Pradeep Nirankarnath Sharma Vs Directorate of Enforcement & Anr. (Supreme Court of India)
The Supreme Court allowed the appeal for hearing but dismissed the appeal challenging the Gujarat High Court’s order affirming the rejection of the appellant’s discharge application in proceedings under the Prevention of Money Laundering Act, 2002 (PMLA). The appellant had sought discharge under Section 227 of the Code of Criminal Procedure from prosecution under Sections 3 and 4 of the PMLA.
The proceedings arose from an Enforcement Case Information Report (ECIR) registered on 12.03.2012 in connection with two scheduled offences arising from FIR No. 03/2010 under the Prevention of Corruption Act, 1988 and FIR No. 09/2010 under various provisions of the Indian Penal Code. Following investigation, the Enforcement Directorate filed a complaint before the Special Judge on 27.09.2016. The appellant was arrested on 31.07.2016. The Special Judge rejected the appellant’s discharge application on 08.01.2018, finding prima facie material indicating involvement in hawala transactions, possession of proceeds of crime and offences affecting the economy, and also observed that the appellant had failed to discharge the burden under Section 24 of the PMLA. The Gujarat High Court dismissed the appellant’s criminal revision application, holding that the material on record disclosed prima facie involvement and that no illegality or impropriety existed in the Special Judge’s order.
