Editor’s Note
This article details a significant fraud case involving alleged impersonation and a substantial financial default. While bail has been granted to one accused, the judicial process is ongoing. We will continue to follow developments.
A metropolitan magistrate’s court in Mumbai granted bail to Kaushal Dilip Kadam, one of the three individuals arrested by the Economic Offences Wing (EOW) for allegedly impersonating a diamond trader and fraudulently obtaining diamonds worth over ₹22.75 crore on credit. The accused, along with associates, was booked for defaulting on payment after acquiring the diamonds under false identities.
Delivering the order, 47th Metropolitan Magistrate Abhijit Solapur observed that the case reflected aspects of a business transaction and required detailed evidence before concluding whether there was a criminal breach of trust. According to a Times of India report, the court held that continued incarceration of the accused at this stage was not justified and accordingly granted bail under strict conditions.
Advocate Sunil Pandey, representing Kadam, argued that his client had been falsely implicated in the case and was merely a victim of circumstances.
The bail order came as a relief for the accused, who had maintained his innocence since his arrest.
The case originated from a complaint filed by diamond trader Shreyas Zaveri, who operates from the Bharat Diamond Bourse at Bandra-Kurla Complex (BKC). Zaveri alleged that diamonds valued at over ₹22.75 crore had been handed over on credit to the accused, who later defaulted and failed to make payments.
In a separate incident, the BKC police recently registered another cheating case involving the diamond trade. An unidentified accused allegedly impersonated an employee of a jewellery firm to obtain 30 diamonds worth ₹9.47 lakh from a diamond company. The incident, which took place on August 25, has added to growing concerns about fraudulent practices targeting Mumbai’s diamond hub.
Police have registered the case under sections 316(2) and 316(5) for criminal breach of trust and section 318(4) for cheating, as per the provisions of the Bharatiya Nyaya Sanhita. Investigations are underway to trace the accused and recover the diamonds.