Bail denied to ex-manager of insurance company for ₹8.5 cr fraud

The Bombay high court on Friday denied bail to a former senior manager at a private insurance company, arrested for allegedly causing financial fraud of ₹8.5 crore. The court rejected the bail application of Brijender Kumar Awdesh Singh, calling him the “brain behind the modus operandi”.

MUMBAI: The Bombay high court on Friday denied bail to a former senior manager at a private insurance company, arrested for allegedly causing financial fraud of ₹8.5 crore.

Bail denied to ex-manager of insurance company for ₹8.5 cr fraud

The court rejected the bail application of Brijender Kumar Awdesh Singh, indicating a strong prima facie case against the applicant, calling him the “brain behind the modus operandi”.

The FIR was registered on October 12, 2023, against Singh, who was working as a senior manager with TATA AIG between 2008 and May 14, 2020, alleging that he, along with another co-accused, had indulged in serious financial irregularities by showing fictitious vendors on records for service and siphoning off funds in their names. It was alleged that the amount transferred to these bogus entities in the name of service were routed to the accounts of Singh and his family members.

Earlier, Singh’s co-accused was granted bail by a magistrate court, observing that his continued custody would serve no purpose, since the investigation was completed and chargesheet filed.

Singh had sought bail, claiming that he was not the signing authority for disbursal of amounts to such vendors. He maintained that there was no evidence to support the allegations and also questioned the delay in registering the FIR.

The prosecution opposed his bail plea, claiming Singh to be the ‘kingpin’ of the conspiracy, and highlighting the misuse of trust reposed by the company in him. They said Singh misused his position as a senior manager by executing agreements and making payments to over 11 entities, which were eventually found to be bogus, thus causing a loss of ₹8.5 crore to the company.

The court presided over by justice Manish Pitale rejected the bail plea, by relying on documentary evidence, including email trails, which showed Singh’s involvement in preparing invoices for the vendors.

“The material does indicate a strong prima facie case against the applicant, as being the person who not only hatched the conspiracy to siphon off the aforesaid huge amount of the company but also played a major role in the said activity,” the court said.

The court further stated that the order passed in favour of the co-accused cannot benefit the ex-manager as the material on record indicated his active role in committing offences pertaining to breach of trust, as also forgery and fabrication.