Special Provisions for Women in PMLA Cases Affirmed; Bail Cancellation Petition Dismissed
In a significant ruling, the Karnataka High Court has upheld the bail granted to Mrs. Aishwarya Gowda, who was accused under the Prevention of Money Laundering Act, 2002 (PMLA). The Directorate of Enforcement had filed a petition seeking to cancel the bail granted by the Court of Principal City Civil & Sessions Judge, Bengaluru. The High Court, presided over by Mr. Justice S. Vishwajith Shetty, dismissed the petition, affirming the special treatment provision for women under the PMLA.
The case against Mrs. Gowda involved multiple allegations of criminal conspiracy and cheating, amounting to laundering proceeds of crime. Despite these charges, Mrs. Gowda was granted bail by the trial court, a decision contested by the Directorate of Enforcement on grounds of non-compliance with the twin conditions of Section 45 of the PMLA. However, the High Court highlighted that the proviso to Section 45(1) provides exceptions for certain categories, including women, and that the bail could not be canceled merely due to non-application of these conditions when special provisions apply.
The court noted that the trial court had passed a reasoned order considering all relevant factors, including the fact that the respondent, Mrs. Gowda, had cooperated during the investigation, and the charge sheet had already been filed. The ruling underscored that the prosecution failed to demonstrate compelling reasons for canceling the bail, as required under Section 483 of the Bharatiya Nagarik Suraksha Sanhita, 2023.
The decision was influenced by precedents set by the Supreme Court, which emphasize judicial discretion and sensitivity in cases involving women under the PMLA. The High Court reiterated that while the twin conditions for bail under the PMLA are stringent, the statute specifically allows for special treatment for women, requiring specific reasons if such benefits are to be denied.
The judgment reaffirms the judiciary's role in balancing statutory provisions with equitable treatment under special circumstances, especially concerning vulnerable groups.
Bottom line:-
Bail granted to a woman accused under the Prevention of Money Laundering Act, 2002, cannot be canceled solely on the ground of non-application of twin conditions under Section 45 when the proviso to Section 45(1) provides special treatment to women.
Statutory provision(s): Prevention of Money Laundering Act, 2002 - Section 45(1), Bharatiya Nagarik Suraksha Sanhita, 2023 - Section 483
Directorate of Enforcement v. Aishwarya Gowda, (Karnataka) : Law Finder Doc id # 2933837
