The Bombay High Court has provided significant relief to Jet Airways founder Naresh Goyal by quashing the Bank of India’s decision that had classified his account as “fraud.” The ruling, delivered by Justice R.I. Chagla, not only overturned the bank’s move but also set aside all subsequent and connected actions. This includes the bank’s reporting of Goyal’s account to central agencies under the “fraud” designation, which had carried serious legal and financial implications for him.
Naresh Goyal, a prominent name in Indian aviation, continues to remain entangled in legal battles even as he grapples with severe health challenges. He was arrested by the Enforcement Directorate (ED) in September 2023 on allegations of laundering money and diverting loans worth over ₹538 crore, which had been extended to Jet Airways by Canara Bank. The ED accused him of siphoning funds for personal gains, deepening the legal troubles that came in the aftermath of Jet Airways’ financial collapse.
In May 2024, after spending 249 days in custody, Goyal was granted interim bail by the Bombay High Court on medical grounds. The court had taken into consideration his wife’s deteriorating health, as she was battling terminal cancer at the time. However, just days later, his wife passed away on May 16, 2024, leaving him not only bereaved but also in need of medical care himself. His lawyers, senior counsels Aabad Ponda and Ameet Naik, presented before the court that Goyal required urgent treatment for his own cancer, requesting extensions of his interim bail to facilitate his treatment.
The High Court eventually made his bail absolute in November 2024, recognizing the gravity of his health condition. However, the relief came with restrictions—he was required to remain in Mumbai and was prohibited from traveling abroad. His passport continues to remain in the custody of the Enforcement Directorate, further ensuring that he does not pose a flight risk.
The latest ruling quashing the “fraud” classification offers Goyal a reprieve from one of the many legal hurdles he faces. While the money laundering case filed by the ED remains ongoing, the High Court’s intervention eases some of the financial stigma and regulatory pressure attached to the “fraud” label. For Goyal, who is simultaneously battling cancer and navigating a prolonged legal ordeal, this judgment provides partial relief and a moment of stability amid ongoing uncertainty.
