PMLA bail twin conditions not met where prima facie evidence showed active role in a paper-leak syndicate.

In a PMLA bail matter, the Court examined whether the applicants satisfied the twin conditions under Section 45. The allegations concerned laundering of proceeds linked to a paper-leak and unfair-means syndicate in public examinations, supported by the complaint in the predicate offences, ED statements, and other material indicating prima facie active participation. The Court held that custody length alone did not warrant release where the accusations were grave and organised in nature. It found no reasonable ground to believe the applicants were not guilty, and the record did not support a finding that they were unlikely to commit an offence while on bail. Bail was refused.

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Issues: Whether the applicants-accused, seeking bail in a prosecution under the Prevention of Money Laundering Act, 2002, satisfied the twin conditions for bail under Section 45 of that Act.

Analysis: The applications arose from allegations of laundering proceeds generated through a paper-leak and unfair-means syndicate in public examinations. The material considered by the Court included the petitioners' custodial status, the filed complaint in the predicate offences, the statements recorded by the Enforcement Directorate, and the serious and organised nature of the alleged conduct. The Court held that the length of custody by itself was not sufficient to justify release where the allegations were grave and the material prima facie indicated active participation in the syndicate. On that basis, the Court found no reasonable ground to believe that the applicants were not guilty, and the circumstances did not support satisfaction that they were unlikely to commit an offence while on bail.

Conclusion: The twin conditions for bail were not satisfied, and bail was refused.

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