Court quashes ED’s plea for intervention on closure report in case against Jet Airways

The Metropolitan Magistrate court on Saturday refused to hear the Enforcement Directorate’s (ED) plea for intervention on closure report filed by MRA Marg police

The Metropolitan Magistrate court on Saturday refused to hear the Enforcement Directorate’s (ED) plea for intervention on closure report filed by MRA Marg police in a case against Jet Airways and its directors.

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MRA Marg police was probing a complaint by the chief financial officer (CFO) of Akbar Travels of India Pvt Ltd (ATIPL) against Jet Airways and its directors Naresh Goyal and his wife Anita Goyal for cheating.

The complainant alleged that during 2018-19, ATIPL had done business of ₹900 crore with Jet Airways, of which ₹21.31 crore was yet to be paid by the airline. In addition, the complainant had alleged also made advance air ticket bookings of ₹23.87 crore for the airline which is due. The complainant claimed that Jet Airways is yet to pay a total of ₹46.05 crore to the company.

The CFO further claimed that when he met the Goyals’ they assured about payment, but to no avail. He also said that the Goyals’ made ATIPL do business with them despite being aware of the financial crisis.

The complainant had also shared details of bank accounts held by Goyals in other countries for further investigation.

The police, after the probe, had filed a closure report claiming that they found no evidence that the complainant was cheated. The police, in its report, claimed the case is of civil nature and sought closure of the case.

ATIPL through its lawyer Dharmesh Joshi filed a petition against the closure.

Meanwhile, ED too filed a petition against the closure report saying the police left out various aspects in its probe and that it should be reinvestigated. The agency asked for intervention in the hearing on the closure report.

ED, in their application for intervention in the hearing, claimed the police left out crucial facts. ED claimed that the police did not properly investigate facts about three meetings between the complainant’s representative and Goyals wherein ATIPL was assured of payment

The agency also claimed that the police did not record statement of Naresh Goyal about the allegations in the complaint along with the details of accounts with foreign banks. Ed said, “Police has made undue haste in submitting the closure report dated March 9, to the court.”

It is to be noted that ED had already initiated investigation into money-laundering allegations against Goyals. The probing agency claimed that during their probe, they unearthed numerous foreign bank accounts of Naresh Goyal and Anita Goyal and related entities in the UAE, UK, Switzerland, Singapore and USA etc.

ED also mentioned that Anita Goyal holds eight properties outside India while the couple has around ₹180 crore in one of their several accounts outside India.

In the plea, the agency asked the court to not accept the closure report of the police and asked the court to direct the police to reinvestigate the complaint with regards to undisclosed accounts and assets of Goyals and his family members.

The court on Saturday rejected the plea of ED and will now hear complainant on the closure report on Thursday.