Today, in the matter of Kewal Krishan Kumar v. ED, the Delhi High Court has granted bail to Kewal Krishan Kumar,, the managing director of Delhi Bases Shakti Bhog Foods Limited. The bench of Justice Jasmeet Singh pronounced the order.

The Bench said -

"I have held applicant is not sick but he is entitled to bail," 

Case Brief:-

In the said matter, on July 04, 2021, the accused got arrested by the probe agency. As per a press release issued by ED at that time, the arrest was in continuation of a search carried out at nine premises located in Delhi and Haryana during which various incriminating documents and digital evidence were recovered.

Enforcement Directorate initiated the money laundering probe on the basis of an FIR registered by CBI against Kumar and various others for allegedly engaging in criminal conspiracy, cheating and criminal misconduct. Kumar allegedly indulged in the diversion of funds from loan accounts by “round tripping of funds” through related entities and siphoning of funds was being done by way of suspicious sales or purchases from various entities.

Enforcement Directorate alleged that M/s Shakti Bhog Snacks Ltd., in association with Kumar, Raman Bhuraria (Chartered Account) and Devki Nandan Garg were involved in the paper sale or purchase transactions without conducting any actual business transactions which resulted in false inflation of the financials.