CHENNAI: The Madras High Court refused to grant bail to Kalai Selvi, who was arrested in an economic offence case in connection with the Hijau scam, to the tune of Rs. 4,620 crores.
Petitioner Kalai Selvi moved the Madras High Court (MHC) seeking bail from the case booked against her. The case was listed before Justice G K Ilanthiraiyan. The counsel appeared for the police contended that if bail is granted to the petitioner there is a possibility that she will get away from India and it will create difficulties for the police to prosecute further and recover the money.
It is alleged that the Hijau associates committed financial fraud of nearly Rs 4,620 crores from more than 89,000 investors promising huge returns. The economic offences wing booked the case and arrested 14 accused. Further, a lookout notice has been issued against the director of the Hijau associates, Alexander and 15 other stakeholders.
Subsequently, the economic offences wing arrested Kalai Selvi, the managing director of Hijau's sister company, R K M brothers for wooing investors to invest in Hijau associates.
Considering the huge money involved in the scam, the judge refused to grant bail to Kalai Selvi. It may be not that her previous representation to grant bail was also refused by the special court.