Long Detention Cannot Defeat the Gravity of Fraud: Delhi High Court Denies Bail in Rs.1.73 Crore Investment Scam

“Prima Facie Case of Planned Cheating Using Forged Letters of Yes Securities Established” - Delhi High Court dismissed the bail application of Abhijeet Mishra in connection with allegations under Sections 419, 420, 406, 467, 468, 471, and 34 IPC. The applicant was accused of orchestrating a Rs.1.73 crore fraud by posing as an employee of Yes Securities Ltd. and inducing the complainant to invest in fictitious government and bank bond schemes. 
Justice Ravinder Dudeja, after reviewing the submissions and case materials, held that “allegations are grave and serious in nature,” and that continued judicial custody is justified despite the applicant’s prolonged detention since June 2023.
“Deceit Cloaked as Investment: Criminal Intent Apparent from the Inception” 
The Court noted that the applicant had impersonated an employee of Yes Securities Ltd. and, along with co-accused Ankita Tiwari, fraudulently persuaded the complainant to invest large sums in what were claimed to be secure government and bank instruments. The documents provided were later found to be completely forged. The coaccused Ankita Tiwari, to whom cheques were issued, was never an employee of Yes Securities, and has since been declared a proclaimed offender. 
Justice Dudeja observed:  “Prima facie, from the very inception, the applicant and the coaccused had an intention to cheat the complainant.” 
 claim that amounts received were returned was rejected by the Court, which found the refund of Rs.79.51 lakhs to be a mere tactic to gain trust before defrauding the complainant of a larger amount. 
 “Nature of the Dispute Is Not Civil – The Use of Forgery and Impersonation Elevates It to Criminal Offence” 
Rejecting the petitioner’s argument that the matter was civil in nature due to prior financial transactions and ledger entries, the Court held: “The consistent use of false documentation, impersonation, and deceit elevates the matter beyond a commercial disagreement.” 
Even te partial repayment and ledgers, the Court noted, do not erase the fraudulent character of the later transactions, which were clearly designed to cheat and misappropriate funds. 
“False Letters, Fake Promises, Dishonoured Cheques – A Pattern of Deception” 
The Court detailed the modus operandi: forged letters on Yes Securities Ltd. letterhead, false authorizations, dishonoured cheques issued to feign refund, and false assurances of weekly installments, none of which resulted in substantial recovery of the defrauded amount. 
“The cheque of Rs.15 lakhs given by the applicant bounced for insufficiency of funds. Only Rs.10 lakhs were returned in two installments, far below the defrauded Rs.1.73 crores.” 
“Detention Since June 2023 Not Sufficient Ground for Bail” 
Though the petitioner had been in judicial custody since 5 June 2023, and the charge sheet was filed, the Court was unequivocal in stating: “Long detention in custody cannot be a sole ground for grant of bail.” 
The ongoing trial, and the seriousness and sophistication of the alleged offence, demanded continued incarceration. 
The Court dismissed the bail plea with a firm view that the evidence showed premeditated criminal conspiracy, use of forged documents, and wrongful gain at the expense of the complainant. 
“The complainant has been cheated of an amount of Rs.1.73 crores in a planned manner by the applicant and the co-accused.” 
 “I am not inclined to grant bail to the applicant/accused at this stage.” 
 
Date of Decision: April 15, 2025