CA Syal acquitted in 10-yr-old forgery case

Mar 14, 2026

Coming as a huge relief for chartered accountant Gurcharan S Syal, the court of Additional Chief Judicial Magistrate, Harpreet Kaur has acquitted him in a 10-year-old case pertaining to alleged cheating and forgery lodged against him by the MBD group.

In 2016, Syal had been booked under Sections 420, 465, 466 and 468 of the IPC by Police Division No. 3 following an alleged unauthorised representation in proceedings involving Krishna Real Estate Enterprises Pvt Ltd. The court ruled that the prosecution failed to prove any lack of initial intent by Syal to cheat and cause any financial loss to the complainant.

The MBD group is based at Railway Road and Syal was the statutory auditor for several years. Founder of the group Ashok Kumar Malhotra had appointed Syal as the director and shareholder in Krishna Real Estates. The company had acquired 7.44 acres of land on the GT Road for the construction of hotel 'MBD Krishna Resorts' but a dispute arose between Syal and the Malhotras.

The court observed that key company directors - Satish Bala Malhotra, Sonica Malhotra and Monica Malhotra of the MBD Group-neither testified before the police, nor their statements were recorded.

"There is not an iota of evidence on record that the accused ever induced the complainant. He has not gained anything in the present case. No offence of cheating is made out and no loss has been caused to the company. The prosecution has failed to prove the guilt of the accused beyond any shadow of doubt. It has not been proved on record that the accused prepared forged document of power of attorney as managing director with an intent to cause damage to the company," judgment states after hearing arguments from DS Dyal, counsel for the accused.

[The Tribune]