The main legal point established in the judgment is that without completion of further investigation, the petitioners were not entitled to bail under the Prevention of Money-Laundering Act, 2002.

Manmohan Singh, J.:--

1. By way of this order, I propose to decide the two applications; one filed by Gaurav Gupta and another one by Gagandeep Singh and Paramdeep Singh (both brothers). All the three petitioners are in custody since 25th September, 2014, who have filed the abovementioned applications under Section 439 read with Section 482 Cr.P.C. for grant of bail under Section 3 of Prevention of Money- Laundering Act, 2002 (hereinafter referred to as the “Act”) punishable under Section 4 of the Act.

2. Brief facts as per the case of the respondent are that :

i) The Australian Federal Police (hereinafter referred to as AFP) had conducted an investigation code named 'Operation Zanella' relating to the activities of global money laundering networks who found that certain persons namely Gulshan Kumar, Mandeep Singh, Sanjeev Kumar Sahni and Ravender Pal Singh based in Australia, were providing their services to Australian Organized Crime Groups and were having extensive contacts with their Indian based counterparts who were identified as Gangandeep Singh, Paramdeep Singh and Gaurav Gupta. The AFP identified an extensive Alternate Remittance services network operating from India with significant influence of money laundering activities in Australia and further stated that the transactions were structured in a way that each deposit of money in Australian bank accounts was for a sum less than Australian $10,000/- to avoid any reporting requirement, who had also identified the money laundering networks and their operational structure.

ii) On the basis of Mutual Assistant Request (MAR) Note Verbal No. 458/2014 dated 27th August, 2014 (Letter of request) was issued by the Austrian Competent Authority regarding involvement of the petitioners in criminal activity.

iii) The Enforcement Directorate on the basis of MAR received from Australian Authorities in the form of Letter of Request found that Gagandeep Singh and Paramdeep Singh from Amritsar and Gaurav Gupta from Delhi were the members of money Laundering Syndicate who were involved in transferring the proceeds of crime generated from drug trafficking of the Organised Crime Groups (OCGs) in Australia. The preliminary inquiry was conducted and it was transpired that Gagandeep Singh and Paramdeep Singh were already charge sheeted in a drug case under Narcotics Drugs and Psychotropic Substances Act, 1985 (hereinafter referred to as the “NDPS Act”) by Special State Operation Cell, Amritsar. The Enforcement Directorate registered an ECIR on the basis of the LR and the case under NDPS Act against the petitioners and searches were conducted on 25th September, 2014.

iv) During the course of searches from the residence as well as from the business premises certain incriminating documents in the form of hard copies, electronic devices were recovered and seized. Indian currency worth Rs. 77 lakh and foreign currency worth Rs. 3 lakh was also recovered and seized. Paramdeep Singh, Gagandeep Singh and Gaurav Gupta were arrested on 25th September, 2014 under Section 19 of the Act.

v) As per the respondent, during the course of investigation it was found that they were involved in the money laundering and transferred huge amount of proceeds of crime suspected to be proceeds of drug money, through their accounts from one country to another country for the OCG and thus acquired huge money. It was also revealed that they had purchased movable and immovable properties worth crores of rupees. The Directorate identified one such property i.e. House No. 414, Basant Avenue, Amritsar, worth 1.65 Crore of Gagandeep and Paramdeep Singh which had been purchased out of the funds generated through criminal activity and being proceeds of crime the same was been provisionally attached vide Provisional Attachment Order No. 1/2014 dated 18th November, 2014 under Section 5(1) of the Act. The Adjudicating Authority by order dated 25th March, 2015 had confirmed the above said Provisional Attachment Order under Sect