Rajesh Sharma, chairman and managing director of Money Matters, was refused bail by the Bombay high court on Thursday observing that he was prima facie the kingpin in the multi-crore cash-for-loans scam.
While rejecting his bail application, justice RC Chavan observed: “Rajesh is the main link between financial institutions and those companies who are seeking loan. Although the loans sought may be legitimate, it does not rule out the possibility of bribe given to public sector officials.”
The court also observed that the investigation was still not complete in the alleged scam.
The court had asked Sharma’s counsels to get transaction accounts between Money Matters and companies like Lavasa Corporation, Suzlon and Vatika companies for perusal.
Justice Chavan remarked: “I want to understand why does a company that is securing over 100 crore loans need a middle agent.” Sharma's counsels – Uday Lalit and Harshad Ponda – produced the documents in the court.
The Central Bureau of Investigation’s counsel Ejaz Khan opposed the bail saying that they were still probing the scam and releasing Sharma could hamper the investigation.
Khan argued: “We (CBI) are yet to ascertain the agent who transferred the bribe amount from Mumbai to Delhi through Hawala transactions.”
Besides, the CBI has to recover several documents of other companies, which are possibly involved. “If he is released then there are chances that documents may be moved and the CBI may never get them,” argued Khan.