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Delhi HC grants Bail on Medical Grounds to P. Sarath Reddy in Delhi Excise Policy Case

Delhi HC grants Bail on Medical Grounds to P. Sarath Reddy in Delhi Excise Policy Case

P Sarath Chandra Reddy of Aurobindo Pharma Granted Bail in Delhi Excise Policy Case
The Delhi High Court recently granted bail to P Sarath Reddy, a key member of the “South group” accused of paying ₹100 crore kickbacks to government functionaries in the Delhi Excise Policy case, on medical grounds. 

Justice Dinesh Kumar Sharma set a bail amount of ₹1 lakh with two sureties, directed Reddy to surrender his passport and barred him from travelling without the Court’s permission.

While granting bail, the Court highlighted, “Right to live with dignity includes right to live a healthy life. The person who is sick or infirm has a right to have adequate and effective treatment. Though jails and designated hospitals provide good basic treatment, we cannot expect them to provide specialized treatment and monitoring as required in the present case.”

Reddy’s medical report had indicated that he was in a bad state and could be categorised as sick or infirm. Appearing for Reddy, senior counsel Vikas Pahwa submitted that though there was no specific averment regarding grant of bail on medical grounds, the question being involved of the liberty of an individual. 

Additional Solicitor General (ASG) SV Raju opposed the bail plea on merits but argued that in view the medical condition of the petitioner, an appropriate order can be passed. The Court noted that the ASG had also submitted that during the petitioner’s time on bail he hadn’t violated any of the conditions or tampered with evidence.

“In view of the medical record being furnished by the petitioner and the submissions made by learned ASG, the petitioner is admitted to bail on furnishing a personal bond in the sum of ₹1 lakh with two sureties of the like amount to the satisfaction of the trial court…,” it held. However, the order clarified that bail had been granted purely on Reddy’s medical conditions and shall not be taken as a precedent.

The case stems from a complaint made by Lieutenant Governor VK Saxena on July 20, 2022, to the Central Bureau of Investigation (CBI). On August 17, 2022, the CBI registered a case in connection with the alleged irregularities over the Delhi Excise Policy for 2021-22. On the basis of the CBI case, the Enforcement Directorate (ED) registered a case on the money laundering aspect against the accused persons on August 22, 2022. A criminal conspiracy was alleged on the part of Delhi Deputy Chief Minister Manish Sisodia and others including unidentified and unnamed persons/entities during the stage of the Policy’s formulation.

A Delhi court recently granted bail to two other accused in the case – Rajesh Joshi and Gautam Malhotra. This decision by the Delhi High Court granting bail to P Sarath Reddy on medical grounds is not be treated as a precedent as mentioned by the Judge. It is a reminder of the importance of the right to live with dignity and to receive adequate and effective treatment, even for those in jail.

Case: P. Sarath Chandra Reddy vs Directorate of Enforcement
Counsel for Applicant: Senior Advocate Vikas Pahwa and Others
Counsel for Opposite Party: ASG S V Raju and Others
Order Date: 08.05.2023 
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