SANTIAGO MARTIN Vs. UNION OF INDIA

JUDGEMENT

(1.) Through the process of money laundering, those involved in crimes have harnessed an armoury to drain the economic stability and erode the integrity of the country. The need to obviate such threats was identified by the United Nations. Through its conventions and resolutions, the signatory countries to the United Nations were warned of the perils of such baneful conduct. India responded with a Statute named Prevention of Money Laundering Act, 2002 (for short 'the PMLA'). Petitioners challenge a proceeding initiated under the aforestated statute.

(2.) Properties of the petitioners have been subjected to five different provisional attachments under the PMLA. The challenge in the writ petition is against the provisional attachment order dtd. 9/6/2023, as well as the order dtd. 12/5/2022, freezing the movable properties, including mutual funds and fixed deposits of the writ petitioners. The aforesaid two orders are produced in the writ petition as Ext.P25 as well as Ext.P21, respectively. There is an ancillary challenge against the seizure memo, which is produced as Ext.P22

(3.) The second petitioner is a Company which is the Distributor of Sikkim Lotteries. The first petitioner is its Managing Director. The issue relates to the period 1/4/2009 to 31/8/2010. Petitioners are the first and third accused in C.C. No.218 of 2015 on the files of the Chief Judicial Magistrate, Ernakulam. The crime was investigated by the CBI. Based on the above case, the Enforcement Directorate (for short 'the ED') registered a case as ECIR No.4 of 2014, which is now pending before the Special Court (Principal Sessions Court) Ernakulam as S.C. No.533 of 2018 under the PMLA. The offences alleged in C.C. No.218 of 2015 pending before the Chief Judicial Magistrate, Ernakulam, are under Sec. 120(b) and 420 of the Indian Penal Code, 1860 apart from various provisions of the Lotteries (Regulation) Act, 1998 and the Lotteries (Regulation) Rules, 2010. It must be mentioned that one Sri.N.Jayamurugan is the fifth accused in the aforementioned case before the Chief Judicial Magistrate.