Supreme Court dismisses plea in Bofors case, upholding 2005 HC order exonerating Hinduja brothers

The Supreme Court on Friday dismissed a petition challenging the Delhi High Court's 2005 decision that had quashed criminal proceedings against the Hinduja brothers in the Bofors payoff case, effectively closing a long-pending legal challenge in a case dating back to 1986.

A bench of Justices JB Pardiwala and Vinod K Chandran refused to grant an adjournment sought by the petitioner, advocate Ajay K Agrawal, who appeared virtually and asked for four weeks' time to delete the names of respondents who had died. "I'm seeking four weeks' time for deletion of the names, as respondent nos. 1 and 4 have expired," the advocate submitted.

Justice Pardiwala expressed surprise over the matter's continuation, remarking, "What is all this about the Hinduja brothers and the CBI?" Upon being told that the Delhi High Court had exonerated the accused and quashed the proceedings, he said, "All proceedings were quashed. What is this? How many years have passed?"

The petitioner responded that "the deal occurred in 1986." As another counsel attempted to make submissions, Justice Pardiwala made clear that the court would not postpone the matter. "No question of adjournment. It is a 2018 matter," he said.

Counsel appearing in the case argued that a separate appeal filed by the Central Bureau of Investigation (CBI) had earlier been dismissed by the Supreme Court on the ground that the agency was already a respondent in the present petition and could raise all its arguments here.

The Bofors scandal relates to the Rs 1,437 crore howitzer gun deal signed between India and Swedish arms manufacturer Bofors in 1986. The CBI had alleged that the Hinduja brothers received millions in illegal payoffs linked to the contract. According to the investigation, Bofors paid nearly Rs 64 crore in kickbacks, with secret Swiss bank code names including 'Lotus' and 'Tulip' allegedly linked to the Hinduja family.

In 2005, the Delhi High Court quashed the criminal proceedings against the brothers. That decision remained under challenge in the Supreme Court until Friday's dismissal. The court did not rule on the merits of the allegations but disposed of the petition on procedural grounds, given the passage of time and the earlier quashing of proceedings.

With this dismissal, the 2005 High Court order stands, and the long-running legal saga over the Bofors case reaches a definitive end in the courts. The CBI's earlier appeal had already been dismissed, and no further legal remedy remains in this matter.