In Brief
Centrum Financial Services, an NBFC, appealed against a High Court order granting bail to Jayant Kumar Jain, Managing Director of a logistics company, charged with criminal breach of trust, cheating and forgery under the IPC. The accused had misappropriated Rs. 25 crores in loan funds by routing them through fake shell companies. The High Court had granted bail solely on the ground that the case arose from a commercial transaction with documents already seized. The Supreme Court held that the High Court failed to advert to relevant bail principles and the nature and gravity of the accusations. The Court set aside the bail order, holding that where discretion is exercised without applying mind to statutory factors, an appellate court may intervene.
The lawyer headnote and full judgment text are available to registered users.