Supreme Court Issues Notice On Ex-Chhattisgarh Civil Servant Saumya Chaurasia's Plea For Bail In PMLA Case

The Supreme Court recently issued notice to the Enforcement Directorate on a petition filed by Chhattisgarh's suspended civil servant Saumya Chaurasia challenging denial of bail in a money laundering case.

Chaurasia, former Deputy Secretary to ex-Chhattisgarh Chief Minister Bhupesh Baghel, is accused in a money laundering case relating to coal scam. She has been in jail for over 1.5 years now.

The bench of Justices Surya Kant and Ujjal Bhuyan was dealing with Chaurasia's challenge to Chhattisgarh High Court's order dated August 28, 2024, whereby her third bail application was dismissed. The matter is next listed on September 20.

Last year, the Supreme Court had dismissed her previous bail plea.

The controversy arises out of allegations of extortion and illegal levy collection from coal and mining transporters transporting coal from Chhattisgarh mines. According to the Enforcement Directorate, the investigation has revealed a massive scam involving the illegal levy of ₹25 per tonne of coal, with the funds allegedly reaching ₹500 crores within 16 months. This money was purportedly being used for election funding and bribes, the central agency claims. In October, 2022, it conducted raids, leading to the arrest of IAS officer Sameer Vishnoi, coal businessman Sunil Agrawal, his uncle Laxmikant Tiwari, and 'kingpin' Suryakant Tiwari. In December, the central agency arrested Saumya Chaurasia.

ED asserts that funds collected through illegal extortion were utilized for election-related expenditures by legislators and the acquisition of 'Benami assets' by Chaurasia, coal mafia kingpin Suryakant Tiwari, and other high-ranking government officials. Tiwari, it is alleged, acted as a conduit for Chaurasia, acting as a 'layer' between her and district-level officers to facilitate the extortion scheme. The ED's remand application stated that Chaurasia, owing to her position in the chief minister's office, wielded significant power and influence, allowing Tiwari to exert pressure on various officers. The central agency further claims that Chaurasia, using unlawfully obtained cash from coal levy extortion, purchased properties in the names of her family members.

In June, 2023, the Chhattisgarh High Court rejected Chaurasia's bail plea. She appealed against the same, but in December, the Supreme Court dismissed her special leave petition with cost.

A second bail application was preferred by Chaurasia before the High Court, but on May 3, 2024, the same was dismissed as withdrawn. Vide the impugned order, the High Court dismissed her third bail application.

The High Court was of the view that Chaurasia played a vital role and did not satisfy the twin conditions for bail under Section 45 PMLA. Insofar as the ground of delay in trial, it was noted that co-accused persons were not appearing, and as such, the trial was not delayed "without any reason".

"From bare perusal of ECIR as well as observation made by Hon'ble the Supreme Court in case of the present applicant wherein Hon'ble the Supreme Court while rejecting the bail of the applicant has recorded its finding that there is sufficient evidence collected by the respondent Enforcement Directorate to prima facie come to the conclusion that the applicant who was Deputy Secretary and OSD in the Office of the Chief Minister, was actively involved in the offence of Money Laundering as defined in Section 3 of the PMLA, 2002."

As against that there is nothing on record to satisfy the conscience of the Court that the applicant is not guilty of the said offence and the special benefit as contemplated in the proviso to Section 45 of the PMLA, 2002 should be granted to the applicant who is a lady", the High Court said.

Chaurasia's case before the High Court

Before the High Court, Chaurasia submitted that the supplementary prosecution complaint was filed by ED on January 30, 2023 but the trial has not commenced, prolonging her custody without any reason.

Further, the scheduled offences have been dropped/closed in the charge-sheet dated June 8, 2023 and the concerned CJM has only taken cognizance of offences under Sections 353 & 204 IPC. Thus, no proceedings survive in relation to Section 384 and 120-B IPC which were the only alleged schedule offences in the said case.

It was stressed that she has undergone pre-trial incarceration of more than 1 year and 8 months, whereas maximum sentence which can be imposed is 7 years. In this regard, emphasis was placed on the top Court's recent judgment in Manish Sisodia v. Directorate of Enforcement.

Chaurasia also argued that the circumstances with respect to her alleged influencing power have completely changed as she is now suspended from the post of OSD of the Chief Minister and there is a change in the ruling political party in Chhattisgarh.

In support of her plea for bail, she further sought parity with co-accused Sunil Kumar Aggarwal, whose was granted interim bail by the top Court in May, 2024.

Case Title: SAUMYA CHAURASIA v. DIRECTORATE OF ENFORCEMENT, SLP(Crl) No. 12494/2024