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2022 (12) TMI 1197 - HC - Money LaunderingSeeking grant of anticipatory bail - money laundering - scheduled offences - ponzi companies - petitioner is alleged to be instrumental in facilitating co-accused Pranjil Batra for purchasing/acquiring 10 dummy/paper/fictitious companies in cash consideration to the tune of Rs.42 crores through 'accommodation' entries - HELD THAT:- The role of the petitioner when examined make it clearly apparent that he has indulged into money laundering by way of facilitating co-accused in execution of the fraud through dubious modus-operandi. Money laundering criminals use shell companies because shell companies are commercial companies that appear legitimate but are actually controlled by criminals. These shell companies mix illegal funds with legitimate funds to hide unfair income. Front companies are not only aiming to make a profit but also to protect illegal funds. By using shell companies and other investments in legitimate companies, money laundering proceeds are used to control industry or other sectors leading to monetary instability due to improper distortions in asset prices. It also provides a way to avoid taxation and, thus, deprive the country of income - the PMLA was promulgated to check money laundering and stringent provisions have been incorporated therein as money laundering cripples the economy of a nation. Section 24 of the PMLA provides that when a person is accused of having committed the offence under Section 3, the burden of proving that 'proceeds of crime' is untainted property shall be on the accused. Section 44 of the PMLA is another section in the string of strict provisions which provides for continuity of commission of offence as long as all the 'proceeds of crime' are not recovered and empowers the investigating agency to file supplementary complaints upon surfacing of any fresh evidence and such complaint is to be tried along with the initial complaint. The fetter imposed by Section 45 of the PMLA in the matter of grant of bail, having been restored, as is evident from the judgments referred to above and also that the said fetters are equally applicable while considering grant of anticipatory bail, it goes without saying that the twin conditions as regards the Courts satisfaction that there are reasonable grounds for believing that the accused is not guilty and also that the accused, if granted bail is not likely to commit similar offence again is sine-qua-non in the matter of grant of bail. At this stage, there is nothing to show that the petitioner is innocent or that in case granted bail, he will not flee from justice or that he will not commit similar offences again. As such, having regard to the facts and circumstances of the case, as discussed in earlier portion of this order, particularly the enormity of the scam wherein a substantial part of proceeds of crime is yet to be located and recovered, the custodial interrogation of the petitioner would be indispensable. Thus, no special case for grant of anticipatory bail to petitioner is made out. Petition dismissed.
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