The Punjab and Haryana High Court Thursday granted interim bail of 15 days to founder and managing director of Adarsh Credit Cooperative Society, Mukesh Modi and Rahul Modi, while directing the special court in Gurgaon to decide their application for regular bail on April 20. The duo, however, will be treated as under arrest and two police officials will continue to escort them during the period of their interim relief, the high court order said.
The father-son duo was arrested by the Serious Fraud Investigation Office (SFIO) of the Ministry of Corporate Affairs in December 2018 for committing an alleged fraud by syphoning over Rs 200 crore of over 20 lakh depositors through an alleged Ponzi scheme. The Ahmedabad-based society was operational since 1999. Since the remand order for their arrest was passed by a special magistrate in Gurgaon, the application for regular bail is pending.
The interim bail was granted keeping in view the medical condition of Mukesh Modi’s mother, who, the court was told, “probably may be in her last stage” and as per the medical record, has been shifted to U N Mehta Institute of Cardiology and Research Centre in Ahmedabad from nursing home at Sirohi.
Justice Amit Rawal, while granting interim bail to the father-son duo, said the “petitioners shall be escorted by two police officials and throughout will be treated to be in custody of the police. Their expenses shall be borne by the petitioners and in case of any misuse, liberty is granted to the respondents to move an appropriate application”.
Mukesh and Rahul were arrested in December 2018 but were released on interim bail with effect from December 21 till April 1 following a Delhi High Court order last year. However, the Supreme Court on March 27 set aside the order on an appeal filed by the SFIO and directed the duo to surrender on April 1 before the special court in Gurgaon.
The 15-days interim release ordered on Thursday will be counted from the actual date of release. “The petitioners will be produced before the police after the expiry of two weeks from the date of release escorted by the police,” the order read.