[Nawab Malik remand order] Proceeds of crime traversed over 20 years, allegations prima facie well-founded: Special PMLA court

Sufficient time would be required to investigate proceeds of crime which traversed over the last 20 years, observed a Mumbai Court on Wednesday while remanding Maharashtra Cabinet Minister Nawab Malik to Enforcement Directorate (ED) custody till March 3, 2022. .Malik was arrested by ED Wednesday morning for investigating into the charge that minister had allegedly purchased a property at a rate lower than market value from underworld don Dawood Ibrahim. This charge was based on the claims of former Chief Minister Devendra Fadnavis.After a lengthy 4 hour hearing, Special Judge under the Prevention of Money Laundering Act (PMLA) held that Malik's custodial interrogation was necessary to unearth all ramifications involved in crime. "It is imperative to note that custodial interrogation of the accused (Malik) is necessary to collect seized, recovered documents at the instance of the accused. The proceeds of crime has traversed since last 20 years and more. Therefore, sufficient time is required to be granted for the investigation of the offence," the 12-page order stated. .ED submitted that prima facie Malik seemed guilty of the offence of money laundering and his custody was required to be confronted with other persons whose statements were recorded during investigation under PMLA.Malik meanwhile opposed the remand stating that the entire case was hit by Article 20 of the Constitution which prohibited retrospective application of the PMLA. It was also contended that he was illegally arrested without notice under Section 41A of the Code of Criminal Procedure. .After reverting to the facts of the case, and the material on record, the Special Judge concluded that there was material to indicate that Malik is in possession of the property.The Court deduced that it cannot be stated that no offence can be made out against Malik. The Court also noted that the grounds for arrest were communicated to Malik which meant there was substantial compliance with the provisions of PMLA. .From the report, the Court deduced that Malik had not co-operated with the investigation on the crucial aspect and prima facie there were grounds to believe that the accusations are well-founded under PMLA. Having regard to the serious allegations and statements in support of it, the Court opined that custodial interrogation of the accused would be necessary to unearth all the ramifications involved in the crime.The Court, therefore, remanded Malik to 8-day ED custody..Additional Solicitor General Anil Singh with Special Public Prosecutor Hiten Venegaonkar and Advocate Aditya Thakker appeared for ED.Senior Advocate Amit Desai with Advocates Gopal Shenoy, Taraq Sayed, Bhumika Gada and Feroze Bharucha appeared for Malik.[Read order]