Supreme Court Grants Bail to Filmmaker Vikram Bhatt and Wife in High-Profile Rs 30 Crore Fraud Case
In a significant legal development, the Supreme Court of India has granted regular bail to prominent film director Vikram Bhatt and his wife, Shwetambari Bhatt, in a high-stakes Rs 30 crore fraud case. The case revolves around a contentious dispute concerning a planned biopic on the late wife of Indira IVF founder, Ajay Murdia.
Court Sets Aside Rajasthan High Court Order and Advocates Mediation
A Supreme Court bench, comprising Chief Justice of India Surya Kant, Justice Joymalya Bagchi, and Justice Vipul Pancholi, delivered the ruling on Thursday. The bench explicitly set aside the Rajasthan High Court's earlier decision that had denied bail to the Bhatt couple. While granting them bail, the judges emphasized the commercial nature of the dispute and strongly encouraged both parties to pursue mediation for an amicable resolution.
The bench articulated in its order: "It seems to us that the dispute essentially pertains to a commercial transaction, though the ingredients of committing offence of cheating etc have been expressly mentioned in the FIR. Be that as it may, it may be appropriate for the parties to resolve the disputes through mediation. The regular bail has been granted with the expectation that the appellants will try and make efforts for the amicable resolution of the dispute."
The court has directed the involved parties to appear before the Supreme Court Mediation Centre to explore a settlement regarding the payment-related issues at the heart of this case.
Arrest and Legal Proceedings Leading to Bail
Vikram Bhatt and Shwetambari Bhatt were taken into custody by Rajasthan Police in December following their arrest in Mumbai. Subsequently, they were held at Jodhpur Central Jail. Notably, Shwetambari Bhatt had received interim relief from the Supreme Court just one week prior to this bail decision, highlighting the ongoing legal complexities.
Legal Arguments Presented in Court
During the court proceedings, Senior Advocate Siddharth Dave represented Vikram Bhatt and his wife, while Senior Advocate Vikas Singh appeared for complainant Ajay Murdia. Singh informed the court that he had no objection to granting bail to the couple to facilitate mediation. He also disclosed that another FIR had been lodged against Vikram Bhatt in Mumbai concerning a separate cheating allegation.
Singh argued: "His company is in difficulty and he is asking money based on his past reputation, people are giving money, and he is using the money into his own company which is going into liquidation."
In response, Dave countered these claims, asserting that Bhatt had been utilizing the funds to complete his film projects. He elaborated that the agreement encompassed four films: two were already finished, the third was approximately 70% complete, and detaining Bhatt in custody would critically halt the progress of these cinematic endeavors.
Origins of the Fraud Case
The case originated from allegations by Ajay Murdia, who claimed that Vikram Bhatt and his wife persuaded him to invest over Rs 30 crore in a movie project about his late wife. Murdia alleged that he was promised substantial profits that ultimately never materialized, leading to the filing of the cheating case.
This ruling marks a pivotal moment in the legal battle, with the Supreme Court emphasizing mediation as a pathway to resolve what it views fundamentally as a commercial dispute, while also addressing the serious allegations of fraud that have captivated public and media attention.
