TaxTMI 
TaxTMI 
2026 (4) TMI 698
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....r the offence under Section 3 of the PMLA, punishable under Section 4 of the PMLA. 2.2. It is stated that the first respondent herein had registered a criminal case against respondent Nos.2 and 3 and, upon investigation, charge sheet was filed before the Principal Special Judge for CBI Cases, Chennai, for the offences punishable under Section 13(2) read with Section 13(1)(e) of the Prevention of Corruption Act, 1988 [the PC Act]. The case filed by the first respondent was numbered as C.C.No.19 of 2014 and is pending before the XIII Additional CBI Court, Chennai, at the stage of trial. 2.3. It is averred that the offences under the PC Act are scheduled offences and a prima face case of money laundering having been made out, the petitioner registered an enforcement case on 31.12.2014 and, upon investigation, a provisional attachment order dated 12.3.2015 was issued by the petitioner in exercise of the powers conferred under Section 5(1) of the PMLA. Consequently, under Section 5(5) of the PMLA, a complaint was filed before the Adjudicating Authority (PMLA), New Delhi and the same was confirmed on 26.5.2015 holding that the properties attached were proceeds of crime which were i....
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....l Courts. (1) The Central Government, in consultation with the Chief Justice of the High Court, shall, for trial of offence punishable under section 4 by notification designate one or more Courts of Session as Special Court or Special Courts for such area or areas or for such case or class or group of cases as may be specified in the notification. Explanation.- In this sub-section, "High Court" means the High Court of the State in which a Sessions Court designated as Special Court was functioning immediately before such designation. (2) While trying an offence under this Act, a Special Court shall also try an offence, other than an offence referred to in sub-section (1), with which the accused may, under the Code of Criminal Procedure, 1973 (2 of 1974), be charged at the same trial. Section 44. Offences triable by Special Courts. (1) Notwithstanding anything contained in the Code of Criminal Procedure, 1973 (2 of 1974),- (a) an offence punishable under section 4 and any scheduled offence connected to the offence under that section shall be triable by the Special Court constituted for the area in which the offence has been commit....
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....f the reference to "Magistrate" in that section includes also a reference to a Special Court designated under section 43." 8. A Special Court is constituted under Section 43(1) of the PMLA primarily for the purpose of trying an offence punishable under Section 4 of the PMLA. Sub section (2) of Section 43 of the PMLA confers additional jurisdiction upon such Special Court to try any other offence with which the accused may be charged at the same trial. 9. Under Section 44(1) of the PMLA, an offence punishable under Section 4 of the PMLA and any scheduled offence connected to the offence under that section shall be triable by the Special Court constituted for the area in which the offence has been committed. 10. From a cursory glance of Section 44(1)(c) of the PMLA, it can be deduced that if the court which has taken cognizance of the scheduled offence is other than the Special Court which has taken cognizance of the complaint of the offence of money-laundering under sub-clause (b), it shall, on an application by the authority authorized to file a complaint under this Act, commit the case relating to the scheduled offence to the Special Court and the Special Court shall, on ....
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....ce is other than the Special Court which has taken cognizance of the offence of money-laundering. It was held that if the Court which has taken cognizance of the scheduled offence is different from the Special Court which has taken cognizance of the offence of money laundering, then the authority authorized to file a complaint under PMLA should make an application to the Court which has taken cognizance of the scheduled offence. On the application so filed, the Court which has taken cognizance of the scheduled offence, should commit the case relating to the scheduled offence to the Special Court which has taken cognizance of the complaint of money-laundering. Since the PMLA contemplates the trial of the scheduled offence and the trial of the offence of money-laundering to take place only before the Special Court constituted under Section 43(1), a doubt is prone to arise as to whether all the offences are to be tried together. This doubt is sought to be removed by Explanation (i) to Section 44(1). Explanation (i) clarifies that the trial of both sets of offences by the same Court shall not be construed as joint trial. 15. The proposition enunciated by the Supreme Court in the afo....
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....he statement of the Additional Solicitor General, that the case under the PMLA, may be transferred to the Special Court which is trying the scheduled predicate offence under the PC Act, 1988, as that the said Court is competent to try both cases, by keeping the legal issue open, directed the case from the Special Court under the PMLA to be transferred to the Special Court trying the predicate offence under the PC Act. The relevant portion reads as below:- "Mr.Suryaprakash V. Raju, learned Additional Solicitor General, on instructions from the appellant and respondent No. 1, states that the case under the Prevention of Money Laundering Act, 2002 may be transferred to the Court of the Special Judge (SPE/CBI)-I, Ernakulam, Kerala, which is in seisin of the case under the Prevention of Corruption Act, 1988. He states that the said court is competent to try both cases. The statement made by the learned Additional Solicitor General is taken on record. Accordingly, we direct the case/ prosecution under the Prevention of Money Laundering Act, 2002 would be transferred to the Court of the Special Judge (SPE/CBI)-I, Ernakulam, Kerala, where the trial in the case under the P....