Jet Airways Fraud Case: Naresh Goyal Sent To Arthur Road Jail For ₹538 Crore Loan

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In a significant development in the ongoing ₹538-crore loan fraud case, Naresh Goyal, the founder of the now-grounded airline Jet Airways, has been remanded to judicial custody for 14 days by the special Prevention of Money Laundering Act (PMLA) court. The enforcement Directorate (ED) had arrested Goyal late on September 1st, linking him to a case involving the alleged defrauding of Canara Bank to the staggering tune of ₹538 crore.

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Jet Airways Fraud Case: Legal Proceedings Unfold

Goyal’s appearance before the special PMLA court marked the culmination of his ED custody remand. During this hearing, the enforcement agency requested his judicial custody, which the special court duly granted, leading to Goyal’s transfer to the Arthur Road jail.

Health Concerns and Pleas

Following his remand to judicial custody, Goyal submitted several pleas to the court. He urged that his family physician, regular medical consultant, and a specialist doctor should be permitted to conduct his daily medical check-ups. Goyal revealed that on September 13th, he had been taken to JJ Hospital due to uneasiness and dizziness. The doctors diagnosed him with a very low heart rate and noted his history of heart disease and prior bypass surgery. Furthermore, Goyal asserted that he had an 80% blockage in his left main artery and was receiving treatment for depression, necessitating consistent medical attention.

In addition to his health concerns, Goyal sought permission to meet or call his family members for an hour each day, citing his wife’s battle with cancer as a compelling reason.

Court’s Response and Dietary Provisions

The court responded by instructing the prison authorities and the ED to provide their responses to Goyal’s pleas by Monday. In the interim, it granted him the privilege of consuming home-cooked meals in accordance with dietary prescriptions.

Uncovering the Fraudulent Transactions

The ED’s investigation has unveiled a complex web of financial irregularities surrounding Jet Airways. The airline had obtained a loan from a consortium of 10 banks to cover operational expenses from 2011-12 to 2018-19, with ₹6,000 crore still outstanding. Forensic audits exposed ₹1,152 crores diverted under the guise of consultancy and professional fees, and ₹2,547.83 crore redirected to a sister concern, Jet Lite Limited (JLL), to clear its loan. The money advanced to JLL was subsequently written off from Jet Airways’ books. Furthermore, the ED disclosed that approximately ₹9.46 crore had been disbursed to family members and domestic help working at Goyal’s residence.

As Naresh Goyal navigates this challenging legal battle, the judicial system and concerned authorities will continue to scrutinize the intricate details of the ₹538-crore loan fraud case that has embroiled him and Jet Airways.