Involvement in assisting money laundering is sufficient for prosecution under PMLA; bail conditions under Section 45 are mandatory.

ORDER :

PRAVEER BHATNAGAR, J.

1. These instant bail applications have been filed under Section 483 of B.N.S.S., 2023, on behalf of the accused petitioners, Suresh Kumar and Peera Ram, in connection with ECIR No. JPZO/03/2023 for the offences under Sections 3/4 of the Prevention of Money Laundering Act, 2002 (hereinafter referred to as ‘the PMLA’).

2. The Learned counsel appearing on behalf of the accused petitioners, Mr. Hora presents an argument, asserting that no substantial case has been made out against the present petitioners under the Prevention of Money Laundering Act, 2002 (“PMLA”). He firmly states that the petitioners have neither generated nor laundered funds through illicit activities. The petitioners have already been enlarged on bail under the predicate offence, and no recovery of any money was made from the petitioners. The predicate offence was entirely different from the case under the PMLA, and the Enforcement Directorate (“ED” entirely rest its case on the evidence collected in the predicate offence. The predicate offence committed under the provision of The Rajasthan Public Examination (Measures of Prevention of Unfair Means in Recruitment) Act, 2022, does not fall in the scheduled offence. The predicate offence under section 420 of the Indian Penal Code, 1860 is also not made out against the petitioners as the petitioners have not induced any person to deliver the property or to cause willful loss to anyone. It is also argued that case under PMLA is also not made out against the petitioners as, admittedly, no amount was passed on to them from the other co-accused and therefore, they neither generated money nor concealed, possessed, or used it.

3. On behalf of the accused-petitioner-Peera Ram, the learned counsel contended that petitioner-Peera Ram has neither initiated nor participated in the distribution of leak paper. He has only provided his vehicle and he was not aware that the said vehicle will be used for the purpose of tutoring the leak paper. Petitioner- Peera Ram has neither generated money nor concealed, possessed or used it, therefore, it cannot be said that petitioner-Peera Ram has committed offence under Section 3/4 of the PMLA Act.

4. It is vehemently contended that the petitioners have been behind the bars since 11.01.2024 and no witness has been examined till date. The charge sheet comprises of 200 witnesses and documentary evidence contains thousands of pages, and there is no likelihood of a conclusion of trial within a reasonable time. The maximum punishment for the offence is of seven years, and putting a person behind bars without trial amounts to deprivation of personal liberty and pretrial conviction. The learned counsel, Mr. Hora, fortifies his arguments on the strength of the judgments passed in the case of Manish Sisodia vs. Directorate of Enforcement, 2024 INSC 595 and Kalvakuntla Kavitha vs. Directorate of Enforcement, 2024 INSC 632.

5. Contrarily, the learned Senior Counsel cum ASG Mr. RD Rastogi, argues that the definition of section 3/4 of the PMLA Act is exhaustive, and it is not necessary that affirmative evidence of passing or laundering of proceeds of crime must be in existence. Even an accused who assisted the other culprits in generating the crime money is liable for prosecution under the PMLA. In the present case, it is prima facie established by clinching evidence that the petitioners acted in connivance with the main accused. The petitioner Suresh Kumar was arrested red handedly while tutoring the leaked papers in a moving bus to the candidates who intended to appear in the Senior Teacher 2^nd Grade Competitive Examination, 2022.

6. The petitioner Suresh Kumar in connivance with Suresh Kumar Dhaka, who is mastermind in the whole paper leak case and presently absconding, chalked out the whole plan and provided the leaked question paper to different candidates in a moving bus. The petitioner- Suresh Kumar was getting regular instructions from Suresh Dhaka and Bhupendra Saran, w