2019 (7) TMI 1730 - HC - Money Laundering

Money Laundering - proceeds of crime - contention of the applicant is that the name of the applicant has surfaced in the statement of Vikram Dixit @ Vinny Sodhi who has stated that he has given ₹ 40,000/- to the applicant by cheque which has been treated as proceeds of the crime by investigating agency - HELD THAT - Without expressing any opinion on the merits of the case and considering the nature of accusation and the severity of punishment in case of conviction and the nature of supporting evidence, reasonable apprehension of tempering of the witnesses and prima facie satisfaction of the Court in support of the charge, the applicant is entitled to be released on bail in this case. Let the applicant be released on bail on his furnishing a personal bond and two sureties each in the like amount to the satisfaction of the court concerned with the conditions imposed - Application allowed.

Summary

Issues: Bail application in a case under PMLA, 2002 involving allegations of receiving proceeds of crime and false implication.

Analysis:
The judgment by Hon'ble Karunesh Singh Pawar of the Allahabad High Court dealt with a bail application in a case under the Prevention of Money Laundering Act, 2002. The applicant contended that he was falsely implicated as his name surfaced in a statement where he was accused of receiving a loan of ?40,000, treated as proceeds of crime. The adjudicating authority had already attached this amount in the form of an FDR. The applicant argued that no offense under PMLA was made out against him and that there was no risk of him fleeing or tampering with witnesses if granted bail. The State and the Union of India opposed the bail application, suggesting that the applicant's passport, if any, should be deposited before the trial court.

The court, without expressing any opinion on the merits of the case, considered factors such as the nature of accusation, severity of punishment, supporting evidence, risk of witness tampering, and prima facie satisfaction of the court. Based on these considerations, the court granted bail to the applicant, named Ramji Shukla, in the complaint case under Sections 3 and 4 of PMLA, 2002. The bail was subject to several conditions imposed in the interest of justice. These conditions included depositing any passport with the trial court, not tampering with evidence or intimidating witnesses, refraining from influencing individuals related to the case, not seeking unnecessary adjournments during trial, and ensuring presence in court on all dates. Failure to comply with these conditions could lead to consequences such as abuse of bail liberty or initiation of proceedings under relevant sections of the Indian Penal Code in case of misuse of bail.