Person discharged/ acquitted of scheduled offence there can be no offence of money-laundering as well

S. Jagathrakshakan Vs Deputy Director (Madras High Court)

Madras High Court held that if the person is discharged/acquitted of the scheduled offence or the criminal case against him is quashed by the Court of competent jurisdiction, there can be no offence of money-laundering against him.

Facts-

The Central Crime Branch has filed a closure report on the ground of mistake of fact. Later the Central Crime Branch filed an application before the Judicial Magistrate which was rejected. In an appeal application filed the Additional District and Sessions Judge allowed the CB-CID’s contention and ordered for further investigation.

While so, since the First Information Reports disclosed commission of a scheduled offence under the Prevention of Money Laundering Act, the Enforcement Directorate registered a case and issued summons to the petitioner u/s. 50 of the Prevention of Money Laundering Act, 2002 for his appearance, challenging which, the petitioner filed the present writ petition.

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