The Karnataka High Court on Tuesday, December 3, quashed a criminal case filed against Bharatiya Janata Party (BJP) leader Nalin Kumar Kateel. The case involved allegations of extortion and other offences connected to the controversial Electoral Bonds scheme. The order was delivered by Justice M Nagaprasanna.
The case originated from a private complaint filed by activist Adarsh R Iyer, co-president of the Janaadhikaara Sangharsha Parishath, before the 42nd Additional Chief Judicial Magistrate in Bengaluru. The complaint alleged that BJP leaders, including Union Finance Minister Nirmala Sitharaman, BJP national president JP Nadda, and Nalin Kumar Kateel, in collusion with unnamed officials of the Enforcement Directorate (ED), extorted money from private companies under the guise of donations to the party through the Electoral Bonds scheme.
Adarsh claimed that the scheme, which the Supreme Court had struck down in February this year, facilitated illicit gains amounting to over Rs 8,000 crore. The complaint cited instances of ED raids on companies such as Vedanta, Sterlite, and Aurobindo Pharma, alleging that the raids coerced proprietors into purchasing electoral bonds in favour of the BJP.
Based on the magistrate’s directive, the Tilak Nagar police registered an FIR naming Nirmala, Nadda, Nalin Kateel, and others. However, Nalin immediately moved the High Court, arguing that the allegations were baseless and politically motivated. His counsel contended that the complaint lacked specific details and did not satisfy the legal requirements for establishing extortion under Section 384 of the Indian Penal Code. The defence further argued that the complainant could not invoke criminal law without clear evidence linking the accused to the alleged offences.
Countering these arguments, advocate Prashant Bhushan, representing the complainant, insisted that the allegations warranted investigation. He said that the law allows citizens to set the criminal process in motion in cases of serious offences. Bhushan maintained that the complaint outlined a quid pro quo arrangement where the ED’s actions instilled fear among targeted companies, pressuring them into purchasing electoral bonds to avoid punitive measures.
The High Court quashed the FIR against Nalin Kateel and observed that the allegations in the complaint were vague and did not prima facie meet the requirements to constitute the offence of extortion. Justice Nagaprasanna noted that there was no substantive evidence to justify continuing the investigation.