Delhi High Court Grants Bail To Shakti Bhog CMD Kewal Krishan Kumar In Money Laundering Case

The Delhi High Court on Friday granted bail to Kewal Krishan Kumar, chairman and managing director (CMD) of Delhi-based Shakti Bhog Foods Limited, in a money laundering case. 

Justice Jasmeet Singh granted the relief to Kumar in the case registered by Enforcement Directorate.

"I have held applicant is not sick but he is entitled to bail," Justice Singh said, while pronouncing the order. 

Kumar was arrested by the probe agency on July 04, 2021. As per a press release issued by ED at that time, the arrest was in continuation of search carried out at nine premises located in Delhi and Haryana during which various incriminating documents and digital evidence was recovered.

ED had initiated the money laundering probe on the basis of an FIR registered by CBI against Kumar and various others for allegedly engaging in criminal conspiracy, cheating and criminal misconduct.

The allegations were that they indulged in diversion of funds from loan accounts by “round tripping of funds” through related entities and siphoning of funds was being done by way of suspicious sale or purchase from various entities.

ED has alleged that M/s Shakti Bhog Snacks Ltd., in association with Kumar, Raman Bhuraria (Chartered Account) and Devki Nandan Garg were involved in paper sale or purchase transactions without conducting any actual business transactions which resulted in false inflation of the financials.

Justice Singh has already granted bail to Bhuraria and Garg.

Title: Kewal Krishan Kumar v. ED

Citation: 2023 LiveLaw (Del) 245