Bombay High Court to ED: Stop Harassing Citizens, Stay Within Legal Boundaries
New Delhi (The Uttam Hindu): The Bombay High Court on Tuesday imposed a fine of Rs 1 lakh on the Enforcement Directorate (ED) for initiating a money laundering investigation against a real estate businessman without thinking. The court made a strong remark that central agencies should work within the ambit of the law.
While imposing the fine on the ED, a single bench of Justice Milind Jadhav said that a 'strong message' should be sent to law enforcement agencies to ensure that citizens are not harassed. The high court quashed the process (summons/notice) issued by a special court in August 2014 to Rakesh Jain, a Mumbai-based real estate developer, based on a prosecution complaint filed by the money laundering agency. Justice Jadhav said, 'Now the time has come that central agencies like ED should stop taking the law into their own hands and stop harassing citizens.'
The ED had initiated the money laundering probe against Jain based on a complaint lodged by a property buyer at the suburban Vile Parle police station accusing Jain of breach of agreement and cheating. The high court quashed the process (summons/notice) issued by a special court in August 2014 to Rakesh Jain, a Mumbai-based real estate developer, based on a prosecution complaint filed by the money laundering agency. Justice Jadhav said, "Now the time has come that central agencies like the ED should stop taking the law into their hands and harassing citizens." The ED had initiated the money laundering probe against Jain based on a complaint lodged by a property buyer at the suburban Vile Parle police station accusing Jain of breach of agreement and cheating.
Justice Jadhav said in his judgment that there is no case against Jain, so the allegations of money laundering also do not stand. The High Court said that the complainant's action against Jain and the ED's action are 'clearly malicious and require a penalty.' Justice Jadhav said, 'I am bound to impose a penalty, because a strong message needs to be given to law enforcement agencies like ED that they should work within the ambit of the law and they cannot take the law into their own hands without thinking and harass the citizens.'
The court directed the ED to pay Rs 1 lakh to the High Court Library within four weeks. The bench also imposed a fine of Rs 1 lakh on the original complainant (buyer) in the case. This fine will be paid to the Kirtikar Law Library in Mumbai. The judge said in the order, 'It is observed that the conspiracy of money laundering is hatched and executed secretly. The present case before me is a unique case of harassment under the guise of implementation of PMLA (Prevention of Money Laundering Act).' On the request of ED advocate Shriram Shirsat, the High Court stayed its decision for a week so that the agency could file an appeal in the Supreme Court.
