Did HDFC Bank CEO Sashidhar Jagdishan Seek to Quash FIR Filed by Lilavati Trust?
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Synopsis
In a controversial legal move, HDFC Bank CEO Sashidhar Jagdishan seeks to quash an FIR alleging bribery. This case unfolds amidst claims of coercive tactics from the Lilavati Trust, raising questions about the intersection of finance and ethics. With a Supreme Court hearing set for July 4, the outcome could reshape the narrative around corporate governance and accountability.
Key Takeaways
- Sashidhar Jagdishan has filed a petition in the Supreme Court to quash an FIR alleging bribery.
- The FIR claims Jagdishan accepted Rs 2.05 crore from the Lilavati Trust.
- Senior Advocate Mukul Rohatgi represents Jagdishan in court.
- The case raises significant questions about corporate governance and ethics.
- The Bandra police station in Mumbai is involved in the FIR registration.
New Delhi, July 3 (NationPress) Sashidhar Jagdishan, the CEO and Managing Director of HDFC Bank, has approached the Supreme Court with a petition to annul the first information report (FIR) filed against him following a complaint from the Lilavati Kirtilal Mehta Medical Trust. The complaint alleges that he accepted a bribe amounting to Rs 2.05 crore.
Senior Advocate Mukul Rohatgi, representing Jagdishan, contended that the FIR was part of a coercive strategy aimed at pressuring the bank to recover funds from the Trust.
In response to the plea, Justice MM Sundresh has scheduled the hearing for Friday, July 4.
Rohatgi described the FIR as “frivolous” and informed the court that at least five judges from the Bombay High Court had recused themselves from considering Jagdishan's petition to quash the FIR.
The case was previously brought before the Bombay High Court on June 30, where Jagdishan's counsel sought interim relief. However, the court deemed there was no urgency and postponed the matter to July 14, prompting Jagdishan to turn to the Supreme Court for assistance.
The FIR, filed last month at the Bandra police station in Mumbai, invokes Sections 406 (criminal breach of trust), 409 (criminal breach of trust by a public servant), and 420 (cheating), presenting serious accusations against Jagdishan.
The Trust claims in its complaint that Jagdishan accepted a bribe of Rs 2.05 crore as part of a quid pro quo arrangement to provide financial guidance to the Chetan Mehta Group, enabling them to maintain illegal control over the Trust's governance. The Trust accuses Jagdishan of misusing his authority as the head of a major private banking institution to meddle in the internal operations of a charitable entity.
In his plea, Jagdishan has categorically denied the allegations, labeling the case as a malicious attempt to tarnish his reputation and that of HDFC Bank. He noted that HDFC, along with a group of banks, had extended loans to Splendor Gems Limited in 1995.
Following the firm's default, recovery proceedings were initiated in 2002 against its guarantors, including Kishor Mehta, the father of Prashant Mehta. An arrest warrant was issued in 2020, and although Kishor Mehta passed away in 2024, proceedings continued against his sons.
Point of View
The ongoing case against HDFC Bank's CEO underscores the complexities of financial governance and the potential misuse of authority. It is essential for institutions to maintain transparency and integrity, ensuring that allegations of misconduct are addressed judiciously. As this story develops, it will serve as a crucial test of accountability in the banking sector.
NationPress
03/07/2025
Frequently Asked Questions
What is the FIR against Sashidhar Jagdishan about?
The FIR alleges that Sashidhar Jagdishan accepted a bribe of Rs 2.05 crore from the Lilavati Trust in exchange for financial advice that enabled the Trust to maintain illegal control over its governance.
When is the Supreme Court hearing scheduled?
The Supreme Court hearing for Sashidhar Jagdishan's petition to quash the FIR is scheduled for July 4.
Who is representing Jagdishan in court?
Senior Advocate Mukul Rohatgi is representing Sashidhar Jagdishan in the Supreme Court.
What has Jagdishan claimed about the allegations?
Jagdishan has categorically denied the allegations, describing the FIR as a malicious attempt to defame him and HDFC Bank.
What legal provisions are cited in the FIR?
The FIR cites Sections 406 (criminal breach of trust), 409 (criminal breach of trust by a public servant), and 420 (cheating).
