Delhi HC grants bail to Eswara Reddy, Pravin Kumar in CDSCO bribery case, says no flight risk

The Delhi High Court granted bail to L Praveen Kumar, associate vice president of Biocon Biologics, who was arrested in a case of alleged bribery involving an official of the Central Drugs Standard Control Organisation (CDSCO), which was probed by the Central Bureau of Investigation.

Justice Anu Malhotra also granted bail to S Eswara Reddy, the suspended joint drug controller, and Dinesh Dua, director at Synergy Network India, who were also arrested.

Kumar, Dua and Reddy apparently are not flight risks and are allowed to be released on bail on furnishing a personal bond of Rs 1 lakh each and two sureties of the similar amount, the Delhi High Court said in an order. The court asked all three accused to surrender their passports while submitting the bail bonds and surety bonds.

Also read: Bribery case part of ‘larger conspiracy’ to prevent me from being DCGI: S Eswara Reddy

“On a consideration of the entire available record, taking into account the factum that the charge sheet in the matter has been filed and the investigation in the matter has also been completed and voice samples of the accused persons have been taken, though undoubtedly the offence alleged to have been committed (if proved) by the applicants is grave, the trial in the matter would take ample time,” the court said in the order, which Moneycontrol reviewed.

Diabetes drug

The CBI arrested the three people in June for allegedly bribing the drug controller to waive a clinical trial requirement for a diabetes drug developed by Biocon Biologicals. The company, a subsidiary of Biocon, has denied the allegations of bribery.

“We are grateful that the honourable high court has granted bail to our employee, Praveen Kumar,” a company spokesperson said. “We reiterate our faith in the Indian judiciary and believe truth will prevail.”

The CDSCO is responsible for the approval of drugs and the conduct of clinical trials, among other things. It approves applications based on recommendations of the Subject Expert Committee (SEC).

Justice Malhotra said there was nothing to indicate that the recommendation made for the waiver of phase-III clinical trials was approved and implemented.

“There is nothing on the record to indicate that the approval of the recommendation of the SEC has been approved by the Drugs Controller General of India,” the judge said in the order.

The court noted that the charge sheet has been filed in the case and voice samples of the people accused have been taken.

Rajat Mathur, counsel for Dua, told Moneycontrol that his client was a renowned pharmacist who had deep roots in society and wasn’t a flight risk. The offences alleged by the CBI are punishable with a maximum of seven years, Mathur added.

The CBI alleged that it was Dua who gave the bribe money to Reddy.

The high court said the credibility of circumstantial evidence in the case would have to be assessed.

“Another aspect which cannot be overlooked is that the alleged intercepted calls between the accused persons have to be weighed at the altar of admissibility and legality of evidence,” the court said.

Reddy, Kumar and three others were taken into custody for two months after the CBI raided the Drug Controller General’s office on June 20 and booked them in the alleged bribery case.