In a significant development, the Bombay High Court on Wednesday granted bail to prominent Pune-based builder Avinash Bhosale in connection with a money-laundering case. Justice Manish Pitale ruled that there are reasonable grounds to believe Bhosale may not be found guilty as charged at the conclusion of his trial.
Avinash Bhosale, the chairman and founder of ABIL Group, was apprehended by the Enforcement Directorate (ED) in June 2022 following his arrest by the Central Bureau of Investigation (CBI) in a separate corruption case earlier. Bhosale had secured bail in the CBI case from the high court this past May.
The court has allowed Bhosale’s release on a personal bond of Rs one lakh, with Justice Pitale noting, “The applicant is already granted bail in the predicate offence registered by the CBI, providing further ground for this decision.”
The allegations against Bhosale involve receiving kickbacks from Yes Bank founder Rana Kapoor, who is also embroiled in the case, in exchange for facilitating fund diversions. According to the ED, Yes Bank had disbursed substantial loans to Deewan Housing Finance Limited (DHFL), which were identified as proceeds of crime, part of which were then purportedly channeled to Bhosale through consultancy service payments.*
ED’s investigation highlights three major transactions linking Bhosale’s companies with DHFL and Radius group, suggesting a transfer of Rs 350 crore as kickbacks. However, Bhosale’s defense, led by counsel Aabad Ponda, argues that these were bona fide business transactions and returns on investments from 2014-2015, before any alleged crime was contemplated.
During the proceedings, ED counsel Hiten Venegaonkar pressed that there was substantial evidence pointing to Bhosale as a beneficiary of illicit funds. Nonetheless, the court noted that the transactions appeared to be repayments on earlier investments and expressed concerns about the prolonged duration of Bhosale’s incarceration and the potential delay in trial commencement.
