Mumbai, April 6, 2024: Vicky Rajkumar Makhija, an accused in a significant cyber fraud case involving over ₹1.31 crore, has been granted bail by the Additional Sessions Judge, Greater Mumbai. The order, issued by Additional Sessions Judge Dr. A. A. Joglekar, comes in response to Criminal Bail Application No. 851 of 2024, filed under Section 439 of the Code of Criminal Procedure.

Makhija was arrested in connection with C.R. No. 07/2022, registered at BKC Cyber Police Station, West Division, Mumbai. He was charged under Sections 419 (cheating by personation), 420 (cheating and dishonestly inducing delivery of property), 465 (forgery), 467 (forgery of valuable security), 468¹ (forgery for purpose of cheating), 471 (using as genuine a forged document),² read with Section 120-B (criminal conspiracy) and 34 (acts done by several persons in furtherance of common intention) of the Indian Penal Code,³ along with Sections 43, 66, and 66(C)(D) of the Information Technology Act.

The Allegations and Prosecution’s Stance:

The prosecution alleged that in March 2021, the complainant was lured by a woman named Lucy with promises of high-profit returns on investments. Following Lucy’s instructions, the complainant shared his credentials, including login ID and password, and invested in gold and silver. Lucy then displayed fabricated account details on an app to gain the complainant’s trust, leading him and his wife to invest ₹1,31,40,285. Later, Lucy claimed a profit of ₹5.15 crore but demanded ₹1 crore as tax for withdrawal. The invested amount was never returned.

The investigation revealed that the funds were transferred and invested in multiple accounts, including those linked to Makhija and his brother, who was a director in a company. The prosecution argued that Makhija created a fake company and generated fake accounts for fraudulent transactions, indicating his involvement in an interstate racket. They also expressed concerns about flight risk, evidence tampering, and witness intimidation.

Defense Arguments and Court’s Observations:

Advocate Omkar Chitale, representing Makhija, argued that his client was a scapegoat in the crime. He claimed that Makhija’s sister, a company secretary, formed fake companies, and Makhija was made a director. He stated that the company in which Makhija was a director received ₹4 lakh, and that account was already frozen. Makhija had been in custody since July 10, 2023, and his sister, a co-accused, had been granted bail by the High Court.

Judge Joglekar, after reviewing the case records and hearing both sides, noted several crucial points:

• Makhija’s Role: Makhija admitted to being a director in a fake company formed by his sister and acknowledged receiving ₹4 lakh, which was subsequently frozen.
• Parity: Makhija’s sister, Dolly Makhija, a co-accused allegedly involved in forming fake companies, had been granted bail by the High Court.
• Charge Sheet Filed: The investigation was complete, and the charge sheet had been filed.
• Prima Facie Case: The court emphasized that while deciding a bail application, it is required to see if a prima-facie case exists, not to conduct a roving inquiry.
• Supreme Court Precedent: The court referred to the case of Mariam Fasihuddin & Anr. Vs. State by Adugoldi Police Station & Anr., which outlined parameters for invoking Section 420 of the IPC.
• Frozen Account: The allegedly fraudulent funds in Makhija’s company account were frozen, and no other fraudulent transactions were attributed directly to him.

Judge Joglekar concluded that the prosecution’s apprehensions could be addressed by imposing stringent bail conditions.

Conditions of Bail:

The court granted bail to Vicky Rajkumar Makhija with the following conditions:

• He must furnish a Personal Recognizance (P.R.) Bond of ₹30,000 with one or two sureties of the same amount.
• He and his sureties must provide their residential addresses, mobile numbers, and email addresses, and inform of any changes.
• He must not directly or indirectly influence, threaten, or promise any person related to the case.
• He must not tamper with prosecution evidence.
• He must attend BKC Cyber Police Station every Tuesday and Friday between 11:00 AM and 4:00 PM until further orders.
• He must surrender his passport or furnish an affidavit if he does not have one.
• He cannot leave India without court permission.
• Violation of any condition will result in the cancellation of bail.

Implications and Future Proceedings:

The granting of bail to Makhija highlights the court’s consideration of parity, the completion of the investigation, and the freezing of the allegedly fraudulent funds. While the trial will proceed, and the prosecution will have the opportunity to present its evidence, the court’s decision underscores the balance between the presumption of innocence and the need to ensure the integrity of the legal process. The court also made it clear that strict conditions will be in place to ensure the accused attends all future court dates.