Shimla, March 18,
The Himachal Pradesh High Court on Monday witnessed arguments as the State Vigilance and Anti-Corruption Bureau (SV&ACB) strongly opposed the bail applications of Kangra Cooperative Bank Manager and businessman Yudh Chand Bains in connection with the ₹20 crore bank loan default case.
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Bains, who had earlier secured anticipatory bail from the High Court, is accused of financial irregularities in securing a loan from KCC Bank, which later turned into a Non-Performing Asset (NPA). The State Vigilance had registered an FIR against him on January 9, alleging that he fraudulently obtained the loan, misused the funds, and failed to repay the amount. The case has since taken multiple legal turns, with the state seeking custodial interrogation of the accused.
Also read: HC extends bail of Yudh Chand Bains in ₹20 Cr loan fraud case, hearing on March 6
In the Monday hearing, according to Additional SP Vigilance Narvir Rathore, State vigilance and anti-corruption Bureau submitted a fresh status report, arguing that both Bains and the bank manager should not be granted bail as their custodial interrogation was crucial to the investigation. The agency claimed that preliminary findings indicated the involvement of the entire board of KCC Bank, including the former chairman, and suggested that more FIRs could be filed against other individuals linked to the loan scam.
The matter was placed before the division bench of Justice Vipin Chandra Negi and Justice Rajiv Ranjan. The Vigilance Bureau insisted that other bank officials’ roles were still under scrutiny, and releasing any accused on bail at this stage could hamper the investigation.
According to the agency, Bains allegedly diverted the sanctioned loan for purposes unrelated to hotel construction, which was the primary reason for availing the loan. Instead of utilizing the funds for the intended construction of hotels in Mandi and Manali, he allegedly used the money to purchase jewellery and disbursed a portion of it to private individuals, violating the loan agreement’s terms. Despite five years passing since the loan was sanctioned, the hotels remains incomplete.
The Vigilance Bureau emphasized that given the gravity of financial misappropriation, allowing bail would weaken the case against the accused. The court, after hearing the state’s submissions, scheduled the next hearing for March 25, during which further arguments will be presented by both sides.
Bains’ legal troubles have taken a political turn, as he has accused Chief Minister Sukhvinder Singh Sukhu’s administration of targeting him. With the case widening to include bank officials and further investigations underway, the High Court’s upcoming decision will be crucial in determining the course of this high-profile financial scandal.
