Supreme Court Orders High-Level Probe Into Indiabulls Allegations
The Supreme Court has questioned the CBI and SEBI’s “reluctance” to investigate allegations of “dubious transactions” against Indiabulls Housing Finance Limited (now Sammaan Capital Limited), ordering a high-level meeting to probe the matter comprehensively.
Key Developments
- Supreme Court orders CBI director to convene meeting with SEBI, SFIO, and ED
- Court criticizes “double standards” in SEBI’s approach to jurisdiction
- Delhi Police directed to produce original complaint records
- Next hearing scheduled for December 17 with EOW official presence
Court’s Strong Observations
A bench comprising Justices Surya Kant, Ujjal Bhuyan, and N Kotiswar Singh expressed strong dissatisfaction with the investigating agencies’ approach. The court specifically questioned what was preventing authorities from filing an FIR and initiating a proper investigation into the allegations.
The bench also criticized the Ministry of Corporate Affairs for compounding multiple offences committed by IHFL, while coming down heavily on SEBI for adopting “double standards” in different cases regarding its jurisdiction to probe illegalities.
Comprehensive Investigation Ordered
The Supreme Court clarified that the closure of cases by the MCA shall not be an impediment in the fresh investigation. All allegations leveled by NGO ‘Citizens Whistle Blower Forum’, represented by advocate Prashant Bhushan, will be thoroughly examined.
The court has directed the Delhi Commissioner of Police to furnish original records of complaints made by the Enforcement Directorate and explain the basis on which the Economic Offence Wing refused to probe the allegations.
“We are surprised to see that the CBI has adopted a very cool kind of attitude and approach in this case. We have never seen such a friendly attitude, as we find in this case,” said Justice Surya Kant.
The court has mandated that a senior EOW official must be physically present with all original records at the next hearing on December 17, ensuring proper accountability in the investigation process.
