Calcutta High Court summons HSBC Bank management after NRI lawyer alleges funds syphoning

Calcutta High Court summons HSBC Bank management after NRI lawyer alleges funds syphoning

The case is scheduled for hearing on 17 April

The Calcutta High Court has directed the HSBC Bank management to appear before it personally, in the case related to a London-based lawyer of Indian origin claiming fraud and syphoning off his funds.

In the Orijit Das vs HSBC Bank case, Justice Ananya Bandyopadhyay passed the order alleging that the bank's non-resident Indian (NRI) services induced him to open a bank account in Kolkata to help him transfer funds to his parents.

The NRI petitioner claimed that the bank misused the blank letters signed by him (on their request) by investing in loss-making funds, thus causing wrongful gain.

The court’s order read, "The learned Registrar Administration (L & OM) is directed to serve administrative notice upon the opposite parties to ensure their personal appearance before the court on the next date of hearing through the concerned police station.”

It was alleged that the bank’s management forged the petitioner's signature to sell mutual funds and swindled the money into their own accounts through a fraudulent home loan agreement. The bank was also accused of siphoning funds from his NRO account, contrary to his instructions.

It was claimed, "Huge amounts of money were removed from the bank account of the petitioner without his consent. When he asked for bank statements they refused/failed to provide any explanation.”

Additionally, the payments for lapsed insurance policies were continually deducted from the petitioner’s account. He further alleged that the bank sent goons to his father's house and threatened him with physical violence, asking for further payments on a home loan.

Initially, in July 2013, the petitioner lodged a police complaint with the Shakespeare Sarani Police Station. This was followed by a case before the Chief Metropolitan Magistrate (CMM), who dismissed it in December 2014.

Aggrieved by it, he filed a revision petition before the high court on the ground that the order was erroneous and bereft of judicial reasoning.

The plea stated. "The Ld. Magistrate completely misdirected himself by dismissing the petition of the complainant and throttling the legitimate prosecution at its threshold. (This was done) without considering the extensive amount of evidence to be provided in support of the claims and contentions of the petitioner.”

The high court thus summoned HSBC, represented through its erstwhile director and India country head Naina Lal Kidwai, the erstwhile Global Chairman Stuart T Gulliver, the erstwhile Shakespeare Sarani branch head Clement Philip, and employees who acted as relationship managers for the petitioner's father.

The petition was filed through advocate Debangshu Ghatak and Partner at Ashlar Law, Souvik Bhadra.