In Brief
The Supreme Court set aside the Delhi High Court's order granting bail to Nittin Johari, CFO of Bhushan Steel Ltd., in a major fraud case involving alleged siphoning of over Rs. 20,000 crores through 157 companies. Johari stood accused of manipulating financial statements, falsifying letters of credit, and inflating stock figures to defraud banks. The Court held that economic offences demand stringent bail scrutiny, requiring courts to weigh gravity, conspiracy, public loss, and risk factors. The High Court had failed to apply these principles, relying on vague 'broad probabilities' instead. The matter was remanded to the High Court to reconsider bail afresh in accordance with proper legal standards governing bail in grave economic crimes.
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