political party nor share power nor run a telecom company."
Justice Bharihoke, dismissing bail plea of the DMK MP, had said that she belonged to a political party which shares power at the Centre and may use financial and politicial clout
to influence the witnesses.
Pressing for their bail, the counsel said there was a contradiction in CBI's charge sheet about the source of the alleged bribe which travelled from DB realty to Kalaignar TV through Kusegaon and Cineyug.
"They (CBI) do not know where the money came from. At one place they say its came from Etisalat Mauritius and at another they say the money came from IL&FS. Charges on the
accused can be alternative but facts cannot be," he said.
The court, however, rejected the contention saying "the question is whether DB group companies passed on the money to Kalaignar TV through this route or not. If yes, then
the source of money is irrelevant."
The counsel for accused also cited a report of an accounting firm saying the whole transaction was a genuine business transaction and not gratification as alleged.
He, however, did not tell the name of the accountant despite being asked several times by Justice Bharihoke to name the person who conducted the survey of accounts.
Vehemently opposing their bail pleas, senior advocate and CBI prosecutor U U Lalit said the money was bribe and the whole argument of genuine transaction was a "smokescreen"
to hide the actual offence.
Lalit said Kusegaon Fruits, which has authorized capital of Rs one lakh only, gave a loan of Rs 206 crore to Cineyug Films though lending was not its business.
"Lending money is not your idea and principle and you are not a non-banking financial institution. With a share capital of Rs one lakh, you have given loan of Rs 200 crore,"
The money was advanced during December 2008 to August 2009, whereas the interest was paid first time in December 2010 after the investigation picked up.
"They paid because now the heat was on and they had to create records," Lalit said.
The High Court, so far, has dismissed the bail plea of seven high-profile accused including Unitech Group MD Sanjay Chandra and Reliance ADAG Group MD Gautam Doshi in the case.
Raja has not moved his bail application in any court of law.
Kanimozhi moves Apex Court
Meanwhile, DMK MP Kanimozhi and Kalaignar TV MD Sharad Kumar, accused in the 2G spectrum case, moved the Supreme Court seeking bail.
Kanimozhi, the 43-year-old daughter of DMK chief M Karunanidhi, and Kumar have challenged the Delhi High Court verdict rejecting their bail.
"We have filed a Special Leave Petition on behalf of both Kanimozhi and Kumar challenging the High Court order," senior advocate V G Pargasm said.
The High Court had on June 8 dismissed the bail pleas of Kanimozhi and Kumar, saying they have strong political connections and the possibility of them influencing witnesses cannot be ruled out.
New Delhi: In a prominent move, the Delhi High Court on Friday asked the special CBI court to furnish original documents to ascertain claims of two corporate honchos, accused of facilitating transfer of Rs 200 crore from DB Group firms to DMK-run Kalaignar TV in 2G scam.