Ahmedabad, September 9 (Daily Kiran) : An Ahmedabad court delivered a significant ruling on September 8, 2026, in a 26-year-old fraud case involving Kusal Diamonds Limited. The court found the private company and its two directors guilty of criminal conspiracy and fraud.
As a result, the court imposed a fine of ₹30 lakh on the company. Both the Chief Managing Director, Bakul Jewari, and Director Majah S. Kapadia received sentences of five years in prison along with individual fines of ₹30 lakh.
The Central Bureau of Investigation (CBI) initiated the case on March 15, 2000. The allegations targeted three officials from the National Small Industries Corporation (NSIC) in Ahmedabad—then-Joint Director V.K. Sawani, Joint Manager (Finance) Rohit Dhingra, and former Regional General Manager Ram Avatar Agarwal. They were accused of conspiring with the directors of Kusal Diamonds.
Investigations revealed that NSIC had disbursed ₹2,34,85,081 to Kusal Diamonds under the bill discounting facility and raw material assistance scheme. Out of this amount, ₹1,34,88,717 was adjusted against outstanding dues, payments received via checks, and earnest money deposits. By March 31, 1996, the final outstanding amount owed by the company to NSIC was ₹99,96,364, constituting a wrongful loss to the corporation.
Following the investigation, the CBI filed a chargesheet against eight accused on January 8, 2002. This list included Kusal Diamonds Limited and its three directors—Bakul Jewari, Majah S. Kapadia, and Subhash Chanana—as well as four NSIC officials: Virendra Kumar Sawani, Rohit Dhingra, Ram Avatar Agarwal, and Rajesh Arora.
After the trial, the court convicted the company and its two directors while acquitting the four NSIC officials of all charges. Additionally, the trial against another accused, Subhash Chanana, was terminated due to his death during the proceedings.
Leave a Comment