Justice Sandeep Bhatt refused to even consider the plea filed by Choksi in the matter, stating that he has no regard for the laws of the country.
On Wednesday, the Gujarat High Court declined to dismiss the criminal proceedings against fugitive diamond tycoon Mehul Choksi and the directors of Gitanjali Gems. They are facing charges related to an alleged gold savings scheme fraud where individuals were reportedly deceived.
Justice Sandeep Bhatt refused to entertain Choksi’s appeal, citing his lack of cooperation with the legal process and his departure from the country. The court’s order stated, “Due to Choksi’s lack of regard for the judicial process, the present petition cannot be considered for Choksi, who cannot be granted equitable relief.”
Chetna Zhaveri, one of Choksi’s associates at Gitanjali Gems, had pleaded not guilty. However, the court rejected her defense, finding a compelling prima facie case against her.
The case revolves around allegations that customers were deceived into investing in a gold savings scheme. The complaint states that a couple purchased jewelry from a store called “Gitanjali Jewellers” but received a receipt from “Divyanirman Jewels,” a Gitanjali Gems franchisee in Ahmedabad.
They were enticed into a gold or diamond savings scheme, requiring monthly investments, with the promise of receiving a gold coin at the end of the scheme. Despite their investments, they were later informed that the franchise agreement had been terminated and no gold coins were available. The couple’s complaints and requests for a refund went unanswered.
In 2017, the couple filed a complaint against Digvijaysinh Jadeja, the owner of Divyanirman Jewels, Mehul Choksi, and two other Gitanjali Gems directors.
In an order issued on October 11, the High Court rejected a motion to quash the criminal case, asserting that a prima facie case against the accused existed. The court concluded that the investors in the gold scheme had been defrauded, and the investigation should continue. The court noted the closure of showrooms in various locations, suggesting fraudulent activities had occurred, and the responsibility ultimately rested with those overseeing Gitanjali Gems.
Attorney Salil M. Thakore represented Choksi and the Gitanjali Gems directors, while Param R. Buch represented the complainants. Chittan Dave, the Deputy Public Prosecutor, represented the state government.
