Supreme Court Upholds Bail Granted to 3 in Andhra Pradesh Skill Development Scam

The Supreme Court Today (Sept 10) upheld the bail granted to the former Managing Director (MD) of Siemens Industry Software India Private Limited and two others accused in the Andhra Pradesh skill development scam case. Andhra Pradesh Chief Minister N Chandrababu has been out on bail in the same case since November last year.

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Supreme Court Upholds Bail Granted to 3 in Andhra Pradesh Skill Development Scam

NEW DELHI: The Supreme Court on Tuesday reaffirmed the bail granted to the former Managing Director (MD) of Siemens Industry Software India Private Limited and two other individuals accused in the Andhra Pradesh skill development scam case. This decision came as a blow to the Enforcement Directorate (ED), which had filed an appeal challenging the earlier bail order.

A two-judge bench consisting of Justices Abhay S Oka and Augustine George Masih dismissed the ED’s plea and upheld the Andhra Pradesh High Court’s decision to grant bail to the three accused. These individuals include Siemens’ former MD, Soumyadri Shekhar Bose, Mukul Chandra Agarwal, the Chief Operating Officer of PVSP IT Skills Projects Pvt Ltd, and a chartered accountant, Suresh Goyal.

All three accused were arrested in March of last year, and they were granted bail by the Andhra Pradesh High Court in May 2023.

The case revolves around serious allegations of misappropriation of government funds, which were originally earmarked for a skill development project in Andhra Pradesh. The prosecution claims that these funds were siphoned off to various shell companies through fraudulent invoices that did not correspond with the delivery of services.

In this high-stakes legal battle, the accused were represented by Advocates Devina Sehgal, Pratik R Bombarde, and Tatini Basu. On the other side, the Enforcement Directorate was represented by Additional Solicitor General SV Raju and Advocate Mukesh Kumar Marorira.

Among the prominent figures implicated in this case is the former Chief Minister of Andhra Pradesh, N Chandrababu Naidu. He is also accused of playing a role in the skill development scam. In November 2023, the Andhra Pradesh High Court granted Naidu bail.

Supreme Court Upholds Bail Granted to 3 in Andhra Pradesh Skill Development Scam

However, the YSR Congress Party-led Andhra Pradesh government, which was under the leadership of Chief Minister YS Jagan Mohan Reddy at the time, challenged the High Court’s bail order by filing an appeal before the Supreme Court in the same month.

During the initial hearing, the Supreme Court had lifted a bail condition on Naidu that had restrained him from taking part in public rallies and meetings while out on bail. This interim relief allowed Naidu to participate in political activities while the appeal remained unresolved.

The main appeal is yet to be finally decided, as the legal proceedings are still ongoing. Meanwhile, political dynamics in Andhra Pradesh have shifted significantly.

In an unexpected turn of events, the Telugu Desam Party (TDP), of which Naidu is a key member, won the state elections earlier this year.

Consequently, Naidu became the State’s Chief Minister once again, ushering in a new chapter in the state’s political landscape.

The case continues to be closely monitored, given its wide-ranging political and legal implications.

Click Here to Read Previous Reports on Andhra Pradesh Skill Development Scam

author

Vaibhav Ojha

ADVOCATE | LLM | BBA.LLB | SENIOR LEGAL EDITOR @ LAW CHAKRA

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