The Supreme Court will consider the review petition against the Prevention of Money Laundering Act (PMLA) on Wednesday. A three-judge bench headed by CJI NV Ramana will consider the review petition filed by Karti Chidambaram and former Jammu and Kashmir Chief Minister Mehbooba Mufti at 1 pm today (August 24).
On July 27, the Supreme Court upheld the validity of various provisions of the PMLA, which empower the ED to make arrests, conduct search and seizure and attach proceeds of the offence.
The court also held that Enforcement Case Information Report (ECIR) cannot be compared with First Information Report (FIR) and ED officers are not police officers.
On March 15, the top court had reserved its order on the petitions challenging certain provisions of the PMLA Act.
The petitioners raised several issues including the lack of procedure for initiation of investigation and initiation of summons, while the accused were not apprised of the contents of the ECIR.
Section 45 deals with offenses which are cognizable and non-bailable. Section 50 of the PMLA empowers the ‘authority’ i.e. officers of the Enforcement Directorate to summon any person to give evidence or to produce records. All the summoned persons are bound to answer the questions asked to them and produce the required documents by the ED officials, failing which they can be punished under PMLA.
However, the Center had upheld the constitutional validity of the provisions of the PMLA. The Center has apprised the court that around 4,700 cases are being investigated by the Enforcement Directorate.
The Center said that the PMLA is not a conventional penal law, but a statute aimed at preventing money laundering, regulating certain activities related to money laundering, confiscation of “proceeds of crime” and property derived therefrom, and for this purpose, criminals. is also required. To be punished by the competent court after registering the complaint.
The Center said India and its version of the Prevention of Money Laundering Act, 2002, are only a quagmire in this international vehicle. It submitted that India, as a signatory to treaties and an important participant in the international process and the fight against money laundering, is obliged, both legally and ethically, to adopt global best practices and respond to the changing needs of the times.
(with PTI inputs)
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