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2025 Supreme(Online)(Bom) 5826
BOMBAY HIGH COURT
MADHAV J. JAMDAR, J
Amit Chandole – Appellant
Versus
Directorate of Enforcement – Respondent
CRIMINAL APPELLATE JURISDICTION WRIT PETITION NO.6332 OF 2024 | WRIT PETITION NO.4523 OF 2022
For the Appellants/Petitioners: Mr. Aabad Ponda, Sebin Michael Joseph, Sandra Jaison, Mayank Jain
For the Respondents: Mr. H. S. Venegavkar, Kamar Ali Shaikh, Leepika Rasiwasia, Mr. Amit Desai, Kushal Mor, Gopal Krishna Iyyer, Mamta Harwani, Riddhi Dhamecha, Ms. P. P. Bhosale, Mr. Dharmesh Joshi, Imran Khan
Magistrates must ensure proper procedures are followed and informants are allowed to present their case in summary report evaluations.
Headnote:The court analyzed the provisions of Section 43(2) read with Section 44(1)(c) of the PMLA, 2002, regarding cognizance and committal by magistrates. It addressed allegations of mismanagement in contractual agreements and improper financial transactions. The court found the magistrate failed to apply due diligence in accepting the C-Summary Report. Issues included whether proper procedures were followed regarding the summation of evidence. The court underscored the necessity of magistrates providing the informant a chance to be heard. The outcomes included allowing Writ Petition No.4523 of 2022 and remanding the case CC No.2448/MISC/2021 for fresh consideration.
| Table of Content |
|---|
| 1. identifying reliefs sought in writ petitions. (Para 1 , 2) |
| 2. overview of allegations regarding financial misconduct. (Para 5) |
| 3. discussion on magistrate's duties regarding summary reports. (Para 7 , 8) |
| 4. outcome of writ petitions and remanding case for fresh consideration. (Para 16) |
CORAM: MADHAV J. JAMDAR, J.
DATED: 11 JUNE 2025 JUDGMENT:
1. The reliefs sought in Criminal Writ Petition No.4523 of 2022 are as follows :-
“b. That this Hon’ble Court be pleased to quash and set aside letters dated 7th September, 2022 (Exh. 43), 15th September, 2022 (Exh. 48) in Special Case No. 1124 of 2020, pending on the file of Ld. Special PMLA Judge.
Mumbai;
c. That this Hon’ble Court be pleased to quash and set aside letter bearing OW No. 17951/2022 dated 4th August, 2022 from the Registrar of Sessions Court, Mumbai, directing the Ld. Additional Chief Metropolitan Magistrates 47th Court at Esplanade, Mumbai, to pass appropriate orders with regards to the ‘C’-Summary Report, and thereafter commit the same to the Ld. Special PMLA Court, Mumbai;
d. That this Hon’ble Court be pleased to quash and set aside the judgement and order dated 14/09/2022 passed by the Ld. Additional Chief Metropolitan Magistrates 47th Court at Esplanade, Mumbai thereby sending the records of CC No. 2448/MISC/2021 in MECR No. 5/2020 back to the Ld. Special PMLA Court, Mumbai;
e. That this Hon’ble Court be pleased to quash and set aside the impugned judgement and order dated 14/09/2022, accepting ‘C’-Summary Report, passed by the Ld. Additional Chief Metropolitan Magistrates 47th Court at Esplanade, Mumbai in CC No. 2448/MISC/2021 in MECR No. 5/2020;”
2. The following relief is sought in Writ Petition No.6332 of 2024 :-
“A. Issue a writ of Certiorari or any other writ, order or direction setting aside the impugned Order dated 18/07/2022 passed by the Ld. Additional Chief Metropolitan Magistrate, 47th Court, Esplanade, Mumbai in C.C No. 2448/Misc/2021 and all the proceedings initiated consequent thereof;”
3. The impugned Order dated 18th July 2022 has been passed by the learned Additional Chief Metropolitan Magistrate, 47th Court, Esplanade, Mumbai in C.C. No.2448/MISC/2021 below application filed by Prosecution For Directorate Of Enforcement for committal of the said proceedings before the PMLA Special Court at Mumbai. The prayer sought in the said Application reads as under :-
“a) this Hon’ble Court be pleased to commit the abovesaid case of scheduled offences under IPC at C-Summary MISC/4702448/2021 filed in FIR No. 05/2020 filed by EOW for a simultaneous trial with PMLA Case No: 1124/2020 to the Designated PMLA Court Mumbai (court no.16) in view of the provisions of Section 43 (2)
read with Section 44 (1)(c) of the PMLA, 2002.”
4. The learned Additional Chief Metropolitan Magistrate by said impugned Order dated 18th July 2022 committed the said case to the PMLA Special Court. The said Order is challenged in Criminal Writ Petition No.6332 of 2024.
5. Before considering the challenge raised in both the Writ Petitions, it is necessary to set out brief facts of the case as set out in Writ Petition No.4523 of 2022 :-
i. That the Complainant, Shri Ramesh lyer, Ex-Vice Chairman of Topsgrup Services Ltd., alleged that he learnt that there are various off the record transactions being carried out from the Company.
ii. That amongst other allegations, it was alleged that in the year 2014, a contract was signed by M/s Topsgrup Services & Solutions Ltd, with Mumbai Metropolitan Regional Development Authority (MMRDA) as per which about 350 to 500 guards were to be deployed at MMRDA sites on a monthly basis. It is submitted that out of the same, only 70% of guards were actually deployed; however, the billing was done for all the guards (100% deployment) as per contract, and the wages-paid details were submitted to MMRDA for 100% of the contract value based on the number of guards to be deployed as per the contract and not on the basis of actual deployment of the guards. It is fur
