Concessional penalty for search-disclosed unreconciled jewellery applies where substantive disclosure conditions are met despite omission from origina...
The HC held that PMLA proceedings against the applicant were not maintainable following the quashment of the predicate offense under Section 447 of the Companies Act, 2013. The court analyzed that "proceeds of crime" under PMLA must have a direct nexus with a scheduled offense, as established in Vijay Madanlal Choudhary. Since the coordinate bench had previously determined that the prosecution under Section 447 was an impermissible retrospective application of law and deemed it malicious, the foundation for PMLA proceedings was removed. Without a valid predicate offense establishing criminal activity related to a scheduled offense, the PMLA case could not stand. Petition allowed.
The HC held that PMLA proceedings against the applicant were not maintainable following the quashment of the predicate offense under Section 447 of the Companies Act, 2013. The court analyzed that "proceeds of crime" under PMLA must have a direct nexus with a scheduled offense, as established in Vijay Madanlal Choudhary. Since the coordinate bench had previously determined that the prosecution under Section 447 was an impermissible retrospective application of law and deemed it malicious, the foundation for PMLA proceedings was removed. Without a valid predicate offense establishing criminal activity related to a scheduled offense, the PMLA case could not stand. Petition allowed.
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