Jitendra Dwarika Singh Accused Granted Bail in Alleged Online Trading Fraud Case

Mumbai, November 21, 2024 – Jitendra Dwarika Singh, 36, accused in a case involving alleged online trading fraud, was today granted regular bail by the Designated Court under the Maharashtra Protection of Interest of Depositors (MPID) Act. His Honour Judge N. P. Mehta, presiding over Court Room no. 7, allowed Singh’s bail application after observing that no investors had come forward to lodge complaints of being duped.

Singh, a resident of Borivali (W), Mumbai, was arrested in connection with C.R. No. 95 of 2024, registered with the Economic Offences Wing (EOW), DCB CID, Mumbai. This case is also linked to C.R. No. 966 of 2024 registered with Kandivali Police Station. He faces charges under Sections 318(4) (Punishment for criminal conspiracy), 316(2) (Punishment for cheating by personation), and 3(5) (Punishment for criminal breach of trust) of The Bharatiya Nyaya Sanhita, 2023 (BNS Act), Section 66(C) of the Information Technology Act (Identity theft), and Section 3 of The Maharashtra Protection of Interest of Depositors (in Financial Establishments) Act, 1999 (MPID Act).

Prosecution’s Allegations

The prosecution’s case, presented by Ld. SPP Suryawanshi, alleged that Singh was engaged in online trading without proper registration and license from the concerned authorities. He purportedly induced investors to deposit their hard-earned money through online modes, thereby defrauding them. The Investigating Officer submitted that an amount of Rs. 22,07,370/- (Rupees Twenty-Two Lakhs Seven Thousand Three Hundred Seventy only) had been defrauded by “accused no. 1 Company,” which is to be recovered from Singh. The prosecution further stated that “accused no. 1” had opened call centers in Mumbai, Bengaluru, and other cities in Uttar Pradesh, which were yet to be fully identified.

Applicant’s Defense

Ld. Advocate Santosh Pandey, representing Singh, argued that his client was involved in online trading and had received only training fees from his customers. He maintained that he would invest his customers’ money in online trading. Crucially, the defense emphasized that none of Singh’s customers had come forward to lodge a complaint against him with the police. Singh sought his release on bail.

Court’s Observations

Judge N. P. Mehta carefully considered the submissions from both sides. The court’s primary observation was that, despite the prosecution’s allegations of defrauding investors, “none of the investors have came forward to record statement with police alleging therein that, they have been duped of their hard earn money by the Company of accused no. 1.”

The court further noted that “Unless there is information regarding wrongful gain accrued to accused no.1 through fraudulent investment scheme alleged to have been floated by him, no continuance of judicial custody can be permitted.” In light of this, the court concluded that Singh’s custody was no longer required and decided to grant him bail with certain terms and conditions.

Bail Conditions

The court allowed Bail Application No. 930 of 2024, releasing Jitendra Dwarika Singh on bail subject to the following conditions:

P.R. Bond and Sureties: Singh must furnish a P.R. bond of Rs. 1,00,000/- (Rupees One Lakh only) with one or more sureties in the like amount.
Provisional Cash Bail: He is permitted to furnish a provisional cash bail of Rs. 1,00,000/- for a period of six weeks from the date of the order to allow time for surety compliance.
No Tampering: Singh shall not directly or indirectly induce, threaten, or promise any person acquainted with the case facts to dissuade them from disclosing information to the court or any authority.
Court Presence: He must remain present before the court on dates fixed for recording evidence and hearings. If he needs to be absent, he must seek prior court permission or, in unavoidable circumstances, immediately intimate the court, ensuring his counsel is present to conduct the case.
Passport Surrender: He must surrender his passport to the Investigating Officer within one week of his release.
No Travel Abroad: He shall not leave India without prior permission of the court.
Property Alienation Restriction: He shall not alienate any movable or immovable property in his name or in the name of his wife/children, if any, without the court’s permission.
Contact Information: He must furnish his contact number and residential address, along with the residential address and contact numbers of two near relatives, to the Investigating Officer and keep them updated on any changes.
Regular Trial Attendance: He must attend the dates of trial regularly.

The bail application stands disposed of accordingly. This order highlights the legal principle that continued judicial custody requires concrete evidence of wrongdoing and actual harm to victims, especially in financial fraud cases where the lack of formal complaints from alleged victims can be a significant factor.