New Delhi: Swan Telecom promoter Shahid Usman Balwa’s bail plea was dismissed by Delhi High Court on Tuesday in the 2G spectrum allocation scam. Balwa’s cousin Asif Balwa and associate Rajeev Agarwal bail plea were also rejected.

"All the three bail pleas are dismissed," Special CBI Judge O P Saini said.

Asif and Rajeev are the directors of DB Realty group firm--Kusegaon Fruits and Vegetables Pvt Ltd which was allegedly used in a "circuitous manner" for transfer of Rs 200 crore as a kickback to DMK-run Kalaignar TV Pvt Ltd.

They are accused of playing key roles in the transfer of Rs 200 crore bribe to Kalaignar TV through various firms promoted by Shahid Usman Balwa.

Shahid was arrested on February 8 while Asif and Rajeev were arrested by the CBI on March 29 and they are currently in Tihar Jail.

Rajeev is also the director of Conwood Constructions and Developers Pvt Ltd (a partner of Dynamix Realty).

Shahid allegedly is direct beneficiary of the 2G spectrum allocation scam with his firm Swan Telecom having been alloted the spectrum licence as per a criminal conspiracy hatched by him along with former Telecom Minister A Raja and others.

While opposing the bail pleas of the trio, Special Public Prosecutor U U Lalit had submitted that Dynamix Realty acquired 49 per cent shares in Cineyug Films Pvt Ltd (held by co-accused Karim Morani) only subsequent to the transfer of the bribe money and they all were the umbrella companies of DB Realty.

He had also rebutted the submission of the defence that the alleged "illegal gratification" of Rs 200 crore was actually for the shares of Kalaignar TV and the same was called back after the valuation of the share was higher than assessed and Rs 200 crore would not have fetched good shares.

HC notice to CBI on bail plea of Kanimozhi

The Delhi High Court today issued notice to the CBI on the bail pleas of DMK MP Kanimozhi and Kalaignar TV MD Sharad Kumar in the 2G spectrum case.

"Issue notice to the CBI for May 30," Justice Ajit Bharihoke, who yesterday dismissed the bail pleas of five corporate honchos in the case, said.

The court also asked the probe agency to file a status report detailing the stage of investigation and the judicial proceedings in the case on the next date of hearing.
Kanimozhi, the 43-year-old daughter of DMK Supremo M Karunanidhi, and Sharad Kumar had approached the high court yesterday with their bail applications after the special CBI
court order their "forthwith" arrest on May 20.
Rejecting their bail applications, the special court had said that the offence attributed to them was grave and the possibility of influencing the witnesses cannot be ruled out.
Kanimozhi, who sought bail in the Special Court on ground of being a woman, had approached the high court seeking relief citing the need to look after her school-going child who is devoid of the care of his father working abroad.
"The petitioner (Kanimozhi) is having a single school-going child to be taken care of. Her husband is employed abroad and the court should grant bail to her," said the bail plea, filed by the daughter of the DMK patriarch through advocates V G Pragasam, S J Aristotle and Sudarshan Rajan. Kanimozhi and Kumar were named in the CBI charge sheet for allegedly receiving a kick back to tune of Rs 200 crore.

Both Kanimozhi and Kumar have 20 per cent stake each in Kalaignar TV Pvt Ltd which received Rs 200 crore through a circuitous route. DMK chief's wife Dayalu Ammal owns the remaining 60 per cent stake in the channel.
In her bail plea, the DMK MP claimed she is innocent and has been falsely implicated in the case due to "the biased media reporting concocted on the basis of conjectures and surmises."
She said she had cooperated with the CBI in its investigation and also voluntarily complied with court's summons. She also referred to the special judge's observation in the order that she had shown "extremely dignified conduct" in the court by appearing regularly and said she should be granted bail.

"She is a respectable person having roots in the society. Being a Member of Parliament and a law-abiding citizen, she will neither flee from justice nor will tamper with evidence nor interfere with the course of trial," she added in her plea.

"As a Member of Parliament and whip of DMK party in the Rajya Sabha, she has to attend Parliament sessions and all party meetings convened from time to time in connection with
parliamentary business", she said.

Judge raps accused for bid to take phone into jail

A special Delhi court hearing the 2G spectrum scam case Tuesday pulled up Rajeev Agarwal, a co-accused and Director of Kusegaon Fruits and Vegetable Pvt. Ltd., for his aborted attempt to carry a mobile phone with him into Tihar Jail. Central Bureau of Investigation (CBI) Special Judge O P Saini rapped Agarwal for trying to carry a mobile phone into the jail Friday. A jail guard prevented him from doing so.

'If any of the accused is found involved in such illegal activity, I will not even allow his family members to meet him during court proceedings. So be careful,' warned Judge Saini. 'I will only see you and you will see me,' said the court, adding that it was not good that 10-12 members of one accused's family come to court daily.

'If the court is giving you the liberty to meet your family in the courtroom, then why should you all do this? The accused are also seen using mobile phone in the courtroom,' he said.'It's against the court decorum,' he said. 

A jail guard at jail number 13 recovered a mobile phone Friday evening from Agarwal, one of the 14 accused in the case, on his return to prison after attending the court hearing earlier in the day. The jail administration has confirmed the seizure report and the authorities have initiated action against Agarwal.

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