New Delhi, July 7: The Delhi High Court on Tuesday sought a response from the Enforcement Directorate (ED) on the bail plea of Punit Narendra Garg, former Director of Reliance Communications (RCOM).
His bail plea was earlier rejected by the trial court while taking cognisance of the chargesheet filed by the ED.
Garg is an accused in an alleged Rs 40,000 crore money laundering case and has been chargesheeted by the ED. He was arrested by the agency on January 29, 2026.
Justice Prateek Jalan heard the initial submissions made by counsel appearing for Punit Narendra Garg and the ED.
Special Counsel Zoheb Hossain, along with Pranjal Tripathi, appeared for the ED.
On June 15, the Rouse Avenue Court took cognisance of the chargesheet filed by the ED against Punit Narendra Garg and other accused.
The court also dismissed Garg's bail plea. His earlier interim bail plea on medical grounds had also been rejected in April.
Earlier, Garg had sought interim bail to undergo medical examination and treatment at a private hospital. Before his arrest, he had been treated at Kokilaben Dhirubhai Ambani Hospital in Mumbai. It was argued that he had been advised to undergo intensive medical examination and capsule endoscopy.
While rejecting the interim bail plea, Special Judge Ajay Gupta considered the report submitted by the medical board constituted at the All India Institute of Medical Sciences (AIIMS).
The court observed, "Thus, in view of the reports given by the Medical Board of AIIMS, it is clear that at this stage, the applicant is not required to undergo the medical test. However, if the same is required, the accused shall be taken to the concerned government hospital as per the aforementioned jail referral policy."
"Keeping in view the aforesaid facts and circumstances, this court does not find any merit in the applicant's prayer seeking permission to undergo the capsule endoscopy test at a private hospital. Consequently, the present application is liable to be dismissed and is accordingly dismissed," Special Judge Ajay Gupta ordered on April 20.
It was submitted that the applicant is a 61-year-old senior citizen suffering from multiple serious and incurable medical conditions, including inflammatory bowel disease (Crohn's colitis), an irreversible condition that may lead to complications such as colon cancer and blood clots; irreversible and degenerative osteoporosis of the lumbar spine; osteopenia in the femoral neck and left forearm; hypertension since 2018; an enlarged prostate with progressive obstructive voiding; arthritis; and adjustment disorder, all of which require constant specialised medical care and regular follow-ups with multiple specialists.
It was further submitted that the medical facilities available in jail are inadequate to address these complex medical conditions and that Garg requires hospitalisation for comprehensive treatment.
After registering the ECIR on the basis of a CBI FIR, the ED arrested Punit Garg. Initially, the agency secured nine days' custodial remand for investigation to trace the remaining proceeds of crime, identify other beneficiaries and uncover the complete money laundering trail. After interrogation by the ED, Garg was sent to judicial custody.
The Directorate of Enforcement (ED) had arrested Punit Garg under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, in connection with an ongoing investigation relating to an alleged bank fraud and money laundering case involving over Rs 40,000 crore by RCOM and its group entities.
The arrest followed an investigation initiated on the basis of a CBI FIR dated August 21, 2025, registered under Sections 120-B, 406 and 420 of the Indian Penal Code, 1860, and Sections 13(2) read with Section 13(1)(d) of the Prevention of Corruption Act, 1988.
According to the ED, Punit Garg served as President of RCOM, handling the Global Enterprise Business from 2006 to 2013. Thereafter, he served as President (Regulatory Affairs) from 2014 to 2017.
In October 2017, he was appointed Executive Director of RCOM. From April 2019 till April 2025, he served as a Non-Executive Director of the company, the ED said.
The ED alleged that its investigation revealed Punit Garg, while holding senior managerial and directorial positions in RCOM over an extended period from 2001 to 2025, was actively involved in the acquisition, possession, concealment, layering and dissipation of the proceeds of crime generated from the alleged bank fraud.
The ED further alleged that the proceeds of crime were diverted through multiple foreign subsidiaries and offshore entities of RCOM. It claimed that part of the diverted funds was used to purchase a luxury condominium apartment in Manhattan, New York, United States.
According to the ED, the property was fraudulently sold during the Corporate Insolvency Resolution Process (CIRP) of RCOM by Punit Garg. It alleged that the sale proceeds of USD 8.3 million were remitted from the US under the guise of a sham investment arrangement with a Dubai-based entity controlled by a Pakistan-linked individual, without the knowledge or consent of the Resolution Professional.
The investigation further revealed that part of the proceeds of crime -- public money obtained by RCOM through bank loans -- was allegedly diverted towards Punit Garg's personal expenses, including overseas education-related payments for his children, the ED said. (ANI)
