RANJIT TUKARAM CHOUDHARY Vs. STATE

JUDGEMENT

(1.) By this petition under Section 438, Cr.P.C. petitioner is seeking anticipatory bail in case FIR No. 68/2003 under Sections 420/406/ 120-B IPC, P.S. Connaught Place, New Delhi opposing the bail.

(2.) Prosecution allegations, in brief, are that petitioner is the founder Director of M/s. Bombay Bazaar Ltd. In the month of June, 2002 the company advertised for appointment of franchisees and distributors in Delhi, offering them minimum guaranteed return to the extent of Rs. 33,000/- to 75,000/- per month - The directors of the Company, including the petitioner, had dishonest and malafide intentions right from the beginning; they collected huge sums of money on the basis of their false representations. They did not even open a bank account in Delhi. A sum of Rs. 1.06 crores was deposited by them in their account at Bombay till 19.8.2002. A Chartered Accountant, was appointed to probe their accounts; in his provisional report he has stated that the company collected Rs. 4,66,32,389/- from 22.8.2002 onwards. The Company showed payments of Rs. 4,27,04,435/- to various firms and persons. It further shows that the Company withdrew Rs. 7,93,500/- in cash [purpose not known]; and Rs. 22,29,525/- was transferred for unknown purpose. A sum of Rs. 58,09,800/- has also been shown in the bank as "Inward clearing".

(3.) It is further alleged in the status report that there are 16 distributors who had deposited security money ranging from Rs. 5.0 lacs to 10.0 lacs each, and none of them has been given any articles. Out of the 16 distributors, 12 distributors have furnished information which reveals that they deposited with M/s. Bombay Bazar Ltd., security money of Rs. 70,65,500/- (approx.) and have not received anything against it. The company, thus cheated the distributors to the tune of about Rs. 1.0 crore and have misappropriated the security amount, which, in fact, was refundable. Annexure 'B' to the status report filed by the State details the particulars of these twelve distributors, who invested Rs. 70,65,000/- with petitioner's company M/s. Bombay Bazaar Ltd. And have received nothing in return.