Case Note & Summary
The applicant, Vijay Narendra Kumar Kothari, filed a bail application under Sections 3 and 4 of the Prevention of Money Laundering Act, 2002 (PMLA), in connection with ECIR/05/MBZO/2016 registered by the Directorate of Enforcement. This was his second bail application; the first was rejected on 29 November 2019. The applicant argued that co-accused Sanjay Jain and Saurabh Pandit had been granted bail on 2 May 2018 and 4 October 2018 respectively, and that he had been in custody since March 2019. He contended that the investigation was complete and trial was unlikely to commence soon, thus his continued detention was unjustified. The respondent opposed bail, citing the twin conditions under Section 45 of PMLA. The court, after hearing arguments, noted that the applicant had been in custody for over two years and that the trial had not yet begun. Relying on the principle of right to speedy trial under Article 21 of the Constitution, the court held that prolonged incarceration without trial warranted bail. The court also considered the bail orders of co-accused and the order in Deepak Kochar v. Directorate of Enforcement. The court granted bail subject to conditions including furnishing a PR bond of Rs. 5,00,000 with one or two sureties, surrendering passport, and reporting to the investigating officer periodically.
Headnote
A) Criminal Law - Bail - Money Laundering - Sections 3, 4, 45 Prevention of Money Laundering Act, 2002 - Long Incarceration - Applicant in custody since March 2019; trial not likely to commence soon - Court held that prolonged incarceration without trial violates right to speedy trial under Article 21, and twin conditions under Section 45 are not absolute bar - Bail granted on conditions (Paras 1-16).
Issue of Consideration
Whether the applicant is entitled to bail under the Prevention of Money Laundering Act, 2002, considering the twin conditions under Section 45 and the prolonged custody without trial.
Final Decision
Bail granted subject to conditions: (i) PR bond of Rs. 5,00,000 with one or two sureties; (ii) surrender passport; (iii) report to investigating officer on first Monday of every month; (iv) not tamper with evidence or influence witnesses; (v) not leave India without court permission.
Law Points
- Bail
- Money Laundering
- PMLA
- Section 45
- Twin Conditions
- Long Incarceration
- Right to Speedy Trial
