Active involvement in an economic offence, including planning, deliberate design, and siphoning off a huge amount of money from investors, can lead to rejection of bail applications.

JUDGMENT :

1. These applications are filed under Section 439 of the Code of Criminal Procedure, 1973 (‘Code’ for short).

2. Applicant Sachin Shelar (‘Shelar’ for short) and Taha Hafi Kazi (‘Kazi’ for short) have been cited as accused nos.2 and 1 respectively in Crime No.I-116 of 2018 registered at Chitalsar Police Station, Thane for the offences punishable under Sections;

(I) 419, 420, 406, 465, 467, 468, 471, 120B, 171 read with Section 34 of the Indian Penal Code, 1860;

(ii) Section 4 of the Chit Funds Act, 1982;

(iii) Section 66D of the Information Technology Act, 2000;

(iv) Section 3 of the Maharashtra Protection of Interest of Depositors Act (‘MPID’ for short).

3. Particulars of the accused in the subject offence and their date of arrest are as under:

4. On 31st June, 2018, charge-sheet has been filed against accused nos.1 and 2. On 9th October, 2018 supplementary charge-sheet has been filed against accused no.3.

5. Prosecution’s case in brief is that;

Amit Lakhanpal (absconding accused) is Managing Director of Flintstone Group of Companies;

1) Money Trade Coin Club Private Limited.

2) Flintstone Technology Pvt. Ltd.

3) Ray Afordable Flats and Housing Pvt. Ltd.

4) Orbit Buildcon LLP

5) M.T.Pay Services LLP

6) Flintstone Infracon LLP

7) Flintbeats Enterprises LLP

6. That in the year 2017, Amit Lakhanpal held the seminars at Delhi, Pune and Nashik explaining benefits of investment in crypto currency. One of such seminars held on 4th August, 2017 was organised at Taj Mansingh, New Delhi on the subject crypto currency. It was attended by the complainant Pravin Agarwal and his friends. In the said seminar, Amit Lakhanpal introduced himself as a member of Finance Ministry and showed his visiting cards with national emblem on it. He encouraged the complainant and other persons to invest in money trade coin (MTC). Amit Lakhanpal explained and assured that if the coins were purchased between 15th July, 2017 to 27th July, 2017, the value per coin would be 1 $; between 30th July, 2017 to 12th August, 2017, the value per coin would be 1.5 $; and if purchased between 15th August, 2017 to 27th August, 2017, value would be 2 $ and 30th August, 2017 to 12th September, 2017, it would be 2.5 $. He assured that on 17th September, same would be listed in public crypto currency exchange and the rate of money trade coin (i.e. MTC) would be 3 $. He represented that to keep the rates stable at 3 $, Rs.250 Crores would be kept in fixed deposit and Rs.1750 Crores stand by letter of credit was obtained. He represented that MTC would be connected to e-commerce service and the rate would go up to 600 $ in future. That to win the confidence of the investors, he had shown correspondence with Government of India, Prime Minister office, Finance Ministry for making the crypto currency legal. He had also promised that investors would be given visa debit card on which MT coins would be loaded and same could be used in ATM machine and can be used as currency. Impressed with attractive investment schemes, Mr. Agarwal, Complainant visited the office of Flintstone group of Companies at Thane and invested Rs.10 Lakhs in Money Trade Coin (MTC).

7. It is alleged that after deposit of the amount, complainant’s account was opened in MT Pay and MT coins were transferred in the said account for its maturity in January, 2018. That instead of returning the said amount, Amit Lakhanpal had floated another scheme, i.e., coin deposit ratio, which had, locked-in period, of six months with 15% returns for six months and 20% returns for twelve months. In the month of December, 2017, Amit Lakhanpal and co-accused listed MT coins on Nova Exchange (virtual coin exch