Former DHFL boss Kapil Wadhwan gets bail

Shiv Kumar
Tribune News Service
Mumbai, February 21

The Special Prevention of Money Laundering Act (PMLA) court on Friday granted bail to Kapil Wadhwan, former Chairman & Managing Director of the troubled Dewan Housing Finance Ltd ((DHFL) who was arrested for his alleged links with Iqbal Memon alias Iqbal Mirchi of the Dawood Ibrahim gang.

While granting bail to Wadhwan on a cash bond of Rs 5 lakh, the special PMLA court asked him to appear before the Enforcement Directorate when summoned.

Wadhawan (46) was arrested on January 27 by the Enforcement Directorate under the Prevention of Money Laundering Act (PMLA). Arguing for bail, his lawyers denied that Wadhwan had any links to Mirchi. Subsequently, Wadhwan’s counsel stated that the main accused in the case, Dheeraj Wadhawan and promoters of Sunblink Real Estate Pvt Ltd, were already granted bail.

According to the ED, the Wadhawans had siphoned of Rs 12,773 crore from DHFL ostensibly to provide loans to one lakh fictitious customers. The agency said part of the funds was siphoned off to Mirchi.

According to the Enforcement Directorate, the Wadhwans had siphoned of more than Rs 2100 crore to Sunblink Real Estate, a company allegedly floated by Mirchi. DHFL has been lending to Sunblink since 2010, according to the ED.

The Wadhwans are under investigation for providing funds to Mirchi and the Dawood Ibrahim gang to acquire residential properties in South Mumbai.

Three buildings, Rabia Mansion, Marium Lodge and Sea View, have been attached so far.