Court reserves order on CBI’s plea in Urea case

The court also said it would hear arguments on the plea of Karsan Executives Cihan Karani and Tunkey Alankus, two key accused in the case, seeking permission to negotiate with National Fertiliser Ltd (NFL) for an amicable settlement on September 22.

The CBI had alleged that Pinto and NFL executive director D S Kanwar had in July 1995 unauthorisedly signed a contract on behalf of NFL with with the Turkish firm Karsan for the supply of two lakh tonnes of urea.

This contract was, however, replaced by another one in October that year envisaging total advance payment by NFL counter guaranteed by Llyods Insurance Policy covering risks of non-performance and non-delivery.

Even after the advance payment of total money amounting to Rs 133 crore, the urea was not supplied by Karsan, the agency alleged.

CBI counsel B N Ojha said, clubbing the trial of Pinto, who was extradited from London last month, with the rest of the accused was required as "he is a party to same offence, same transaction and same criminal conspiracy".

The CBI’s plea was opposed by Pinto on the ground that it would cause delay in the trial and that the agency had not clearly stated under what charges he would be facing the trial.

Counsel for the two Karsan executives, Harjinder Singh while opposing the CBI plea, said there was no provision under the Code of Criminal Procedure (CrPC) to club the trial at a time when 41 witnesses had already been examined.

Pinto was spared during framing of charges against the other accused in December 1998 as he was not here and the court is expected to complete the formalities after deciding the plea of CBI.

Besides Pinto, Alankus, Karanci and Kanwar, the other accused are former premier P V Narasimha Rao’s kin B Sanjeeva Rao, former Union Minister Ram Lakhan Singh Yadav’s son Prakash Chandra Yadav, former NFL Chairman C K Ramakrishanan and Karsan’s Indian agent Sambasiva Rao’s employee Mallesham Goud. Besides the three foreigners, the other accused are currently on bail.

Meanwhile, the Karsan Executives moved an application before the court seeking its permission to negotiate with the NFL for an amicable settlement and the application would come up for hearing on September 22.