Justice rarely done in market scams: Jethmalani

Justice is hardly ever delivered in stock market scams because they involve powerful politicians, feels noted lawyer Mahesh Jethmalani. The Special Court set up for the 1992 stock market scam involving the late Harshad Mehta is still hearing the case 16 years on, he told DNA. Excerpts from an interview:

Did we have to wait for Raju to surrender? Couldn’t he have been arrested earlier?
It is obvious that he is politically very well-connected. The only people who could arrest him were obviously being stopped from doing so. No efforts were made to even check his whereabouts.

Was the confession enough to arrest him or did someone need to file an FIR against him?
Raju’s confession and admission of guilt were enough to arrest him. The police, which had knowledge of the offence, did not have to wait for someone to file an FIR or for him to surrender. It could have suo motu filed an FIR and arrested him. Also, any investor could have filed a complaint against Raju.

How does the law ensure that the letter was sent by him, given that it does not have his signature, though it has come from his email ID?
Raju’s confession is an extra-judicial confession. Admission of guilt is the best evidence. The fact that it is voluntary and not made before any authority makes it even stronger. The authenticity of the letter will be established during trial. He can always deny it later, but he will have to prove that it was made under force or when he was not in the right frame of mind.

Under whose jurisdiction would be this fraud come? Will it be the state government, the central government, Sebi, Company Law Board or the Economic Offences Wing?
The Sebi does initiate criminal proceedings. The FIR will have to be lodged with the police in Hyderabad.

How long do you think a trial will last?
The Special Court set up for the 1992 stock market scam is still hearing the case 16 years on. Stock scams involve powerful politicians. The stock market is where political money is invested and earned. Thus, it’s not surprising that such scams never see the light of justice.

Do we have the necessary legal infrastructure in place to tackle a case like this? Do you see a special court coming for this case? Or do you see it going the Harshad Mehta, Ketan Parekh way?
We should be focussing on preventing such scams. All the regulatory authorities in India are negligent. Be it Sebi or the Anti-Terrorism Squad, nobody is doing his job. We have such low expectations on accountability in this country. They are not watchdogs but sleeping dogs.