TaxTMI 
TaxTMI 
2026 (8) TMI 732
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....er the provisions of the Prevention of Money Laundering Act, 2002, arising out of scheduled offences relating to the alleged Heera Group investment scam. The prosecution alleges that the principal accused, along with others, collected about Rs.5,978 crores from nearly 1.72 lakh investors and diverted the proceeds of crime towards acquisition of movable and immovable properties. Pursuant to the directions of the Hon'ble Supreme Court, the attached properties were put to e-auction. It is alleged that the petitioner, acting on behalf of the principal accused under a Memorandum of Understanding, attempted to derail the auction proceedings by influencing ED officials, misusing the names of PMO officials and politicians, sending communication....
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....n the case of V. Senthil Balaji vs. Deputy Director of Enforcement [2024 SCC OnLine SC 2626], and in the case of Ritu Chhabaria Vs. Union of India and Others [2024 12 SCC 116], whereunder, in paragraph No.34 it was held as under : "34. In the instant case, it is clear from the facts that during the pendency of the investigation, supplementary chargesheets were filed by the investigation agency just before the expiry of 60 days, with the purpose of scuttling the right to default bail accrued in favour the accused. This factual position was missed by the trial court, and instead of offering default bail to the accused, the trial court mechanically accepted the incomplete charge-sheets filed by the investigating agency, and further co....
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....derail the lawful process. More importantly, it is contended that the petitioner made deliberate attempts to obstruct the auction proceedings of attached properties, which were being conducted pursuant to judicial orders, thereby frustrating the recovery process. Such acts, it is argued, squarely fall within the ambit of Section 3 of the PMLA, which defines the offence of money laundering to include not only concealment or possession, but also acquisition, use, projection or claiming of proceeds of crime as untainted property, and any activity connected thereto. Thus, interference with attachment and auction proceedings constitutes a direct attempt to deal with and project the proceeds of crime, attracting the rigours of Section 3. 8. It....
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....ime, as the material placed before this Court prima facie indicates his involvement in activities connected therewith. The contention of the petitioner with regard to grant of default bail also does not merit acceptance in the facts of the present case, as the supplementary complaint was filed within the prescribed period, though returned for compliance, and the same by itself would not entitle the petitioner to claim an indefeasible right to bail in the given circumstances. 10. Insofar as the reliance placed by the learned counsel for the petitioner on the judgment in V. Senthil Balaji (supra) is concerned, this Court finds that the said judgment is distinguishable on facts, inasmuch as the accused therein had undergone incarceration fo....