TaxTMI 
TaxTMI 
2026 (3) TMI 849
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.... for the petitioner, learned counsel for the petitioner has submitted as hereunder:- Statement of the petitioner was recorded under Section 50 of the Prevention of Money Laundering Act (hereinafter referred to as the PMLA) sixteen times from February 10, 2023 to March 27, 2023 and no further, which suggests that investigation insofar as the petitioner is concerned is concluded. The case is based on documentary evidence which has been seized by the investigating agency and is in their custody. The co-accused are still absconding and there is remote chance of conclusion of trial in near future. The petitioner was arrested within six days of registration of the predicate offence and had no scope of evading the process of law. He does not stand on the same footing as co-accused Sailesh Pandey whose bail prayer has been turned down by this Court. He is similarly circumstanced with co-accused Viraj Suhas Patil who has been released on bail. The petitioner's prayer for discharge from the predicate offence was turned down by the learned trial Court on September 27, 2024. The said order was assailed before this Court and by an order passed on November 26, 2024 this Court passed an ....
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....) Vijay Nair v/s. Directorate of Enforcement in Special Leave to Appeal (Crl) No. 22137 of 2024; 14) Nik Nish Retail Ltd. And Another v/s. Assistant Director, Directorate of Enforcement reported in 2022 SCC OnLine Cal 4044; and 15) Sharjeel Imam v/s. State of NCT Delhi And Another reported in 2024 SCC OnLine Del 4378. 4. Opposing the prayer, learned counsel for the E.D. has canvassed his argument as follows:- In course of investigation in respect of the complaint lodged by the Regional Manager, Canara Bank which was registered as FIR No. 290 of 2022 dated October 14, 2022, it was found that two accounts stated in the complaint having the same registered address were opened on the same date, i.e., on August 31, 2022. At the initial stage, small transactions were made in the said accounts. Subsequently huge debit transactions appeared within a span of less than a month and upon verification of the said accounts, it was discovered that no such party was carrying on business at the given address in the account opening form and also, no such party was residing at the permanent address shown therein. It was also noticed that the entire credits which were aff....
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.... Director, Directorate of Enforcement reported in 2023 SCC OnLine SC 1486; 7) Satyendra Kumar Jain v/s. Directorate of Enforcement reported in (2024) 6 SCC 715; 8) The Union of India through the Assistant Director v/s. Kanhaiya Prasad reported in 2025 SCC OnLine SC 306; and 9) Basudeb Bagchi & Anr. v/s. Enforcement Directorate in the judgment delivered by an Hon'ble Division Bench of this Court in CRM (M) 932 of 2025 with CRAN 1 of 2025. 7. I have considered the material on record and rival submission of the parties. 8. It has been observed by the Hon'ble Supreme Court in several authorities including Y.S. Jagan Mohan Reddy (supra), Rohit Tandon (supra), Tarun Kumar (supra) and the Union of India through the Assistant Director (supra) that economic offences constitute a class apart and need to be visited with a different approach in the matter of bail. Such offences having deep-rooted conspiracies and involving huge loss of public fund need to be viewed seriously and considered as grave offences affecting the economy of the country as a whole and thereby posing serious threat to the financial health of the country. 9. It is trite law that once th....
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.... and further it is involved in any process or activity. Not even in a case of existence of undisclosed income and irrespective of its volume, the definition of "proceeds of crime" under Section 2(1)(u) will get attracted unless the property has been derived or obtained as a result of criminal activity relating to a scheduled offence........ Even though, the 2002 Act is a complete Code in itself, it is only in respect of matters connected with offence of money-laundering and for that, existence of proceeds of crime within the meaning of Section 2(1)(u) of the Act is quintessential. Absent existence of proceeds of crime, as aforesaid, the authorities under the 2002 Act cannot step in or initiate any prosecution." 13. Herein, the petitioner has been granted bail in the predicate offence. His prayer for discharge from the predicate offence was turned down by the learned trial Court. The said order was assailed before this Court by the petitioner wherein this Court granted an interim order in his favour to seek adjournment before the learned trial Court. Therefore trial of the predicate offence is not likely to commence so long as the issue with regard to discharge of the petitioner ....