While rejecting a bail application of an accused charged under the Prevention of Money Laundering Act (PMLA), the Jharkhand High Court has held that there are reasonable ground to believe that the accused is guilty of the offence and he is likely commit the offence if bail granted.
The Assistant Director (PMLA), Directorate of Enforcement filed a complaint against the accused, Mr. Hemant Kumar Sinha, under Section 44 read with Section 45 of the Act, 2002 for the offence under Section 4 of the said Act with alleging that M.S.S. & Health Care Ayurvedic Trust was created under a trust deed 16th May, 2007 between the Settler and the Trustees.
The accused submitted that he was the Chief Secretary of the trust and it was alleged that the trust was engaged in collecting money from the public by cheating the poor people and inducing them to invest money which would become fourfold within 16 months. The trust had enrolled the investors by collecting deposits of Rs.3000/- each and four post dated cheques of Rs.2300/- each were being issued to the investors in addition to four medicine coupons of Rs.700/- each.
It was also argued that the applicant was not trustee of the said trust as alleged. He was employee of the same and worked as Chief Secretary of the trust. He had never misused the privilege of bail granted to him in Doranda (Argora) P.S. Case No.281 of 2010. The applicant is a heart patient and had undergone surgery and is not having good health and he undertakes to abide all the conditions on being enlarged on bail.
Disregarding the precedents referred by the applicant, Justice Subhash Chand held that “this Court is of the considered view that the provisions of Section 45 of the Act, 2002 prior to judgment of Hon’ble Apex Court in the case of Nikesh Tarachand Shah (supra) was declared unconstitutional; but the defects of provisions of the said act was cured by the Parliament by way of Amendment Act 13 of 2018 and consequently, the twin conditions of Section 45 while disposing of the bail applicant under the Act, 2002 stood revived.”
Rejecting the bail application, the Court added that “In view of the submissions made and materials on record there are reasonable ground to believe that the applicant is guilty of the offence of money laundering and he is likely to commit the offence, if enlarged on bail. Accordingly, the bail application of the applicant is, hereby, rejected.”
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