K. C. Chandran Vs Directorate of Enforcement (Madras High Court)
Madras High Court held that since concealment of proceeds of crime is an offence under Prevention of Money Laundering Act, 2002 [PMLA], Enforcement Directorate need not demonstrate where the money eventually went.
Facts- M/s. Deepa Impex India Private Limited was granted lease to quarry minor minerals in Melur in the year 1989. K. C. Chandran and his wife C. Chandra are directors of the said company. They entered into criminal conspiracy and illegally quarried granite stones from the nearby lands and non-lease patta lands and transported more minerals than permit obtained quantity. The authorities of the Department of Geology and Mining conducted detailed survey and valued the illegally quarried mineral at Rs.436.88 crores. It was specifically determined that the accused have made unlawful gain to the tune of Rs.261.89 crores. Hence, Crime No.159 of 2012 was registered against the accused on the file of the Keelavalavu Police Station for the offences u/s. 447, 379, 120(B), 114, 109, 511, 420, 434, 465, 467, 468, 471, 304(ii) IPC and Section 4 of TNPPDL Act, 1992 and Section 6 r/w. 3(a) and 4(a) of the Explosive Substances Act.
The investigation revealed that illegal quarrying had taken place right upto 2012 and that the petitioners herein had committed scheduled offences as defined u/s. 2(1)(x) and (y) of the Prevention of Money Laundering Act, 2002. As per the valuation report of the Department of Geology and Mining, the proceeds of the crime had been determined as Rs.261.89 crores. Out of this unlawfully generated income, properties have been purchased. One such property is covered under Doc No.1526 of 2010 registered on the file of the SRO, Periamet. The revision petitioners have projected the said property as an untainted property. This property has been attached u/s. 8(3) of the Act. The revision petitioners filed Crl MP No.1371 of 2022 u/s. 227 of Cr. Pc for discharging them from this case. The discharge petition was dismissed vide order dated 19.03.2024. Challenging the same, this revision petition has been filed.
