- (1.) THE Petitioner is one of the accused in Chief Case No. 17/2007 pending before learned Chief Judicial Magistrate, Mehsana which case is arising out of I -C.R. No. 122/2005. He along with other co -accused has been charge -sheeted for offences punishable under Sections 406, 409, 420, 421, 424, 467, 468, 471, 120(B) read with Section 114 of the IPC.
(2.) IN the said FIR bearing I -CR No. 122/2005, it is alleged inter -alia that with respect to one Cooperative bank namely Sarvodaya Nagrik Sahkari Bank Ltd. ('the said bank' for short), there was large scale fraud resulting into loss of Rs. 8,99,29,327/ - which led to weak financial condition of the bank. On account of such weak financial conditions, RBI had issued directions under Section 35(A) of the Banking Regulation Act. Bank is prevented from making payment in excess of Rs. 1000/ -. It is alleged that the office bearers of the bank for the period between 1988 to 2003, gave number of loans in breach of the rules and regulations ignoring the banks policies and rules. Directors of the bank thus committed large scale financial irregularities. It is further alleged that the borrowers from the very beginning did not intend to repay the bank dues. At the time of taking loans, proper documents were not produced. They had closed down their businesses for which purpose loans were granted. Substantial amounts of loans were never returned. They had thereby cheated and defrauded the bank.
(3.) IT is not in dispute that the Petitioner was the Director of the said bank for a substantial period when such alleged irregularities were committed. In his application seeking discharge dated 19.3.2008, he had stated that he was the Director of the bank for the period between 1995 to 2001. Upon presentation of the charge -sheet, learned Magistrate took cognizance of the offence against the Petitioner and other accused at which stage the Petitioner moved application exh.6 dated 19.3.2008 and prayed that he may be discharged in exercise of powers under Section 245(2) of the Code of Criminal Procedure. In the said application, he contended inter -alia that he had not committed any fraud. From the charge -sheet papers, nothing is emerging as to how he committed the said offence. As a Director, he had never helped anyone in getting such loans.;