The Supreme Court of India has canceled bail granted to a couple accused of defrauding Netsity Systems of ₹6 crore, faulting lower courts in Delhi for “untenable” reasoning. Justices Ahsanuddin Amanullah and S.V.N. Bhatti quashed the bail orders issued by an ACMM, a Sessions Judge, and later upheld by the Delhi High Court.
The Court also directed the Delhi Judicial Academy to conduct a week-long training for the trial judges involved, underscoring the need for greater sensitivity when dealing with superior court decisions.
A Fraud Case and a Long Legal Trail
The case stems from allegations that the couple took ₹1.9 crore from Netsity Systems in exchange for a plot of land, which turned out to be mortgaged and later sold elsewhere. Netsity now pegs its loss at over ₹6 crore with interest.
Despite repeated objections, the accused secured bail in 2023 and 2024. The Supreme Court said each ruling ignored prior findings and the accused’s conduct, treating the matter as a routine bail plea.
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Training and Accountability
In an unusual step, the Supreme Court ordered judicial training for the officers who granted bail, and called for the Delhi Police Commissioner to review the conduct of investigating officers who had downplayed the need for custodial interrogation.
Such corrective directions are rare, but the Court said the “exceptional facts” demanded intervention to prevent institutional lapses from repeating.
Bail and the Larger Debate
The ruling highlights a persistent tension in Indian jurisprudence: the principle of liberty versus the demands of serious financial crimes. While bail is the norm, the Court stressed that allegations of fraud require rigorous scrutiny.
Calling the lower courts’ approach “formulaic,” the bench warned against reasoning that equates the filing of a chargesheet with an end to custodial need. The couple has been ordered to surrender within two weeks.
