The Karnataka High Court in the case Binesh Kodiyeri and Directorate Of Enforcement observed and has stayed further proceedings which are initiated against Bineesh Kodiyeri, son of Kerala CPI (M) leader Kodiyeri Balakrishnan, who was arrested under the Prevention of Money Laundering Act by the Enforcement Directorate, ED.
The counsel, Senior advocate K. Suman, appearing for the petitioner in the case observed and has informed the court that the cognizance taken of the offences under the Prevention of Money Laundering Act in the absence of the petitioner having been chargesheeted for the predicate offence as stated under the NDPS Act is impermissible.
The counsel, Special Public Prosecutor Prasanna Kumar argued before the court that Prevention of Money Laundering Act, PMLA is also applicable to the people who in the case assist the generation of illegal funds through crime and not just to those accused in the predicate offence.
The Single judge bench headed by Justice Hemant Chandangoudar in the case observed and has ordered for an interim order and has prayed for insofar it relates to petitioner herein.
Therefore, the Special Court is likely to frame the charges in the matter against him on August 18, 2023.
The High Court in the case observed and has granted bail to Bineesh. He was being arrested a year ago on 29.10.2020 and since then he had been under custody. Thus, the Enforcement Directorate has moved the Supreme Court of India challenging Karnataka High Court’s granting bail to the accused.
In the present case, the Narcotics Control Bureau, NCB arrested the Mohammed Anoop in Bengaluru, after he was being found in possession of 60 grams of MDMA tablets (the psychotropic substance) in his residence. Later he was arrested by Enforcement Directorate, ED.
It has also been alleged before the court that the investigation Prevention of Money Laundering Act, PMLA further revealed that ED has sufficient material along with the reasons to believe that Bineesh is guilty of the offence of money laundering as it has been stated under section 3 of the Act and is punishable under section 4 of the Act.