Delhi HC Reserves Order On Sanjay Bhandari’s Plea Against Fugitive Economic Offender Tag

Delhi High Court

The Delhi High Court on Thursday reserved its order on a petition filed by UK-based arms consultant Sanjay Bhandari, challenging a trial court’s decision declaring him a Fugitive Economic Offender under the Fugitive Economic Offenders Act, 2018.

Justice Neena Bansal Krishna reserved the verdict after hearing detailed arguments from both sides.

Bhandari’s Arguments

Appearing for Bhandari, Senior Advocate Kapil Sibal argued that the trial court’s declaration should be stayed, as its immediate effect would be the seizure of his properties. He contended that once a person is branded a fugitive, he is effectively stripped of the right to pursue legal remedies in India.

Bhandari’s legal team also pointed out that his stay in the United Kingdom is lawful and protected by a London High Court ruling, which blocked his extradition to India on grounds of potential threats to his safety in Delhi’s Tihar Jail.

Earlier, Senior Advocate Maninder Singh, who also represented Bhandari in the matter, had termed the Enforcement Directorate’s (ED) application vague and lacking jurisdiction. He further argued that the agency failed to establish the mandatory ₹100 crore threshold of alleged undisclosed foreign assets required under the FEO Act. Singh also highlighted that the UK High Court had already discharged Bhandari and no fresh warrants were pending against him.

ED’s Opposition

The Enforcement Directorate, represented by Advocate Zoheb Hossain, strongly opposed Bhandari’s plea. Hossain argued that the trial court’s declaration could not be deferred merely on request.

“The only objective of the FEO Act is that this man comes back to India to face the law,” he told the court, opposing even the issuance of notice on Bhandari’s stay application.

The ED maintained that Bhandari had willfully evaded proceedings in India and was holding undisclosed foreign assets exceeding ₹100 crore. It further submitted that the refusal of a UK court to extradite him had no bearing on proceedings under Indian law.

Trial Court’s Decision

In its earlier order, Additional Sessions Judge Sanjeev Aggarwal had declared Bhandari a Fugitive Economic Offender on the basis of the ED’s application. The trial court held that he had deliberately avoided returning to India to face charges and continued to conceal substantial foreign assets.

With the court reserving its decision, the focus now shifts to Justice Krishna’s verdict, which will determine whether the trial court’s declaration stands or is stayed.

The case carries significant implications, not only for Bhandari’s legal standing and property rights but also for the broader enforcement of the Fugitive Economic Offenders Act, enacted to bring back individuals accused of high-value financial crimes who evade Indian jurisdiction.

(Inputs By Sambhav Sharma)