PMLA bail principles prevailed as the twin conditions were not revived, and custody concerns justified release.

The amended bail provision under Section 45 of the Prevention of Money Laundering Act was not treated as reviving the twin conditions after the earlier declaration of unconstitutionality, so bail was assessed on ordinary principles. Applying those principles, the Court considered the petitioner's prior bail in the predicate case, limited alleged assets, about five months' custody, the presence of government witnesses, likely trial delay, and the absence of a real risk of flight or witness intimidation. Bail was granted, and release was ordered on terms to be fixed by the trial court.

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Issues: (i) Whether the amended Section 45 of the Prevention of Money Laundering Act, 2002 revived the twin conditions for grant of bail despite the earlier declaration of unconstitutionality; (ii) Whether the petitioner was entitled to bail on the facts of the case.

Issue (i): Whether the amended Section 45 of the Prevention of Money Laundering Act, 2002 revived the twin conditions for grant of bail despite the earlier declaration of unconstitutionality.

Analysis: The earlier declaration that Section 45 was unconstitutional was treated as binding, and the amendment was held not to have fundamentally altered the provision so as to overcome that declaration. The substituted wording did not restore the twin conditions, and bail applications were to be decided without applying them. The stay of a contrary order in another matter did not prevent consideration of the present bail application on its own merits.

Conclusion: The twin conditions were not treated as revived and were not applied against the petitioner.

Issue (ii): Whether the petitioner was entitled to bail on the facts of the case.

Analysis: The petitioner had already been granted bail in the predicate case, the alleged assets were limited, the custodial period was about five months, the witnesses were governmental personnel, and the trial was likely to take time. The Court also considered the seriousness of the accusation and the parameters relevant to bail, but found no sufficient risk of flight or witness intimidation.

Conclusion: Bail was granted to the petitioner.

Final Conclusion: The application succeeded and the petitioner was ordered to be released on bail on terms to be fixed by the trial court.

Ratio Decidendi: Where the twin conditions under Section 45 of the Prevention of Money Laundering Act, 2002 remain unconstitutional, bail must be considered on ordinary bail principles, including custody period, likelihood of trial delay, and risk of absconding or witness interference.

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