ED Officer Gets Anticipatory Bail in ₹2 Crore Bribery Case; Kerala HC Says Custodial Interrogation Not Necessary
The Kerala High Court on Thursday granted anticipatory bail to Enforcement Directorate (ED) official Shekhar Kumar, accused of demanding a bribe of ₹2 crore through intermediaries to settle a money laundering probe.
Justice A. Badharudeen, while allowing the bail plea, noted that “investigation is possible by questioning the petitioner...without arresting and detaining him in custody,” despite the gravity of the allegations.
“The allegations are very serious and require fair and effective investigation,” the Court observed; However, taking into account the submissions of both the petitioner’s senior counsel and the Director General of Prosecution (DGP), the Court held that custodial interrogation was not essential in this case and allowed bail with strict conditions. The Court directed the petitioner to surrender for interrogation within two weeks and cooperate fully with the probe.
Allegations Involving ED Official and ₹2 Crore Bribe Demand
The case stems from a complaint by Aneesh Babu, associated with “Vazhavila Cashews,” who had been summoned by the ED in connection with alleged fund diversion. According to the Vigilance and Anti-Corruption Bureau (VACB), Assistant Director Shekhar Kumar threatened Babu with arrest and, through alleged middleman Wilson Varghese (Accused No. 2), demanded a ₹2 crore bribe to settle the matter.
The bribe was allegedly to be paid in four instalments of ₹50 lakh to an Axis Bank account, with an additional ₹2 lakh in cash and ₹50,000 online. The VACB laid a trap and apprehended Accused No. 2 while accepting ₹2 lakh in cash. His custodial interrogation led to the arrest of Mukesh Jain (a hawala agent) and Ranjith R. Warrier (a chartered accountant), now Accused Nos. 3 and 4, respectively.
The case involves substantial financial implications, as the ED had reportedly registered five cases involving fund diversion of ₹24 crore against the complainant and his family.
Court’s Observations on Evidence and Pleas
The Court noted the evidence presented in the Statement of Facts by the VACB, including:
- FaceTime calls between Shekhar Kumar (A1) and Ranjith Warrier (A4) around the time of the alleged bribe demand.
- The complainant’s name in the personal diary of A4, who had no prior acquaintance with him.
- The petitioner’s number saved in the phone of A3, a hawala agent.
- Screenshots of ED investigation files on the mobile phones of the accused.
Despite these links, the DGP did not insist on custodial interrogation; The Court also found the objections raised by the petitioner in the connected impleadment application (Crl.M.A. No.1/2025), including calls for CBI investigation, as not sufficient to deny anticipatory bail.
The petitioner, through senior counsel, denied any wrongdoing and asserted that he had no direct contact with the co-accused, and that the complaint was a counterblast to ongoing ED probes.
Conditions for Bail
Granting anticipatory bail, the Court imposed the following conditions:
- The petitioner must surrender before the Investigating Officer within two weeks.
- In the event of arrest, he must be produced before the jurisdictional court the same day.
- Bail will be granted upon execution of bonds of ₹30,000 with two sureties.
- He must cooperate with the investigation and refrain from tampering with evidence or witnesses.
- He must not commit any further offences during the bail period.
Case Title: Shekhar Kumar v. State of Kerala & Anr., Bail Application No. 6918 of 2025.