Charges framed against Nawab Malik in money laundering case linked to D-gang, NCP leader pleads not guilty

The ED had arrested Malik in February 2022 in connection with the case. He is currently out on medical bail, granted by the Supreme Court

Mumbai: A special MP/ MLA court on Tuesday framed charges against former Maharashtra minister and senior Nationalist Congress Party (NCP) leader Nawab Malik and two others in the Enforcement Directorate’s (ED) 2022 money-laundering case linked to fugitive gangster Dawood Ibrahim Kaskar and his associates. All three accused pleaded not guilty, paving the way for a trial.

Nawab Malik (Kunal Patil/HT Photo)

The ED had arrested Malik in February 2022 in connection with the case. He is currently out on medical bail, granted by the Supreme Court.

During Tuesday’s hearing, the special court rejected adjournment requests from the defence, as well as an earlier plea by a fourth accused who appeared via video-conference seeking time to file a discharge application. The court noted that it had already concluded the hearing on the point of charge on November 11 and said the request “has no propriety and therefore, it cannot be considered”.

Defence lawyers submitted that the order on framing charges had been challenged before the Bombay High Court, where the additional sessions judge had sought time to reply. The special public prosecutor stated that the additional sessions judge had told the high court he “would not insist” on the court proceeding with the framing of charges. The court, however, declined to defer the process.

Referring to the Bombay High Court’s directions on expeditious disposal of MP/MLA matters, the special court recorded that “charges must be framed within the next four weeks, even without insisting on physical presence of the accused”.

“Framing of charge is an exclusive function of the court and… there is no reason to defer the discharge of this function,” the court said.

Charges were then read out to Malik, two companies run by his family, and the fourth accused. The charges were explained in vernacular and the pleas of all accused were recorded as not guilty.

The framing of charges followed last week’s order dismissing the discharge plea of Malik Infrastructure. The court had then held that there was “sufficient material on record to frame charges against all the accused” for offences under the Prevention of Money Laundering Act.

It accepted the ED’s allegation that Malik, “in connivance with D-Company members — Haseena Parkar, Salim Patel and Sardar Khan — participated in laundering of illegally usurped property”, specifically the Kurla-based Goawala Compound. The property was “illegally registered in the name of M/s Solidus Investments Pvt Ltd, owned by the family members of Nawab Malik”, and the rent collected through Solidus Investments and Malik Infrastructure “constitutes proceeds of crime”, the court observed.

It also noted that a power of attorney dated July 23, 1999 “was found to be forged”, and recorded the original owner’s statement that, except for an earlier document from March 1999, “none of the documents purportedly executed by her were genuine”.

Rejecting the argument that Malik Infrastructure was unconnected with the earlier transactions, the court held that the company was “represented by accused No.1 (Nawab Malik) himself, who is a partner and controlling mind of the said company”.