2026 (6) TMI 1304

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....isions of the Prevention of Money Laundering Act, 2002 (PMLA) based on the representation given by the petitioner on 02.05.2026. 2.1. The facts in a nutshell are that pursuant to a Forensic Audit dated 28.11.2025, it was confirmed that certain erstwhile officials, namely Deepesh Thangamani (COO), V.Karthick (Project Manager), and Sam Alexander (Manager) dishonestly misappropriated and cheated the petitioner company to the tune of Rs. 23,59,70,373/-. 2.2. A criminal complaint was subsequently lodged with the Chennai Crime Branch Police, resulting in the registration of an FIR in Crime No. 228 of 2025 under Sections 406, 420, and 34 of the Indian Penal Code, 1860. It is the case of the petitioner that since Section 420 of the IPC is a s....

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.... direct the ED to register the ECIR or initiate statutory enforcement actions merely on the finding that there exists a predicate offence. The registration of an FIR in a predicate offence does not ipso facto mandate the ED to register an ECIR, rather, it is purely based on the satisfaction of the Authorized Officer drawn from the materials available. This court cannot substitute the satisfaction of the ED, which is to be arrived at in accordance with the legislative mandates of the PMLA. 5. Furthermore, the petitioner seeks to place reliance on an internal Technical Circular of the Department dated 22.12.2022, which provides that an investigation should be mandatorily carried out if the amount involved exceeds Rs. 10 crores. We are afra....