Latest news with #EnforcementDirectorate
Indian Express
2 hours ago
- Politics
- Indian Express
ED retreats after uproar, withdraws summons to top advocates
Under fire from the legal fraternity over its summons to Senior Advocates Pratap Venugopal and Arvind Datar in connection with a case in which they had rendered legal advice, the Enforcement Directorate said Friday it had instructed field formations not to issue summons to any advocate in violation of Section 132 of the Bhartiya Sakshya Adhiniyam, 2023 — the section deals with the confidentiality of communications between an advocate and client. Any exception necessitating the issue of summons 'shall be issued only with the prior approval of the Director, ED', the probe agency said in a statement to the press. The ED's summons to Datar and Venugopal had drawn not just criticism but also raised questions on whether such summons can dilute attorney-client privilege. The lawyers were summoned under Section 50 of the Prevention of Money Laundering Act (PMLA) in a case of alleged money laundering. It is learnt that Datar wrote to the agency, expressing his inability to respond to the summons, citing attorney-client privilege. Sources in the ED told The Indian Express that the summons to Datar had 'expired' and no fresh summons had been issued. Venugopal received a communication from the ED, clarifying that the summons for June 24 had been 'withdrawn'. Non-compliance of summons by the ED is an offence under the PMLA. However, lawyers are protected under evidentiary laws from being compelled to issue statements or testify against their clients. Advocate Vipin Nair, President of the Supreme Court Advocates-on-Record Association, wrote to Chief Justice of India B R Gavai, urging him to take suo motu action against the ED. 'These actions, by the ED, we believe, amount to an impermissible transgression of the sacrosanct lawyer-client privilege, and pose a serious threat to the autonomy and fearless functioning of advocates. Such unwarranted and coercive measures against senior members of the Bar for discharge of professional duties set a dangerous precedent, potentially resulting in a chilling effect across the legal community,' Nair wrote. The Supreme Court Bar Association (SCBA) too condemned the ED summons to Venugopal and Datar, saying the actions 'reflect a disturbing trend, striking at the very foundations of the legal profession and undermining the independence of the Bar' and also reflect 'an illegal, perverse and intimidatory use of state power'. A statement issued by Advocate Pragya Baghel said 'the Executive Committee of… SCBA unanimously resolved and expresses its deep anguish, concern and unequivocal condemnation of the action taken by the Enforcement Directorate (ED) in summoning and issuance of Notice to Mr. Pratap Venugopal, Senior Advocate and member of SCBA, for the services rendered in discharge of professional duty.' On Friday, in its statement to the press, the ED said, 'The Mumbai Branch of ED is conducting a money-laundering investigation in which it has been alleged that shares of M/s Care Health Insurance Ltd (CHIL) were issued at a much lower price in the form of ESOPs on 1st May, 2022, in spite of the rejection of the same by Insurance Regulatory and Development Authority of India (IRDAI).' 'As part of investigation, a summons was issued to Shri Pratap Venugopal, an Independent Director of CHIL, to understand the circumstances under which the company has issued the ESOPs despite its rejection by IRDAI and subsequent discussions in the Board of CHIL in this regard. It is also pertinent to note that IRDAI on 23.07.2024 had directed the CHIL to revoke or cancel any ESOPs that have yet to be allotted and has also imposed a penalty of Rs 1 crore on CHIL for non-compliance with regulatory directions,' the ED said. 'In view of the fact that Shri Pratap Venugopal is a Senior Advocate in the Hon'ble Supreme Court, the summons issued to him has been withdrawn and same has been communicated to him. In the said communication, it has also been stated that if any documents will be required from him in his capacity as an Independent Director of CHIL, the same will be requested from him to be submitted by email,' it said. 'Further, the ED has also issued a circular for the guidance of the field formations that no summons shall be issued to any Advocate in violation of Section 132 of the Bhartiya Sakshya Adhiniyam, 2023. Further, if any summons needs to be issued under the exceptions carved out in proviso to section 132 of the BSA, 2023, the same shall be issued only with the prior approval of the Director, ED,' the agency said. — With ENS inputs Apurva Vishwanath is the National Legal Editor of The Indian Express in New Delhi. She graduated with a B.A., LL. B (Hons) from Dr Ram Manohar Lohiya National Law University, Lucknow. She joined the newspaper in 2019 and in her current role, oversees the newspapers coverage of legal issues. She also closely tracks judicial appointments. Prior to her role at the Indian Express, she has worked with ThePrint and Mint. ... Read More
Time of India
6 hours ago
- Politics
- Time of India
HC notice to ED on Chhavi writ petition
Ranchi: The Jharkhand high court today issued notice to the Enforcement Directorate in a criminal writ petition filed by former Ranchi deputy commissioner Chhavi Ranjan. Ranjan has moved the high court challenging the cognizance taken against him under the Prevention of Money Laundering Act for his involvement in the illegal sale of army land in Bargain in Bariatu in the capital. Ranjan is in custody since May 2023. Ranjan has alleged that the trial in his case has commenced without obtaining the sanction for prosecution from the government. The case in the high court will be heard again on July 18.
