Chit Fund Scam: SC To Hear CBI’s Plea Against Pre-Arrest Bail To IPS Officer Rajeev Kumar

Saradha chit fund scam

The Supreme Court will later this week hear the CBI’s plea challenging the anticipatory bail granted to senior IPS officer Rajeev Kumar in the multi-crore Saradha chit fund scam.

The matter is scheduled for October 17 before a bench comprising Chief Justice BR Gavai and Justice K Vinod Chandran.

CBI Seeks Joint Hearing Of Related Pleas

During Monday’s hearing, Solicitor General Tushar Mehta, appearing for the CBI, urged the court to list the agency’s plea along with other pending petitions, including a contempt plea, for a “broader understanding and consideration of the entire case.” The bench agreed and posted all related matters for hearing on Friday.

The bench also noted that Kumar, who was granted anticipatory bail on October 1, 2019, had not been called for questioning by the CBI in the past six years. “Why should we keep this matter pending? You have done nothing during all these years,” Chief Justice Gavai remarked.

Mehta, however, recounted that the situation was not without challenges. He told the court that a senior CBI officer’s residence in Kolkata was “gheroed by goons”, forcing the officer to “literally cry for help” to protect his family. He added that the other pleas in the case should be taken up together after the Diwali vacation.

2019 Standoff Between Centre & Bengal

The Saradha case has long been a flashpoint between the Centre and the West Bengal government. In January 2019, tensions escalated after a CBI team attempted to question Kumar at his official residence in Kolkata. The local police detained the CBI officers, leading to an unprecedented standoff. Chief Minister Mamata Banerjee came out in Kumar’s defence and staged a sit-in protest against what she termed the Centre’s misuse of power.

Background

On November 29, 2019, the Supreme Court sought Kumar’s response to the CBI’s appeal against his anticipatory bail. The bench observed that the CBI must justify why the former Kolkata Police Commissioner’s custodial interrogation was necessary.

The Calcutta High Court, in its 2019 order granting bail, ruled that if Kumar were arrested, he must be released immediately on bail upon furnishing two sureties of ₹50,000 each. The court also directed Kumar—currently serving as Additional Director General of West Bengal CID—to cooperate with investigators and appear for questioning after 48 hours’ prior notice.

The Saradha Group of Companies allegedly cheated lakhs of investors out of over ₹2,500 crore, luring them with promises of high returns. Kumar had been part of the Special Investigation Team formed by the state government to probe the scam before the Supreme Court transferred the case, along with other similar ones, to the CBI in 2014.

The scam, unearthed in 2013 during Kumar’s tenure as Bidhannagar Police Commissioner, remains one of India’s biggest financial frauds. The CBI has maintained that Kumar’s custodial interrogation is crucial to uncover the full extent of the conspiracy and money trail.