The Karnataka High Court has delivered a significant setback to actress Ranya Rao and two other accused in a high-profile gold smuggling case. On Friday, a division bench dismissed their habeas corpus petitions, which sought to have their detention under a stringent anti-smuggling law declared illegal.
Court Upholds Detention Under COFEPOSA
The bench comprising Justices Anu Sivaraman and Vijaykumar A Patil rejected the pleas filed by Rao and her co-accused, Tarun Konduru Raju and Sahil Jain. The petitions had challenged a detention order issued under the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act (COFEPOSA). They argued the order should be declared 'void ab initio', meaning null and void from the very beginning.
This legal development means the accused can potentially be detained for up to one year under the COFEPOSA order dated April 22, irrespective of any bail status. The detailed written order from the court is still awaited.
Details of the Alleged Smuggling Racket
The case came to light on March 3, when Ranya Rao was apprehended at the Kempegowda International Airport in Bengaluru. Authorities alleged she was attempting to smuggle a large quantity of gold by concealing it on her body with bandages. The customs duty evaded in that single instance was estimated at Rs 4.83 crore.
However, investigations by the Directorate of Revenue Intelligence (DRI) revealed a much larger operation. The agency informed the High Court that the trio had smuggled over 100 kilograms of gold into India across multiple trips. The 14.2 kg of gold seized from Rao alone was valued at approximately Rs 12.56 crore. Out of 34 trips made to Dubai by the accused, at least 11 were linked to smuggling activities.
Legal Arguments and Prior Court Decisions
During the proceedings, the prosecution painted a picture of a well-organized network. Additional Solicitor General Arvind Kamath detailed Tarun Raju's alleged role, stating he extensively travelled to Dubai and African countries to source gold and used a company named Veera Diamonds for billing, forming a crucial link in the smuggling chain. Sahil Jain was accused of acting as a hawala agent for the operation.
Rao's defense counsel had raised procedural concerns, claiming the grounds for her arrest were not properly communicated. The State countered this, explaining that the information was contained on a pen drive shown to Rao and, due to jail regulations, was handed over to one of her legal representatives instead.
This is not the first legal hurdle the accused have faced. On April 26, the Karnataka High Court had already rejected their bail application. The court then emphasized the serious impact of economic offences on the national economy and noted the potential flight risk, particularly highlighting Rao's profile as a movie star.
The rejection of the habeas corpus petitions reinforces the court's stern stance on the alleged economic crime, allowing the preventive detention under COFEPOSA to stand as the legal battle continues.
