SC gives more freedom and powers to ED, interrogation or arrest can be made without prior notice

NEW DELHI: The Supreme Court has come with an important judgment giving more freedom to the Enforcement Directorate (ED). The Supreme Court's order strengthened the powers of the ED to take action under the Prevention of Money Laundering Act. The Supreme Court observed that there is no bar to enquiry, arrest, search or confiscation of property against individuals. A bench led by Justice A N Khanwilkar pronounced the important order. The court rejected all the pleas filed against the ED in this regard.

The petitioners argued that giving ED the power to arrest without warning is unconstitutional. The Supreme Court also did not entertain the pleas of the petitioners that the ED threatened the accused in the name of interrogation and recording the statement in their favor alleging that the information was concealed.

The court also did not accept the arguments that ECIR (Enforcement Case Information Report) is similar to FIR and therefore a copy of the same should be given to the accused. The Supreme Court had earlier ordered a batch of pleas challenging certain provisions of the Prevention of Money Laundering Act (PMLA). The petitioners were Karti Chidambaram and former Jammu and Kashmir Chief Minister Mehbooba Mufti.

The Center had justified the constitutionality of the provisions of PMLA. The central government justified the measures by pointing that money laundering is a threat not only to financial systems but also to the integrity and sovereignty of nations, as not only corrupt businessmen like Vijay Mallya or Nirav Modi, but also terrorist groups.