The Madras High Court has permitted businessman C. Sivasankaran to travel abroad subject to conditions, reducing the security requirement from ₹50 crore to ₹25 crore in proceedings challenging a Look Out Circular (LOC) issued against him. Justice V. Lakshminarayanan modified the condition imposed by the Court in its earlier order dated December 21, 2024, while retaining the other conditions stipulated therein.
The Petitioner had approached the Court seeking withdrawal of the LOC issued in respect of his Seychelles passport and permission to undertake foreign travel. The LOC was issued in connection with criminal cases initiated by the Central Bureau of Investigation (CBI), the Serious Fraud Investigation Office (SFIO) and the Enforcement Directorate (ED). His earlier challenges to the LOC before the Madras High Court and the Supreme Court had been dismissed.
Under the December 2024 order, the Court had permitted foreign travel subject to several conditions, including furnishing a personal bond of ₹50 lakh with two sureties and providing security of ₹50 crore. The petitioner had subsequently travelled abroad on several occasions but later withdrew the ₹50 crore security, following which he was directed to remain within India.
Seeking modification, the petitioner submitted that he had settled his civil liabilities arising from two loan accounts through one-time settlements (OTS). He claimed to have deposited ₹190 crore towards the IL&FS loan account and extinguished the entire civil liability of ₹130 crore towards the IDBI loan account.
Opposing the plea, the investigating agencies argued that settlement of civil liabilities with the banks did not extinguish the petitioner’s criminal liability. They also opposed reducing the security requirement.
Taking note of the substantial payments made towards settlement of the civil liabilities and the petitioner’s willingness to cooperate with the investigating agencies, the Court directed that the earlier order would continue to operate, with the security requirement under the relevant condition reduced from ₹50 crore to ₹25 crore.