Issue of process in Bofors case will hit business: Hindujas

By J. Venkatesan

NEW DELHI, DEC. 5. The three Hinduja brothers today urged the special court here not to issue process in the chargesheet filed against them by the CBI in the `Bofors payoffs case' as it would cause irreparable damage to their global business interest.

The counsel for the Hindujas told the special judge, Mr. Ajit Bharihoke, that already sufficient damage had been caused and their business had suffered because of the propaganda and publicity given to the filing of the chargesheet on October 9. The Hindujas had invested more than Rs. 10,000 crores in India and if the court took cognisance and asked them to appear, it would cause considerable harm and damage to their reputation.

On October 9, the CBI had filed the chargesheet against the three NRI industrialist Hinduja brothers, Gopichand, Srichand and Prakash, alleging that payments to the tune of 80 million Swedish Kroners were made by M/s AB Bofors to them through M/s Mc Intyre Corpn.

The case was posted for taking cognisance on November 20. On that day, as the three Hinduja brothers filed applications for being heard before the process was issued and presented their arguments, the case was posted for today.

When the case was taken up today, Mr. Arvind Nigam, arguing for Mr. P.P. Hinduja, cited several decisions to drive home the point that even the trial court had inherent jurisdiction to correct any irregularity before the process could be initiated. He contended that the court could not proceed on the basis of an incomplete chargesheet.

He pointed out that the Swiss authorities were yet to reply to the clarification sought by the CBI, viz. whether payments alleged to have been received by the Hindujas pertained to the Bofors gun deal.

In the absence of this vital information, the court could not take cognisance and issue process. On the locus standi, he said there was no prohibition under the Cr.P.C. for giving an opportunity to the accused prior to the stage of taking cognisance.

Mr. Rajinder Singh, senior counsel for Mr. G.P. Hinduja, submitted that giving an opportunity to the accused prior to the stage of issue of process, ``may be unusual, but not irregular.'' The court would not be committing any illegality by adopting this procedure, he said.

Mr. Amit Desai, counsel for Mr. S.P. Hinduja, contended that when the incomplete chargesheet did not disclose commission of any offence, the court should could not stand on technicalities and reject their applications.

Issuing process had tremendous impact on the business of the Hindujas and it had international ramifications, he added. Arguments will continue tomorrow.

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Section  : National
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