BENGALURU: In a setback to several firms and people facing proceedings under the Prevention of Money Laundering Act, the High Court dismissed a batch of petitions filed against proceedings initiated by the Directorate of Enforcement (ED). Justice Aravind Kumar dismissed the petitions by JSW Steel Limited, Devas Multimedia Private Limited, real estate firms and an aide of former minister Katta Subramanya Naidu.
“The PML Act would indicate that same was brought to ensure that proceeds of crime are attached, and offenders who participate and assist in the commission of crime do not enjoy benefits of the property which is relatable to the crime. The PML Act envisages attachment of all properties involved in money laundering...,” Justice Aravind Kumar said, dismissing the petitions.
The petitions were filed between 2013 and 2018, questioning the ED’s proceedings under the Prevention of Money Laundering Act, 2002. Among several petitions, 13 questioned provisional attachment order by ED, five were on information sought from institutions or banks, two against confirmation order, and constitutional validity of certain sections of the Act. JSW Steel Limited moved court seeking to quash the provisional attachment order passed by ED on March 27, 2015, a complaint dated April 21, 2015, and notice on April 27, 2015. It also challenged the provisional attachment order dated March 30, 2016, passed by the ED.
Similarly, Devas Multimedia Private Limited challenged the provisional attachment order passed by ED, subsequent to amending the PML Act of 2013, in 2017. C Mahadesh aka Avva Mahadesh from Mysuru, who is in jail on charges of murder, challenged the attachment of his properties. M Gopi, a close associate of former minister Katta Subramnya Naidu, challenged the notice issued by the ED in 2013. V Bhaskar, accused in a Lokayukta case of extorting government officials, sought quashing of possession/ eviction notice dated June 20, 2018, issued by ED to take possession of attached properties.