Lilavati Trust's FIR: SC Tells HDFC Bank CEO To Pursue His Plea Before Bombay HC

(MENAFN- IANS) New Delhi, July 4 (IANS) The Supreme Court on Friday declined to entertain a plea of HDFC Bank CEO and Managing Director Sashidhar Jagdishan to quash an FIR lodged against him, following a complaint by the Lilavati Kirtilal Mehta Medical Trust, which runs Mumbai's Lilavati Hospital, that he has accepted a bribe of Rs 2.05 crore.

A Bench of Justices P.S. Narasimha and R. Mahadevan opined that it would be improper on the part of the apex court to intervene in the matter when Jagdishan's plea to quash the criminal complaint is tentatively listed before the Bombay High Court for hearing on July 14.

Following the recusal by judges of the Bombay High Court at least on three different occasions, Jagdishan approached the Supreme Court over the delay in listing of his petition and prayed for an immediate interim relief.

Senior advocate Mukul Rohatgi, appearing on behalf of Jagdishan, argued that the reputation of HDFC Bank is affected because of an internal dispute between the trustees of the Lilavati Trust, requiring an interim protection order. However, the Justice Narasimha-led Bench declined to pass any interim order and asked Rohtagi to raise all contentions before the Bombay High Court.

“We sympathise that the Bench after the Bench (of the Bombay HC) have recused. It is unfortunate! But, now it is listed,” remarked the apex court, hoping that the matter would be taken up by the Bombay High Court for hearing on July 14.

On Thursday, the top court agreed to urgently list Jagdishan's plea for hearing on July 4 (Friday) after it was contended that a“frivolous” FIR was filed as“part of an arm-twisting tactic” to prevent the HDFC Bank from recovering money from the Lilavati Trust.

Jagdishan's plea had come up for hearing in the Bombay High Court on June 30; however, noting that there was no urgency in the matter, it listed the matter on July 14, prompting him to move the Supreme Court for relief.

The FIR, registered last month at the Bandra police station in Mumbai under Sections 406 (criminal breach of trust), 409 (criminal breach of trust by a public servant), and 420 (cheating), levels serious allegations against Jagdishan.

The Lilavati Trust has claimed in its complaint that Jagdishan accepted a bribe of Rs 2.05 crore as a quid pro quo for providing financial advice to help the Chetan Mehta Group retain illegal and undue control over the governance of the Trust. It has accused Jagdishan of misusing his position as the head of a leading private sector bank to interfere in the internal affairs of a charitable organisation.

On the other hand, Jagdishan has strongly denied the allegations, calling the case a malicious attempt to defame him and HDFC Bank. He stated that HDFC, along with a consortium of banks, had granted loans to Splendour Gems Limited in 1995.

When the firm defaulted, recovery proceedings were launched in 2002 against its guarantors, including Kishor Mehta, Prashant Mehta's father. An arrest warrant was issued in 2020, and though Kishor Mehta passed away in 2024, the proceedings continued against his sons.

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