The Bombay High Court on Thursday has reserved the judgement in plea filed by Serious Fraud Investigation Office (SFIO) seeking stay on bail granted to Hari Sankaran, former vice chairman of Infrastructure Leasing and Financial Services (IL&FS) for May 2.
SFIO’s counsel Hiten Venegavkar had moved a single bench of Justice CV Bhadang on Wednesday seeking a stay on the temporary bail granted by Mr Sankaran.
Mr Venegavkar had argued that the bail application itself was premature because the High Court had stayed its order of quashing criminal proceedings against him and others for eight weeks. Therefore, any bail plea during the stay does not arise.
However, advocate Aabad Ponda appearing for Mr Sankaran contended that in the light of quashing of criminal complaint by the court, he is entitled for default bail as there is no complaint on record against him.
He was arrested in connection with IL&FS case for alleged irregularities that have resulted into severe crisis. The SFIO had claimed that IFIN extended loans to external parties, many of which had already begun defaulting.
