A Mumbai court has refused to suspend a Look Out Circular (LOC) against former Sahara India executive Romie Dutt, saying there was a possibility that he might not return to India if allowed to travel abroad while a probe into alleged financial irregularities continues.

Dutt had approached the court seeking permission to travel to Switzerland from August 31 to September 4 for academic and business-related work.

The Serious Fraud Investigation Office (SFIO), however, opposed the request, arguing that his departure could jeopardise the ongoing investigation.

Additional Sessions Judge GG Bhansali noted that the investigation was still underway and cited the allegations involving around Rs 90,000 crore while rejecting Dutt's plea.

The SFIO has been investigating alleged corporate misconduct involving several Sahara Group companies since 2018.

The Ministry of Corporate Affairs had ordered the probe in October that year, covering nine companies, including Sahara Q Gold Mart Limited and Sahara Q Shop Unique Product Range Ltd.

According to the agency, Dutt was a director and key managerial person at Sahara Q Shop Unique Product Range between May 2011 and March 2013.

It also identified him as one of the key operators of Sahara Q Gold Mart and Aamby Valley, the group's sprawling 10,000-acre hill township.

The agency told the court that documents gathered during its investigation prima facie indicated Dutt was among the key decision-makers involved in the functioning of the Sahara companies under scrutiny.

At the heart of the investigation is the alleged collection of nearly Rs 90,000 crore from about 2.91 crore investors through Optionally Fully Convertible Debentures (OFCDs).

The SFIO alleged that a large portion of these funds remained unpaid and that money raised by one group company was transferred to another without investors' consent.

The agency further alleged that the funds were used to acquire properties across India, which were subsequently transferred to entities linked to the Sahara Group.

The SFIO also questioned Dutt's stated reason for seeking permission to travel.

He had cited his role as Executive Director of the Aamby International School Academy Trust and said the visit was aimed at developing business relationships in Switzerland.

The agency argued that other trust officials could undertake the work and pointed out that Dutt had not sought such permission during the eight years the LOC had remained in force.

The agency also raised concerns over other Sahara-linked individuals living overseas and not appearing before investigators, arguing that Dutt's presence in India was important for the probe and any proceedings that could follow.

It told the court that there was a 'legitimate and well-founded apprehension' that Dutt could evade the legal process if the LOC was suspended.

Dutt's lawyer, Niranjan Mundargi, rejected the apprehension, arguing that his client had no intention of fleeing the country.

He also told ThePrint that Dutt would not leave his children behind and noted that Switzerland was not a country where he could simply settle permanently.

According to the lawyer, Dutt also did not hold a visa for any other country. The court, however, sided with the SFIO's concerns and declined to grant Dutt permission to travel to Switzerland.