Reference to Realty.com from Economic Times. Recently, M3M Group directors have sought a temporary pause in their trial related to the alleged “cash for favor” scheme. The directors have requested the court in Panchkula to delay the trial due to ongoing investigations by the Anti-Corruption Bureau. This blog reviews the case details and the recent advancements.
Understanding the Background of the Case
The “cash for favor” scandal started in April 2023 when the Haryana Anti-Corruption Bureau complained. The case accuses former CBI judge Sudhir Parmar of leveraging his role to grant improper privileges to real estate developers, including M3M Group directors Basant and Pankaj Bansal.
After the ACB’s complaint, ED filed an Enforcement Complaint Information Report in June 2023. This report named M3M Group’s directors and others, accusing them of laundering money earned through bribery connected to the ACB investigation. This triggered an in-depth probe into the activities of the Bansals and other builders.
M3M Directors’ Plea for a Halt to Proceedings
Basant and Pankaj Bansal have filed an appeal to pause the ongoing trial, arguing that the case should not proceed until the ACB concludes its investigations. Their defense argues that proceeding with the trial amid an incomplete investigation could result in a biased judgment and incomplete consideration of evidence.
The directors had also previously requested access to certain documents from the ED to support their defense, further emphasizing the need for a temporary suspension of proceedings.
Court’s Response: Hearing Adjourned to November 26
The judge handling the PMLA cases, Rajiv Goyal, has moved the hearing to November 26, 2024, after listening to arguments from both sides. This postponement allows the court more time to review the investigation still in progress and consider the Bansals’ request to temporarily stop the trial.
The adjournment comes amidst rising concerns about the readiness of the case, as it hinges on findings that are still under investigation by the ACB. The defense claims that an incomplete probe could hamper the fairness of the trial, thus justifying the need for a delay.
Parallels with Other High-Profile Cases
The Bansals’ defense has drawn parallels between their case and another alleged industrial plots allotment scam, which involved former Haryana Chief Minister Bhupinder Singh Hooda and other officials. In this earlier case, the PMLA court had decided to pause proceedings, citing the Central Bureau of Investigation’s (CBI) incomplete investigation as the primary reason.
Similarly, the Bansals argue that their trial should be treated in the same way, given that the ACB’s investigation remains unfinished. This connection to a high-profile allotment scam highlights systemic issues and raises questions about delays in investigations related to influential individuals and entities.
The Core Allegations: Bribery and Abuse of Power
The core allegations against the M3M directors revolve around bribery and the misuse of judicial authority. The ACB alleges that Sudhir Parmar, in his capacity as a judge, misused his power to favor the M3M Group and other real estate developers. The Bansals, along with builder Lalit Goyal, are accused of engaging in bribery to obtain judicial leniency and other advantages in real estate transactions.
These allegations have led to intense scrutiny of the M3M Group’s operations, with the ED actively pursuing leads in the case. The defense has challenged the ED’s evidence, arguing that the lack of a completed investigation casts doubt on the validity of the charges.
Conclusion
The ongoing “cash for favour” trial involving the M3M Group directors Basant and Pankaj Bansal has raised serious questions about judicial conduct and accountability within the real estate sector. Their plea for a suspension reflects the complex nature of the case and the unresolved issues surrounding the ACB’s investigation.
As the next hearing approaches on November 26, all eyes are on the court to see whether the trial will be temporarily halted or if it will proceed despite the pending investigations. M3M Group will define the outcome, showcasing how India’s legal system handles cases involving prominent business figures.