CBI Court Rejects Bail Plea of Chandigarh Smart City CFO Nalini Malik

The courtroom in Chandigarh was tense on Thursday as the Central Bureau of Investigation (CBI) sought to keep Nalina Malik, the Chief Financial Officer of the Chandigarh Smart City project, behind bars. Malik, who was arrested earlier this year over alleged financial irregularities in the flagship development scheme, filed a bail application that the court promptly dismissed.

Judge Ranjit Kumar, presiding over the case, listened to arguments from both sides. The CBI, represented by senior counsel Anil Verma, contended that Malik is a "key figure" in the alleged misappropriation of funds and that her release could jeopardise the ongoing investigation. "She has access to sensitive documents and financial records. Letting her out now would be tantamount to handing the investigators a get‑away pass," Verma said.

Malik’s legal team, headed by advocate Sunita Sinha, argued that she had cooperated fully with the probe and that there was no flight risk. "My client is a responsible professional. She has no criminal record and is willing to abide by any conditions the court may impose," Sinha asserted, hoping the judge would consider a personal bond.

After a brief recess, the judge returned with a decision that surprised many observers. "Considering the seriousness of the allegations, the potential for tampering with evidence, and the fact that the investigation is still in its early stages, I am not persuaded to grant bail," Justice Kumar declared. He ordered that Malik remain in custody until the trial date, which is yet to be fixed.

The verdict has reignited debate over the Smart City programme’s transparency. Critics have long warned that the rapid rollout of such projects could open doors to financial misconduct, especially when large sums are channeled through complex corporate structures. Supporters, however, maintain that the scheme has delivered tangible improvements in infrastructure, housing, and digital services for Chandigarh’s residents.

For her part, Malik has maintained her innocence, stating through a brief statement that she “remains committed to cooperating with the authorities” and that she hopes the judicial process will clear her name. "I have always believed in the vision of a smarter, greener Chandigarh. I trust that the truth will emerge," she added.

The CBI, meanwhile, says it will continue its probe, reviewing contracts, fund flows, and communications among senior officials. Sources close to the investigation hint that more arrests could follow if further evidence of wrongdoing surfaces.

As the legal battle unfolds, the broader question remains: how can India’s ambitious smart‑city initiatives balance speed and innovation with robust oversight? The answer, perhaps, will lie in the courtroom’s next chapters.