Rohtak, June 8
The Additional Sessions Judge, Mr Shiva Sharma, today granted pre-arrest bail to Krishan Kumar on his furnishing a personal bond of Rs 20,000 with two sureties of the same amount.
Krishan Kumar, reportedly a kin of former Congress MP Ramji Lal, sought the bail apprehending his arrest and implication in a “false” case of evasion of customs duty. The court, however, directed Krishan Kumar to join the investigation as and when required by the investigating officer by a written notice served at least five days in advance because the petitioner was based at Surat, a distant place in Gujarat.
The Senior Special Public Prosecutor of the Central Excise Department opposed the bail application on the plea that the officers of the Central Excise Division were investigating the case of misuse of 100 per cent EOU provisions of M/S Singh Overseas Company, Hisar. During the course of investigation, it was found that Krishan Kumar was closely associated with Singh Overseas Company and that Karambir Singh of the company stated that Krishan Kumar had been looking after the functions regarding the disposal of imported fabrics in the local market and purchase of readymade garments from the local market. Therefore, the petitioner was summoned for recording his statement.
The Senior Special Public Prosecutor alleged that Krishan Kumar was the brain behind the misuse of 100 per cent EOU provisions resulting in the evasion of customs duty of approximately Rs 2.42 crore and Karambir Singh was just a front man.
Krishan Kumar denied the allegations and said that he had nothing to do with Singh Overseas Company, Hisar. And he was being unnecessarily harassed by the Central Excise Department for reasons best known to it. To prove his point, he argued that notices were repeatedly issued to him by the Central Excise Department but not in time so as to enable him to to make travel arrangements from Surat to Rohtak well before the date and that some notices were received after the date fixed for his appearance.
He also argued that Karambir Singh had not provided any information against the petitioner as he was not acquainted even with the correct name of the latter.
The Senior Special Public Prosecutor for the department alleged that the statement of Krishan Kumar recorded under Section 108 of the Customs Act and the statement of Customs House Agent tendered under Section 108 of the Customs Act, 1962 and the bank statements obtained from Dena Bank, Surat, had clearly established the involvement of Krishan Kumar in the shady dealings of Singh Overseas Company.
Granting the pre-arrest bail to Krishan Kumar, the Additional Sessions Judge said that the response filed by the department concealed more than what it revealed. Although, it had repeatedly and vehemently stated that Krishan Kumar had been the brain behind Singh Overseas Company, the response had not even alleged that the petitioner had disclosed his status. “There is nothing on the record to warrant a conclusion even prima facie that the petitioner was the managing director/director/manager etc. of Singh Overseas Company, Hisar”, the order said.
During his statement, which the department was relying upon, Karambir Singh also disclosed that “he had spent about Rs 16 lakh on his business and also detailed the application of money in different heads.
If Karambir Singh has invested huge amount in his business, why should he allow a third person to run the business?” the judge asked. “It is not the case of the department that Karambir Singh was the proprietor of Singh Overseas Company only on paper and that the petitioner was the real proprietor operating from behind the curtains,” the judge observed.
Krishan Kumar was a director of a firm based at Surat and if he had committed any offence, the appropriate authority at Surat had all the jurisdiction and competency to initiate such action as was permitted by the law, the order said.
Mr Shiva Sharma said that the allegations of the department that customs duty running into crores of rupees appeared to have been evaded by the petitioner could not be brushed aside lightly.
Keeping in view of the seriousness of the allegations, the petitioner was liable to join the investigation and face the probe, the order said.
