Introduction:

The Gujarat High Court delved into the complexities of crowdfunding regulations while hearing a petition filed by Saket Gokhale, a national spokesperson of the Trinamool Congress and a Rajya Sabha MP. Gokhale seeks to quash charges against him for allegedly deceiving the public through crowdfunding campaigns, sparking a debate on the absence of specific regulations governing crowdfunding in India.

Arguments:

Advocate Somnath Vatsa, representing Gokhale, argued that the charges lacked merit, emphasizing the absence of evidence of deceit and the lack of regulations governing individual crowdfunding. Conversely, Special Public Prosecutor Mitesh Amin contended that Gokhale misappropriated funds raised through crowdfunding for personal gains, raising questions on his conduct and the legality of his actions.

Court’s Judgement:

Justice HD Suthar sought clarification on crowdfunding regulations in India, acknowledging its novelty and potential implications. While questioning the absence of specific regulations, Justice Suthar highlighted the need for clarity to prevent chaos. The court listed the matter for further hearing to delve deeper into the issue.