SC refuses to entertain plea by HDFC CEO against FIR for cheating and fraud

New Delhi: The Supreme Court on Friday declined to entertain a plea by HDFC Bank CEO and MD Sashidhar Jagdishan against lodging of an FIR for cheating and fraud registered against him, saying he should go back to the Bombay High Court, which was already seized of the matter.

A bench of Justices P S Narasimha and R Mahadevan said the High Court would hopefully take up the matter on July 14, the date already fixed.

Senior advocate Mukul Rohatgi, appearing for the petitioner, sought the interim protection from coercive action till the High Court hears the plea.

On behalf of the petitioner, the counsel said, “I'm the MD of a reputed bank. I've nothing to do with this. A frivolous FIR is lodged because of a personal dispute among trustees. The bank is suffering, and I'm personally being harassed.” 

Rohatgi also highlighted that for three weeks, his plea could not be heard as several High Court benches had recused from hearing the matter.

Senior Advocate Abhishek Manu Singhvi, appearing for the complainant Trust, submitted that the case was listed in the Bombay High Court on July 14 by consent of the parties.

“We sympathise with your situation. We understand that several benches recused, and your petition was listed repeatedly but couldn't be heard. However, now that it is listed, it would be improper for us to intervene,” the bench said.

Since the matter is listed on July 14, the petitioner should go back and argue all the points and if there is no hearing, he can come back, the bench added.

The FIR in the case was lodged on a complaint filed by the Lilavati Kirtilal Mehta Medical Trust, which runs the prominent Lilavati Hospital in Mumbai.  

The petitioner claimed the frivolous FIR has been lodged against the MD and the bank by trustees of Lilavati hospital who are litigating against the other group of trustees.    

As per the complaint filed by the Trust, Jagdishan allegedly accepted a bribe of Rs 2.05 crore in exchange for providing financial advice to help the Chetan Mehta Group retain illegal and undue control over the Trust's governance.    

The Trust has accused Jagdishan of misusing his position as the head of a leading private bank to interfere in the internal affairs of a charitable organisation.

Jagdishan's plea seeking quashing of the FIR was first listed in the high court in June.    

The FIR against Jagdishan was registered at the Bandra police station following an order by a Bandra magistrate court under Section 175 (3) of the Bharatiya Nagarik Suraksha Sanhita (BNSS), based on an application moved by the Trust.    

He was booked under alleged charges of cheating, criminal breach of trust, and criminal breach of trust by a public servant.    

In a public statement issued earlier this month, the Trust alleged that the Rs 2.05 crore payment was part of a larger conspiracy to "loot" the Trust and manipulate its decision-making processes in favour of the Chetan Mehta Group.    

The Trust has also filed a petition before the high court seeking a Central Bureau of Investigation (CBI) probe into the matter.