Mumbai: A special PMLA court on Monday rejected the bail plea of Shiv Sena (UBT) functionary Suraj Chavan, arrested in connection with alleged irregularities in awarding contract for distribution of khichdi by the BMC to migrant labourers and homeless people during Covid-19 pandemic.
Observation Made By The Court
Special Judge AC Daga noted that there was sufficient material on record to show that Chavan was not only involved in generating proceeds of crime but in layering it as well.
The judge, in his order, stated that the FIR had specific recitals about the findings by the investigating officer, concluding that instead of 300gm of khichdi, 100gm was prepared and distributed through the BMC. The court said that at this juncture [bail hearings], there was prima facie material on record to show that the smaller quantity of the khichdi was packed in the packet.
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“For the sake of argument, if it is accepted that there is no evidence to show that less amount of khichdi was packed, still... the work order was obtained by cheating officials of the MCGM,” it said.
The court said that as far as the conspiracy was concerned, Chavan “is involved since beginning till end and has taken active part”.
Allegations Made By The Enforcement Directorate Against Suraj Chavan
Chavan was held on January 17 by the Enforcement Directorate alleging that he used his proximity with senior political leaders and managed the award of workorder of khichdi to Force One Multi Services by BMC authority. All the preparation and packing and transportation were handled by Force One Multi Services. The agency had said no role was played by Chavan in supplying packets of khichdi to BMC.
The ED claimed that further investigation into the scam revealed that Force One earned a total Rs 3.64 crore in the project, out of which Rs 1.25 crore were diverted to Chavan’s personal account and further Rs 10 lakh to his partnership firm Fire Fighters Enterprises. The ED claimed that further probe had revealed that the funds amounting to Rs 1.35 crore, so admittedly received by accused, Chavan, from Force One Multi Services, were utilised in purchase of immovable residential flat, agricultural land, investment in dairy business, payment of personal tax liabilities and other personal expenses.
The agency has alleged that BMC gave instructions for allotment of khichdi supply to organisations which do not fit the eligibility criteria. The BMC paid Rs 5.93 crore to Sahyadri refreshments. Similarly the BMC paid Rs 8.64 crore to Force One Multi Services. However, Force One Multi Services resorted to illegitimate acts and illegally gained public money of Rs 2.73 crores which are fraudulently in the guise of salary to employees and therefore it lead total loss of Rs 6.37 crore of public fund to BMC in aforesaid two orders.
