Chennai: The Enforcement Directorate (ED) has the powers to arrest and take custody of Dravida Munnetra Kazhagam (DMK) minister V Senthil Balaji under the Prevention of money laundering act (PMLA), said Solicitor General Tushar Mehta to the Madras high court on Wednesday.
Representing the ED, Mehta made the submissions to justice CV Karthikeyan, who was named as the third judge to hear the continued hearing in the habeas corpus petition (HCP) filed by the minister’s wife S Megala. A division bench of the Madras high court pronounced a split verdict last week in the petition, after which, the Supreme Court asked the high court to constitute another bench to hear the case.
Even as arguments were underway, the Chennai principal sessions judge, S Alli, extended the judicial custody of Balaji till July 26. The minister has been hospitalised and under judicial custody since he was arrested by the ED on July 14.
Senior counsels Kapil Sibal and N R Elango, arguing for the petitioner, on Tuesday said that the ED officials do not have powers of a police officer. Sibal also told the court that ED officials were acting like an authority investigating the predicate offence.
According to LiveLaw, Mehta had argued that the reason why legislature did not confers powers of a police officer on ED officials was because, PMLA deals with only one offence of money laundering, unlike other special enactments, which are non-bailable and therefore, only a court can grant bail. “Your honour, if the police register a corruption case which is a predicate offence and I initiate PMLA proceedings, I’m prevented from investigating the corruption angle and the police are prevented from investigating PMLA,” Mehta was quoted by Livelaw adding context to why they are not given powers of a police officer.
{{/usCountry}}According to LiveLaw, Mehta had argued that the reason why legislature did not confers powers of a police officer on ED officials was because, PMLA deals with only one offence of money laundering, unlike other special enactments, which are non-bailable and therefore, only a court can grant bail. “Your honour, if the police register a corruption case which is a predicate offence and I initiate PMLA proceedings, I’m prevented from investigating the corruption angle and the police are prevented from investigating PMLA,” Mehta was quoted by Livelaw adding context to why they are not given powers of a police officer.
{{/usCountry}}After hearing the Solicitor General’s submissions, justice Karthikeyan passed a short order that on the “specific request” of the petitioner’s Senior Counsel to give a reply, he is listing the matter for July 14. “It is hoped that arguments would be concluded in the forenoon session itself…,” justice Karthikeyan said. “The direction of the…Supreme Court that endeavour must be made to ensure that there is conclusion of hearing must be kept in mind by the learned Senior Counsels.”
On June 14, ED arrested Balaji on charges of money laundering linked to a case back in 2014 in the state transport department, a portfolio he was heading in the previous All India Anna Dravida Munnetra Kazhagam (AIADMK) regime.