Delhi HC Refuses to Quash Proceedings Against Matrix Cellular for Hoarding Defective COVID-19 Equipment

Delhi HC Refuses to Quash Proceedings Against Matrix Cellular for Hoarding Defective COVID-19 Equipment

The Delhi High Court recently declined to quash the criminal proceedings against Matrix Cellular, which faced allegations of hoarding and selling faulty COVID-19 treatment equipment at inflated prices during the second wave of the pandemic.

Justice Dinesh Kumar Sharma declined to quash the proceedings, noting that the investigation was still ongoing. In rejecting the petition filed by Matrix Cellular, the Court emphasized the seriousness of the allegations, which involved the sale of defective oxygen concentrators at inflated prices during the peak of the pandemic.

“Still, the allegations of selling the un-tested oxygen concentrators to get wrongful gains, taking undue advantage of the crisis and acute shortage of oxygen supply caused due to the pandemic, and compelling needy persons to part with their hard-earned money cannot be ignored. The margin of profit was very high, especially in view of the ongoing pandemic."

The Court also noted,

“Further, the fact that the oxygen concentrators sold by the petitioners were not in compliance with the required parameters recommended by the WHO to help patients suffering from COVID-19 is still to be investigated."

The case arises from police raids conducted during the second wave of COVID-19 at multiple locations in Delhi, where oxygen cylinders, oxygen concentrators, KN-95 masks, and other essential equipment were being hoarded despite their critical shortage. A First Information Report (FIR) was filed against the alleged hoarders and black marketers for offenses including cheating and negligent acts that spread a life-threatening disease.
 
The petitioners' counsel argued that no case of cheating was established, asserting that the equipment was purchased legitimately. Additionally, they highlighted that during the pandemic, Matrix was designated as a Collection Centre to streamline operations and manage the overwhelming demand, which is now being interpreted as hoarding. The Court, however, noted that an FIR can only be quashed in exceptional cases.
 
"However, it is made clear the petitioner is at liberty to approach the appropriate forum after the completion of the investigation. The contentions raised by the petitioner are kept open for consideration at a later stage. No expression made herein shall tantamount to be expression on the merits of the case," the order stated.

Senior Advocate Mohit Mathur and Advocates Samudra Sarangi, Abhilasha Khanna and Tanay Chaturvedi appeared for the petitioners.

Additional Standing Counsel (Criminal) Amol Sinha, with Advocates Kshitiz Garg, Ashvini Kumar and Chavi Lazarus, appeared for the State.

 
Share this News

Website designed, developed and maintained by webexy