Hyderabad: Kumar Rao, accused in the phone-tapping case, has approached the High Court seeking bail after being recently arrested by the police in connection with a financial fraud case.
Rao contends that his arrest is part of a conspiracy, claiming that a purely commercial dispute has been wrongly registered as a criminal case, in violation of Supreme Court guidelines.
Arrested despite SC’s directions: Rao
According to Rao’s petition, he was arrested despite the Supreme Court’s directions that commercial disputes should not be treated as criminal cases.
He alleged that the police acted contrary to these guidelines while arresting him. The case in question involves transactions between Akhanda Infratech India Limited and Ecore Industries, in which Rao insists he had no direct role.
He clarified that as a director of Inrhythm Energy Private Limited, his company purchased iron ore from Ecore Industries for resale, and the current complaint-alleging that Rs 24 crore was collected without supplying the ore-was filed by the police at the behest of the complainant.
Rao further stated that he assisted in the supply of iron ore only because his friend is also a director at Akhanda Industries. He emphasised that the commercial dispute between the two companies has since been resolved.
Highlighting the nature of the allegations, Rao pointed out that the alleged offence carries a maximum sentence of less than seven years.
He argued that, as per the Supreme Court’s guidelines in the Arnesh Kumar case, he is entitled to bail in such circumstances.
He also complained that despite his lawyer’s objections, the lower court remanded him to custody in just five minutes without proper consideration.
Additionally, Rao claimed that he was summoned to submit sureties in another criminal case but was instead arrested in this financial fraud case, which he described as a conspiracy.
He has requested the High Court to grant him bail in the case, and the petition is expected to be heard on May 21.
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