Time of India
6 hours ago
- Politics
- Time of India
HC reserves order in bail plea of ex-min Alam
Ranchi: The Jharkhand High Court on Friday reserved its order in a petition filed by former state rural development minister Alamgir Alam seeking bail pursuant to his arrest in the tender scam by the Enforcement Directorate (ED). Alam, a four-time former Congress MLA from Pakur, has been in custody since May 15 last year after the ED had started investigatigating his involvement in facilitating tenders. The case was heard by Justice Sujit Narayan Prasad who after having heard the arguments of Alam and the ED, reserved the order. Alam, a cabinet minister during the previous JMM-Congress-RJD alliance govt, had to resign from his office as he came in the line of fire following the arrest department's chief engineer Virendra Ram by the ED for his involvement in money laundering. Investigation revealed that Alam had provided tenders to selected companies and has received commissions for facilitating tenders. The investigation culminated in raids being conducted by the ED in the properties of Ram in Delhi, Jamshedpur, Patna and Ranchi. Similarly, raids were also conducted in the premises of other engineers of the department including the residence of Sanjeev Lal, the personal secretary of Alamgir Alam. In course of the raids conducted by the ED, the house of Jahangir Alam, a house help of Sanjeev, was also scanned. The raid in Jahangir Alam's house revealed possession of Rs 32 crores in cash. The investigating authorities then turned the heat on Alamgir Alam and connected the pieces concluding his involvement in accumulating huge amount of cash and stashing it in the house of his employees.
New Indian Express
7 hours ago
- Politics
- New Indian Express
Over 300 mule account passbooks seized in ED raids linked to Delhi classroom 'scam'
NEW DELHI: The Enforcement Directorate (ED) has seized more than 300 bank passbooks linked to mule accounts opened in the names of labourers, allegedly used for diverting Delhi government funds sourced from the classroom-construction 'scam' during the previous AAP regime, officials said on Friday. It is to be noted here that ED officials conducted searches in connection with the case at 37 locations across Delhi on June 18. The AAP termed the move a 'desperate' attempt to divert public attention and asserted that the allegations against its leaders were 'politically motivated'. The ED registered an Enforcement Case Information Report (ECIR), which is equivalent to a police FIR, under criminal provisions of the Prevention of Money Laundering Act (PMLA). This was based on an FIR registered by the Anti-Corruption Branch (ACB) of Delhi on 30 April against AAP leaders and former ministers in the cabinet of Chief Minister Arvind Kejriwal, including Manish Sisodia, Satyendar Jain, and a few others. Later, in a statement, a copy of which is with this newspaper, the ED said its officials had 'unearthed substantial incriminating evidence from the premises of a private contractor'. It said, 'Among the materials seized were original departmental files belonging to the Government of National Capital Territory of Delhi, as well as rubber stamps bearing the names and designations of officials from the Public Works Department (PWD).'
India Today
7 hours ago
- Business
- India Today
Court clears NCP leader's chartered accountant in graft case due to lack of proof
The Bombay High Court on Friday acquitted a 62-year-old chartered accountant, Shyam Malpani, of the money laundering case linked to Maharashtra minister Chhagan Bhujbal and his family. The court ruled that the Enforcement Directorate (ED) had no substantial evidence to prove Malpani's involvement in the case.A bench of Justice RN Laddha said, 'The (ED's) complaint lacks material to establish a nexus between the applicant and the alleged criminal conspiracy or money laundering activities.' The court noted that the ED's claims were based on 'bare assertions' and lacked proof that Malpani knew about or was negligent regarding the alleged sham served as a statutory auditor for some companies in the Bhujbal Group. The ED had alleged that he played a role in laundering money by failing to report suspicious transactions and arrangements. They claimed his inaction helped the Bhujbals hide and move illicit funds. However, Malpani's lawyers—Senior Counsel Pranav Badheka and advocate Prashant Pawar—argued that Chhagan Bhujbal and his family had already been discharged in related cases by the Special Court in also said Malpani was neither named as an accused nor was he named in any FIRs filed by the Anti-Corruption Bureau (ACB) or Taloja Police, which were the basis of the ED's Enforcement Case Information Reports (ECIRs) registered in June advocates Hiten Venegaonkar and Ayush Kedia, representing the ED, claimed Malpani knowingly hid the flow of illicit money. They argued that he was aware of the sham deals and failed to perform his professional duties, thereby assisting in the laundering court reviewed all arguments and concluded that Malpani was not involved in the placement, layering, or integration of the alleged proceeds of crimeMust Watch IN THIS STORY#Nationalist Congress Party
