The Calcutta high court on Monday declined to grant interim relief to the Mamata Banerjee-led Trinamool Congress (TMC) against the Enforcement Directorate’s (ED) decision to freeze three of the party’s bank accounts in a money laundering case linked to the alleged purchase of two aircraft using party funds.
“The bench of justice Krishna Rao declined to stay the debit freeze while hearing TMC’s prayer for interim relief challenging the ED’s action under the Prevention of Money Laundering Act (PMLA),” a lawyer who attended the hearing said, requesting anonymity.
Justice Rao pronounced the order 11 days after another high court bench headed by justice Saugata Bhattacharyya ruled on July 9 that the TMC could operate the three accounts, which had been frozen by the Bidhan Nagar Police in June, only for day-to-day expenses under the supervision of retired high court judge Subrata Talukdar, who was appointed special officer till September 30.
Background of the case
The Bidhan Nagar Police froze the accounts on June 19, a day after Biswanath Das, an MLA from the rebel TMC faction led by Ritabrata Banerjee, lodged a complaint alleging diversion of party funds.
In a parallel development on July 8, ED froze around ₹440 crore in the three accounts as part of its probe into the alleged laundering of nearly ₹160 crore from TMC funds through Kolkata-based Carewell Aviation between April 2023 and June 2026. According to ED, the funds were allegedly used to purchase an Embraer 600 aircraft and an Agusta helicopter for the TMC. On paper, however, Carewell Aviation was shown as receiving rent from the party for allowing it to use the aircraft.
Arguments before the court
{{/usCountry}}In a parallel development on July 8, ED froze around ₹440 crore in the three accounts as part of its probe into the alleged laundering of nearly ₹160 crore from TMC funds through Kolkata-based Carewell Aviation between April 2023 and June 2026. According to ED, the funds were allegedly used to purchase an Embraer 600 aircraft and an Agusta helicopter for the TMC. On paper, however, Carewell Aviation was shown as receiving rent from the party for allowing it to use the aircraft.
Arguments before the court
{{/usCountry}}“During Monday’s hearing, senior advocate Abhishek Manu Singhvi appeared for TMC and argued that ED intended to nullify the July 9 order passed by justice Bhattacharyya. Singhvi argued that ED apprehended the accounts might be de-frozen in Bidhan Nagar Police case and hence ordered a fresh freeze in the PMLA case,” the lawyer said.
ED’s counsel opposed the plea, submitting that the agency’s investigation and the debit freeze order were independent of the police case. Justice Rao declined to permit the TMC to operate the accounts until further hearing of the party’s writ petition. The TMC had not issued any statement on Monday’s order.