Woman Granted Bail Due to Gender & Parental Status

The Bombay High Court recently granted bail to Simpy Bharadwaj, who was arrested in connection with a ₹6,606 crore ($785 million) Bitcoin fraud tied to Delhi-based Variable Tech Pvt Ltd.

Bharadwaj, taken into custody by the Enforcement Directorate in 2023, was released based on her status as a woman and mother of a six-year-old child, according to reports from the hearing led by Justice Manish Pitale.

Though the full court order has yet to be made public, this decision has sparked debate about whether gender should play a role in bail determinations.

Critics argue that bail decisions should prioritise the severity of the alleged crime and the strength of the evidence rather than personal circumstances like gender or parental status, warning that such rulings risk undermining fairness and equality in the judicial process.

Indian Woman Involved in Bitcoin Scam Since 2023

Bharadwaj was arrested on 17 December 2023, by the Enforcement Directorate (ED) under the Prevention of Money Laundering Act (PMLA) for her alleged role in a fraudulent scheme operated by Variable Tech Pvt Ltd.

This scheme lured investors with promises of a guaranteed 10% return on their Bitcoin investments over 18 months, leading to significant financial losses for many participants.

In his remarks, Justice Pitale noted that Bharadwaj had already spent nearly ten months in custody and emphasized that her continued detention would not serve any purpose, especially given the delays in the trial proceedings.

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Judge in Favour of Bail Approval, States Grounds of Arrest Were Drafted Hastily

The court recognised Bharadwaj's responsibilities as a mother needing to care for her child, thus invoking the proviso to Section 45(1) of the Prevention of Money Laundering Act (PMLA), which allows for special considerations in cases involving women.

Justice Manish Pitale stated:

“This Court finds no reason as to why the applicant is to be denied the benefit of the exception carved out in the proviso for special treatment.”

He also criticised the hastily drafted grounds for her arrest, noting the absence of credible evidence to support the charges against her.

Notably, Bharadwaj was not initially named in the reports that led to the ED’s case against Variable Tech Pvt Ltd, which primarily implicated her husband, Amit Bharadwaj, and others directly involved in the fraudulent scheme.

The ED's Enforcement Case Information Report (ECIR) was filed in April 2018, with Bharadwaj's name only emerging in subsequent FIRs in December 2019 and February 2022, when she was accused of obstructing the agency's search.

Ultimately, the court granted her bail with a ₹50,000 guarantee, emphasizing that its remarks were limited to the bail application and should not influence the trial court's future decisions.