HC grants bail to accused in ₹225 cr credit society fraud

Bombay High Court grants bail to Gilbert Baptist, linked to a ₹225 crore credit society fraud, citing long pre-trial detention and trial delays.

MUMBAI: The Bombay high court on Friday granted bail to Gilbert Baptist, arrested by the Mira Road police in connection with an alleged fraud of ₹225 crore at a credit society. According to the prosecuting agencies, Gilbert Baptist and another person had set up Malaika Multi-State Cooperative Credit Society in 2010 and collected deposits from thousands of investors by promising attractive returns, but allegedly diverted funds to his private business enterprises and to acquire properties for himself, family members, and aides.

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A single judge bench of justice Manish Pitale granted bail to Baptist, the former chairman of the credit society, primarily in view of his long pre-trial incarceration and the fact that the trials is not likely to start in near future.

“The Applicant was arrested on 01.12.2020, indicating that he has suffered incarceration for almost four years,” said the court, adding that the maximum sentence that can be imposed upon him, even if he was found guilty of cheating, was seven years imprisonment, and six years if found guilty of money laundering.

“Thus, the Applicant has indeed made out a prima-facie case in his favour, as he has already undergone more than half of the maximum sentence that can be imposed upon him, in the facts and circumstances of the present case,” said the court, adding that therefore he was entitled to bail under Section 479 of the Bharatiya Nagarik Suraksha Sanhita, 2023.

The court ordered Baptist to be released on a personal bond of ₹1 lakh and one or two sureties in the same amount after noticing that the charge sheet filed in the case in February 2021 lists 659 witnesses, and since the charges were not yet framed, the trial is not likely to start and conclude in near future.

The Enforcement Directorate (ED) had registered a money laundering case in connection with the alleged fraud and provisionally attached 48 assets worth ₹60.44 crore, including flats, shops and land parcels located in various parts of Maharashtra and Dakshin Kannada district of Karnataka that belonged to Baptist, his family members, aides, and entities controlled by him.