Congress MLA Rajendra Bharti Gets 3-Year Jail in FD Fraud Datia legislator convicted by Delhi MP-MLA court in 27-year-old cooperative bank fraud; bail granted but Assembly membership hangs in balance

Conviction After Nearly Three Decades

In a significant legal development that has sent ripples through Madhya Pradesh's political landscape, Datia Congress MLA Rajendra Bharti — a three-time legislator and senior party leader — has been convicted by a Delhi MP-MLA court in a long-pending cooperative bank fraud case. The Rouse Avenue court in New Delhi sentenced him to three years in jail on Thursday, though it simultaneously granted him bail. The verdict puts his Assembly membership under immediate threat.

Special Judge (MP-MLA) convicted Bharti and co-accused Raghubir Sharan Prajapati for cheating, forgery, use of forged documents, and criminal conspiracy. The court found Bharti guilty of criminal conspiracy under Section 120B of the Indian Penal Code, read with Sections 420, 467, 468, and 471.

The Fraud That Spanned 13 Years

The case traces back to August 24, 1998, when a fixed deposit of ₹10 lakh was opened at the Zila Sahkari Krishi Aur Grahmin Vikas Bank for a three-year term at an interest rate of 13.5% per annum, in the name of a trust linked to Bharti's family.

Instead of claiming the interest upon maturity, annual interest payments of ₹1.35 lakh began being withdrawn from 1999 and continued for 13 years, until 2011, in violation of FD terms. According to the prosecution, Bharti misused his official position and tampered with the documents to extend the tenure, and later in 2004, the documents were altered again to extend the FD's tenure by approximately another 10 years, allowing him to continue receiving higher interest returns.

Court Rejects Political Motivation Claim

Bharti had argued throughout the trial that the case was politically motivated. However, the court rejected this contention outright, observing that "the argument by Bharti that he is politically targeted or that the prosecution is politically motivated is all speculation."

Justice Dig Vinay Singh held that the evidence established Bharti's role in the conspiracy, noting his dual position as trustee of the beneficiary trust and chairman of the bank during the period when the funds were misappropriated through forged documents.

How the Case Reached Delhi

A criminal complaint under Section 200 of the CrPC was filed on July 29, 2015, by the bank against Savitri Shyam and her son Rajendra Bharti. The third accused, Savitri Shyam, passed away during the trial.

Bharti had approached the Supreme Court seeking transfer of the case, claiming that local circumstances and political interference could impede a fair hearing. Senior Advocate Kapil Sibal, appearing for Bharti, argued that the criminal proceedings were politically motivated and aimed solely at disqualifying the MLA from the Assembly. The Supreme Court transferred the matter to Delhi in October 2025, where it was heard to its conclusion.

Membership Hangs by a Thread

If Bharti is sentenced to more than two years, he may lose his Assembly membership, triggering a by-election in Datia. Legal experts note that he has 60 days to file an appeal, and if he secures a stay on the sentence from the High Court, his membership could remain intact in the interim.

Bharti had defeated senior BJP leader Narottam Mishra in the 2023 Assembly elections, making the Datia seat politically significant. His son Anuj Bharti confirmed that they intend to challenge the verdict before the High Court.

Congress Takes a Hit

The state Congress has suffered a setback with this verdict. In a separate case, the High Court recently found Congress legislator Mukesh Malhotra from Vijaypur guilty in a corruption case, though he obtained relief from the Supreme Court. The back-to-back legal setbacks have put the party on the defensive in Madhya Pradesh.

Political activity in the Datia constituency has intensified since the verdict. With a three-year sentence confirmed, a possible vacancy in the seat would necessitate a by-election — one that both the Congress and BJP are already watching closely.

What Happens Next

The case now moves to the appellate stage. Bharti's legal team is expected to approach the Madhya Pradesh High Court for a stay on the sentence at the earliest. Until such relief is granted, his legislative future remains uncertain. The coming weeks will be closely watched by both the political establishment and election authorities.