No action by ED in absence of predicate offence: Madras HC

R.K.M Powergen Private Limited Vs Assistant Director (Madras High Court) Madras High Court held that the PMLA demands the existence of a predicate offence. When there is no predicate offence, initiation of proceedings under PMLA is a non starter. Thus, no predicate offence, no action by ED. Facts- R.K.M.Powergen Private Limited was set up for the purpose of creating, establishing and operating coal powered electricity generation plant. The Central Bureau of Investigation (CBI) was called upon to investigate each of the allocations and take appropriate action. CBI registered a case in FIR for t...