The Supreme Court has directed the Central Bureau of Investigation to examine all six allegations of financial irregularities levelled by the Enforcement Directorate against the former promoters of Indiabulls Housing Finance Limited, now Sammaan Capital, and six separately named parties. The court also asked the CBI and Delhi Police’s Economic Offences Wing to submit fresh status reports on their investigations.
A Bench headed by Chief Justice of India Surya Kant issued the directions on Tuesday. Five of the six allegations had previously been examined by the EOW, while the sixth involves a transaction of around ₹1,574 crore that requires further investigation.
CBI Seeks Further Probe Into ₹1,574 Crore Transaction
The CBI has sought permission from the Special Court under the Prevention of Money Laundering Act in Mumbai to investigate the sixth allegation further. The Supreme Court directed the Special Judge to decide the agency’s application within two weeks.
The directions came after the court had repeatedly expressed concern over the progress of the investigation. At an earlier hearing, the Bench questioned what the CBI had done between January and July and raised concerns that the investigating agencies had not kept the court informed about developments in the case.
The court had described the conduct of the CBI and EOW as “highly questionable” and warned that it could summon the heads of both agencies over their failure to submit status reports. It refrained from doing so after Additional Solicitor General S V Raju assured the court that necessary steps would be taken and reports submitted.
Petition Seeks Court-Monitored SIT Investigation
The proceedings arise from a petition filed by Citizens Whistle Blower Forum seeking a court-monitored Special Investigation Team probe into allegations involving diversion and round-tripping of funds, corporate irregularities and violations of company law concerning Indiabulls, its promoters and associated entities.
The petitioner sought an SIT comprising officials from the Securities and Exchange Board of India, CBI, Enforcement Directorate and Serious Fraud Investigation Office.
The Supreme Court had also previously questioned the approach of Sebi and the CBI towards the allegations. It criticised what it viewed as Sebi’s reluctance to investigate despite asserting jurisdiction over attached properties. The court also questioned the CBI’s “cool attitude” towards allegations involving public money, noting that the agency had not registered a predicate offence FIR or taken sufficiently firm steps.
The Bench separately sought an explanation over the Ministry of Corporate Affairs allegedly compounding nearly 100 violations within two days and questioned why the circumstances did not warrant closer scrutiny.
Raju had earlier informed the court that steps had been initiated before the magistrate and the EOW under Section 156(3) of the Code of Criminal Procedure. He also assured the court that the CBI Director would coordinate with senior officials of the agencies involved.
Sammaan Capital Says It Is a Victim, Not an Accused
Responding to the development, Sammaan Capital said there were no allegations against the company and that the Supreme Court had asked the CBI to investigate allegations against its former promoter. The company said the Enforcement Directorate had identified Sammaan Capital as a victim and maintained that it was not an accused in the matter.
Sammaan Capital also said it no longer had any connection with its erstwhile promoter, Sameer Gehlaut. According to the company, it now operates under a new promoter, International Holding Company PJSC, an Abu Dhabi-based sovereign-linked investor that has invested $1 billion and controls the company’s board.
The company said the distinction between Sammaan Capital and Gehlaut following IHC’s investment and assumption of the promoter role had been firmly established and acknowledged by the Supreme Court.
