Mahadev Online Book Case| Prima Facie Evidence Of Involvement In Alleged Organized Crime: Chhattisgarh HC Rejects Nitish Diwan’s Bail Plea
The Chhattisgarh High Court held that the denial by the accused itself is not sufficient to consider prima facie that there is no mens rea for the alleged offences.
The Chhattisgarh High Court, on prima facie evidence of his involvement in the alleged organised crime, has rejected the Bail Application of Nitish Diwan who was arrested in connection with the Mahadev Online Book case.
the Directorate of Enforcement (ED) arrested Nitish Diwan accused of money laundering for his involvement in the Mahadev Online Book operations. The accused was produced before the PMLA Special Court which remanded him to ED custody. Mahadev Online Book, an illegal betting syndicate, uses online platforms to recruit users, generate IDs, and launder money through Benami bank accounts. ED's inquiry revealed that the accused held a senior position within the organization, operating from the UAE and maintaining close ties with its promoters.
A Single Bench of Justice Ravindra Kumar Agrawal ordered, “As has been discussed hereinabove, it cannot be said that there is no involvement of the applicant in the offence in question. Considering the role of the applicant in obtaining the money through illegal source, which is the proceeds of crime in the Mahadev book app, it is found that there is sufficient evidence collected by the EOW/ACB to prima facie show the involvement of the applicant in the alleged offences. It is an organized crime having various facets of its complexion, therefore, further considering the nature of offence and material collected during the investigation, this Court is satisfied that there is prima facie evidence for believing that the applicant is involved in the offence, therefore, I am not inclined to release the applicant on bail.”
Senior Advocate Kishore Bhaduri represented the Applicant, while Advocate Saurabh Kumar Pande appeared for the Respondent.
Brief Facts
The Accused filed a Bail Application under Section 483 of the Bharatiya Nagarik Suraksha Sanhita, 2023 (BNSS).
The Accused was implicated under Sections 420, 467, 468, 471, 201, and 120-B of the IPC; Sections 7 and 7A of the Prevention of Corruption Act, 1988 (PCA); and provisions of the Chhattisgarh Gambling (Prohibition) Act, 2022. He was arrested in 2024 in connection with a crime registered by the Economic Offence Wing/Anti-Corruption Bureau. The case included allegations of illegal online betting facilitated through the Mahadev Online Book platform.
Allegations and Prosecution's Submissions
As per the prosecution, the Mahadev Online Book app was used to facilitate illegal betting on live games such as cricket, football, and kabaddi. Investigations revealed a network of panel operators and promoters managing illegal transactions. The Enforcement Directorate (ED) alleged that the accused played an active role in laundering proceeds of crime generated through the betting operations.
During the investigation, it was found that the accused held assets acquired from the benefits of the betting operations. His involvement included creating IDs for betting, managing funds, and facilitating transactions for the app’s promoters. Evidence against him was reportedly extracted from his mobile phone and corroborated by witness statements.
Court’s Reasoning
The Court noted that the material on record, including witness statements and extracted data from Diwan’s mobile phone, prima facie indicated his involvement in the offence. “There is sufficient evidence against the applicant to prima facie come into conclusion that he involved in the offence,” it held.
The Bench stated that the accused’s defence was not acceptable that he did not know about the transactions of Mahadev online book and the money obtained by him. “Denial by the applicant itself is not sufficient to consider prima facie that there is no mens rea of the applicant for the said offence either under the IPC, Chhattisgarh Gambling (Prohibition) Act, 2022 or Public Gambling Act, 1867 or under the Prevention of Corruption Act,” the Bench explained.
Accordingly, the High Court rejected the Bail Application.
Cause Title: Nitish Diwan v. State Of Chhattisgarh (Neutral Citation: 2025:CGHC:2964)
Appearance:
Applicant: Senior Advocate Kishore Bhaduri; Advocates Mohit Kumar and Monika Singh
Respondent: Advocate Saurabh Kumar Pande
