Mumbai: Accused of money laundering, Mirchi's 'aide' granted bail after 3.5 yrs

Mumbai: While passing critical remarks against the Enforcement Directorate (ED), a special Prevention of Money Laundering Act (PMLA) court on Friday granted bail to an alleged accomplice, Haroun Yusuf, of deceased gangster Iqbal Memon alias Mirchi in a money laundering case. Noting that he has been in custody for more than three-and-a-half years without trial, the court underlined that the object of the PMLA is not undue incarceration.

The court stated that the ED “simply opposes bail applications heavily, but never takes an active step in proceeding with trials.” It pointed out how 10 cases (scheduled offences) – on the basis of which the money laundering case was lodged by the agency – need to be committed to the special court, only after which the trial can begin. However, the ED has opted to be a “silent spectator without acknowledging the rights of undertrial prisoners,” remarked the court.

Court: ED makes “tall claims” on the basis of “bald and bare allegations”

Special Judge MG Deshpande said in the order that while the agency vehemently resists the application of accused persons citing gravity of the offence, but “overlooks” guidelines of the apex court relating to the right of undertrials for an expeditious trial. Likewise, the court said that when an undertrial makes any plea for liberty, the ED makes “tall claims” on the basis of “bald and bare allegations” on how the prisoner was an aide of Iqbal Mirchi, etc. It said, “The ED should note that for more than three years and seven months, the court has been entertaining such bare allegations. Those days have gone and now the days have come where evidence for those bare allegations have to be produced. Exactly at this stage the ED has been idle, which is serious.”

The court observed that the ED claims “further investigation” is still going on, without any progress report. Referring to a news report published in a leading daily, it further said the agency is giving interviews with status and information of scheduled offences, but has kept the court in the dark about it. “It is really shocking and indicates that the bonafides of the ED are not clear,” the judge stated. 

Concluding the order, the court stated that Yusuf has “absolutely no role” in any of the alleged criminal activities relating to the scheduled offence for generation of proceeds of crime. Also, it said that except bare allegations there is nothing to show that he had knowledge of Mirchi’s source of money. 

Court remarked…

ED simply opposes bail pleas, never takes active step for trial proceedings

Agency overlooks apex court guidelines relating to right of expeditious trial for undertrials

ED should produce evidence to back its bald and bare allegations

Without any progress report, it claims further investigation is still going on

Indicates bonafides of ED are not clear