Ex-Ranbaxy Promoter Malvinder Singh Denied Bail In Money Laundering Case

Malvinder Singh and his brother Shivinder Singh have been arrested in a money laundering case.

Ex-Ranbaxy Promoter Malvinder Singh Denied Bail In Money Laundering Case

Malvinder Singh is one of the main accused in the alleged fraud case.

New Delhi:

A Delhi court today dismissed the bail plea of former Ranbaxy promoter Malvinder Singh, arrested for alleged misappropriation of funds at Religare Finvest Ltd. (RFL).

Chief Metropolitan Magistrate Gurmohina Kaur rejected the bail application, saying Malvinder Singh was required to be kept in judicial custody for a proper investigation.

Malvinder Singh and his brother Shivinder Singh, also a former Fortis Healthcare promoter; were arrested by the Economic Offences Wing of Delhi Police for allegedly diverting RFL's money and investing in other companies.

The police had earlier disputed Malvinder Singh's claims that he paid back the money to the entities concerned and said the money was still with RFL's holding company Religare Holding Company (RHC) which is controlled by him.

The police counsel claimed that loans were disbursed to shell companies known to the promoters and the ultimate beneficiary was RHC, of which Malvinder Singh and Shivinder Singh are promoters.

Advocate Mohit Mathur, appearing for complainant Manpreet Suri of RFL, said that he as one of the promoters of RHC had siphoned off money that came to the RHC. He had earlier told the court that he has paid back the money to the 14 entities through which he had received it.

Advocate Manu Sharma, appearing for Malvinder Singh, had said that the police "cherry picked" him because of his affiliation with the family of spiritual head of the Radha Soami Satsang, Gurinder Singh Dhillon, who allegedly conspired with other co-accused in the case in allegedly carrying out financial fraud. 

Senior advocate Nidhesh Gupta, appearing for Manpreet Suri, had earlier told the court that loans were disbursed to shell companies known to the promoters and the ultimate beneficiary was RHC Holding company. He had further claimed that unsecured loans had been given to shell entities without any due diligence as they were known to the promoters.

RFL is a group firm of REL- Religare Enterprises Ltd, which was earlier promoted by Malvinder Singh and his brother Shivinder Singh.

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