Today, On 6th January, The Supreme Court has granted bail to former Amtek Group chairman Arvind Dham in the Rs.2,700-crore bank fraud case, months after the Delhi High Court denied relief. The trial court will now decide the specific bail conditions.
New Delhi: The Supreme Court granted bail to Arvind Dham, the former chairman of the Amtek Group, concerning a Rs.2,700-crore bank fraud case being investigated by the Enforcement Directorate (ED).
The Bench, consisting of Justice Sanjay Kumar and Justice Alok Aradhe, delegated the determination of bail conditions to the trial court.
Dham’s bail comes several months after the Delhi High Court denied his request for regular bail, taking into account the serious nature of the allegations and the extensive scale of the alleged financial fraud.
Arrested by the ED on July 9, 2024, under the Prevention of Money Laundering Act (PMLA), Dham’s case is related to Amtek group’s company, ACIL Ltd.
Following his arrest, the Rouse Avenue Court in Delhi placed him in the custody of the ED for further investigation.
This inquiry was initiated following multiple FIRs registered by the Central Bureau of Investigation (CBI), based on complaints from IDBI Bank and Bank of Maharashtra.
The banks accused the Amtek Group and its promoters of cheating, fraud, criminal breach of trust, and misdirection of loan funds, leading to considerable financial losses for the lending institutions.
The ED’s investigation indicated that the Amtek Group defaulted on loans exceeding Rs.2,700 crore from over 15 banks and financial institutions.
Allegations suggest that funds raised through bank loans were funneled through a complex network of transactions involving various group entities.
Numerous companies within the Amtek Group, such as ARG Ltd, ACIL, Amtek Auto Ltd, Metalyst Forging, and Castex Technologies, along with other subsidiaries, faced insolvency proceedings due to escalating debt and defaults.
The collapse of these companies raised alarm in the banking sector due to the significant exposure of multiple public sector banks to the group.
The ED asserts that the alleged actions amount to proceeds of crime under money laundering laws, with Dham, as the promoter and key decision-maker, playing a pivotal role in the diversion of funds.
The agency has leaned on financial records, bank statements, and witness testimonies to bolster its case. While granting bail, the Supreme Court did not delve into the merits of the allegations but remarked that the trial court would consider conditions, including travel restrictions and cooperation with the investigation.
Dham’s case remains pending before the trial court, and the ED’s broader investigation into the alleged money laundering network associated with the Amtek Group continues.
During the High Court proceedings, Special Counsel Zoheb Hossain, representing the ED, opposed Dham’s bail plea, categorizing the Amtek case as one of India’s largest financial frauds. He argued that Dham and his associates were still engaging in financial manipulations, attempting to liquidate assets and influence witnesses.
Hossain contended that the laundering of funds was still occurring, and if Dham were granted bail, he would “systematically siphon off” concealed proceeds of crime.
He emphasized that allowing bail under such circumstances would diminish the deterrent effect in cases of large-scale economic crimes.
In response, Senior Advocate Vikas Pahwa, representing Dham, invoked the constitutional right to a speedy trial under Article 21 of the Constitution.
He argued that prolonged detention without significant movement in trial proceedings constituted a violation of Dham’s fundamental rights.
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Earlier, On May 30, 2025, the Court had denied him interim bail, asserting that the seriousness of the allegations and the magnitude of the alleged proceeds of crime made interim relief impractical.
During that time, the ED reiterated that the alleged laundering activities amounted to several thousand crores and that releasing Dham would severely undermine the ongoing investigation.
The origins of this case trace back to complaints lodged in December 2022 by IDBI Bank and Bank of Maharashtra against certain companies within the Amtek Group.
Case Title: Arvind Dham v. Directorate of Enforcement
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