Prolonged pre-trial incarceration justified bail under PMLA despite Section 45's stringent twin conditions.

Bail under the Prevention of Money Laundering Act was granted despite the stringent twin conditions in Section 45 because prolonged pre-trial incarceration weighed heavily with the Court. The allegations concerned serious laundering of proceeds of crime arising from recruitment irregularities, and the Court noted that the statutory hurdle on merits was not easy to cross, with concerns about tampering and the gravity of economic offences. Even so, the petitioner had spent about 2 years and 3 months in custody, had already obtained bail in the predicate cases after long detention, and the Court considered continued incarceration against Article 21. Bail was therefore allowed on the overall factual matrix.

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Issues: Whether bail under the Prevention of Money Laundering Act, 2002 could be granted despite the stringent twin conditions under Section 45, in view of the petitioner's prolonged pre-trial incarceration and the surrounding circumstances.

Analysis: The allegations related to large-scale laundering of proceeds of crime arising from recruitment irregularities were found to be serious, and on merits the statutory hurdle under Section 45 was not easy to cross. At the same time, the petitioner had remained in custody for about 2 years and 3 months in the money-laundering case, had already obtained bail in the predicate cases after long custody, and the Court was required to test continued detention against Article 21 of the Constitution of India. The Court balanced the seriousness of the accusations, the apprehended risk of tampering and the gravity of economic offences against the delay in custody and the fact that the petitioner was not a public servant and no sanction was required against him.

Conclusion: Bail was granted, as prolonged incarceration and the overall factual matrix were considered sufficient to justify release notwithstanding the rigours of Section 45.

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