Final report under PMLA investigation must be filed before the Special Court when no material supports prosecution.

After completion of investigation under the Prevention of Money-Laundering Act, 2002, the Enforcement Directorate must place the result before the designated Special Court. Section 65 makes the Code of Criminal Procedure applicable so far as it is not inconsistent with the Act, and the concept of investigation includes the steps leading to an opinion on whether prosecution should follow. Where no material is found, Section 173 CrPC still contemplates submission of a final report stating that no case is made out, so the investigation cannot be kept outside judicial scrutiny. The Special Court under Section 43 must be enabled to examine the investigation and the material collected, and the final form is required in the contingencies identified.

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Issues: Whether, after completion of investigation under the Prevention of Money-Laundering Act, 2002, the Enforcement Directorate is required to submit a final form or final report before the designated Court, even where no material is found to support prosecution.

Analysis: Section 65 of the Prevention of Money-Laundering Act, 2002 makes the Code of Criminal Procedure, 1973 applicable to investigation and other proceedings under the Act so far as there is no inconsistency. The expression "investigation" is not defined in the Act, and its meaning under the Code includes the steps leading to the formation of an opinion on whether a charge-sheet should be filed. The completion of investigation in a case where no material is found does not authorise the investigating agency to keep the result of investigation outside judicial scrutiny. Section 173 of the Code contemplates submission of a report after completion of investigation, including a final report where no case is made out. The designated Special Court under Section 43 of the Act must therefore be placed in a position to examine the investigation and the material collected.

Conclusion: The Enforcement Directorate is required to submit the final form before the designated Court in the contingencies found by the Court, and the writ petition succeeds to that extent.

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