Appeal dismissed — ruling against Hemkunt Foundation (Petitioner)
In Short
The Hemkunt Foundation asked the Delhi High Court to throw out a criminal case against it for allegedly misusing Covid-19 relief donations. The police claimed the trust collected crores of rupees for oxygen and medical supplies but diverted the money instead. The court listened to both sides and decided the investigation must continue.
The Parties
Party A: Hemkunt Foundation through its Trustee Smt. Natasha Ahluwalia
Party B: State NCT of Delhi
Advocates & Judges
For Party A: Learned Advocate Mr. R.K. Handoo, Learned Advocate Mr. Yoginder Handoo, Learned Advocate Mr. Aditya Chaudhary, Learned Advocate Mr. Ashwin Katara, Learned Advocate Ms. Khushboo Mittal, Learned Advocate Mr. Garvit Solanki, Learned Advocate Mr. Gaurav, Learned Advocate Mr. Adtiya Aggarwal
For Party B: Learned Advocate Ms. Meenakshi Dahiya, SI Manjeet Singh
Judge(s): Hon'ble Justice Saurabh Banerjee
What the Case Was About
The Hemkunt Foundation collected around 74.55 crore rupees in donations during the Covid-19 pandemic by sharing emotional posts and videos promising medical help like oxygen cylinders. Secret information led the police to investigate these financial activities. The police found that instead of using all the money for immediate relief, the trust made fixed deposits and transferred 38.31 crore rupees to a private healthcare firm for buying land. The police registered an FIR for cheating, criminal breach of trust, and criminal conspiracy. The trust went to court to get the FIR cancelled, arguing they did nothing wrong and that no individual donor had complained to the police. The State argued that major corporate donors gave money specifically for Covid relief and that the trust failed to provide proper bills and utilization certificates when asked.
Judgment Date
29 September 2026
The Outcome
The court dismissed the petition and ruled against the Hemkunt Foundation, allowing the criminal investigation and proceedings to continue.
What the Court Looked At
- The police received secret information about suspicious financial activities and huge donation collections by the trust.
- The trust collected about 74.55 crores from the public and corporate entities using emotional Covid-19 relief appeals.
- The trust transferred 38.31 crores to M/s. Dhruva Healthcare LLP and created fixed deposits instead of spending all money on direct relief.
- Major corporate donors like Perfetti Van Melle India, Mahindra & Mahindra, and HSBC gave funds specifically for Covid relief under the condition that utilization certificates and bills be provided.
- The trust failed to provide proper records to corporate donors, and one company even filed a separate police complaint.
- The trust was entirely managed and controlled by members of a single family with no independent outside trustees.
What This Means For You
When people or organizations raise money from the public for a specific emergency cause like a pandemic or natural disaster, they must use every rupee strictly for that stated purpose. If donors give money under a clear promise, such as buying oxygen or medical kits, spending those funds on unrelated property purchases or failing to show proper bills can land you in deep trouble. Courts take financial transparency very seriously, and simply being a charitable trust does not give anyone the freedom to move public donation money around without clear accountability. If you or your organization are caught dealing with donor funds in a questionable way, explaining it away as general charity work will not stop the police from investigating you for fraud. Understanding how to handle these stressful situations is vital, and Setback Solutions can help you navigate your options and coordinate your next steps without any legal jargon.
You Still Have Options
Dealing with a sudden police case, a false FIR, or serious financial allegations can feel overwhelming and frightening. You might be worried about your reputation, your business, or what the police will do next, but please remember this is not the end of the road. You can still explore helpful non-judicial guidance, seek a second opinion, or find better ways to understand your situation before things get worse. Reach out to Setback Solutions for plain-language help and coordination to figure out your options and decide what to do next. Setback Solutions is not a law firm and does not give legal advice or promise any specific court outcome, but they are here to help you make sense of your choices.