Overview

• The division bench of Justices Ajay Gadkari and Rajesh Patil on September 16 set aside the ECIR, chargesheet, and all PMLA proceedings against Krishna and Prasanna Chamankar.
• The court noted the trial court’s July 31, 2021 discharge in the ACB case had attained finality because neither the State nor the ED challenged it.
• Relying on Vijay Madanlal Choudhary, the bench held that once the predicate offence is finally disposed, a connected money-laundering case cannot continue.
• The ED opposed the plea and argued the PMLA prosecution could proceed despite the discharge, but the court rejected that position.
• The underlying ACB probe from 2015 concerned contracts for Maharashtra Sadan in New Delhi, a Malabar Hill guest house, and an Andheri RTO building, including alleged kickbacks of about Rs 13 crore; activist Anjali Damania was not allowed to intervene.