'What Is Rate Of Conviction In PMLA Cases? You Keep Person In Jail For Years' : Supreme Court To ED While Granting Interim Bail

The Supreme Court today granted interim bail to Chhattisgarh's suspended civil servant Saumya Chaurasia in a money laundering case, taking into account factors including the amount of time spent in custody and the non-framing of charges.

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 1 yr and 9 months now.

The bench of Justices Surya Kant, Dipankar Datta 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.

Granting interim relief, subject to terms and conditions, it ordered:

"Without expressing any opinion on merits, and with a view to give an opportunity of elaborate hearing to the parties on the next date, we direct that petitioner be released on interim bail, subject to furnishing of bail bonds to the satisfaction of trial court."

It further directed that the state government shall not re-instate Chaurasia in service merely because she has been released on interim bail. She shall continue on suspension till further orders, Justice Kant said.

The following conditions were imposed by the Supreme Court on Chaurasia:

- She shall remain present before the trial court on the date fixed and cooperate in the trial;

- She shall not attempt to influence witnesses and/or tamper with evidence;

- Her passport shall remain deposited before the trial court;

- She shall not leave the country without seeking prior permission of the trial court.

The order specifically recorded the factors that weighed in the mind of the Court as follows:

- The petitioner has already undergone 1 yr 9 months;

- Some of the co-accused have got regular/interim bail;

- The charges are yet to be framed;

- The High Court has observed that charges could not be framed due to non-execution of non-bailable warrants against some of the accused who failed to appear before the trial court.

Notably, during the hearing, Justice Bhuyan could be heard pulling up the ED for its low conviction rate and insistence on keeping people behind bars without even framing charges. "Without charges being framed, how long can you keep a person in jail? [Maximum] sentence is 7 years! what is the rate of conviction in PMLA cases? In Parliament they said only in 41 cases there has been conviction...then? You keep a person in jail for YEARS!", the judge said to the ASG.

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Justice Datta, on the other hand, expressed surprise at an observation in the impugned judgment that trial had not started because warrants could not be executed. "Would that be a reason to keep somebody behind bars?", the judge asked the ASG.

Ultimately, the interim bail was granted and the matter was adjourned to October 26.

Yesterday, Senior Advocate Siddharth Dave, appearing for Chaurasia, had urged that she has spent about 1 yr and 9 months in custody, without being let out even once, and the trial has not even commenced. Further, 3 co-accused have been released on interim bail (which orders have been confirmed). Reliance was placed on the Court's recent judgment in Manish Sisodia's case.

However, at the request of Additional Solicitor General SV Raju, for the ED, the matter was adjourned.

Today, the ASG opposed the bail plea, submitting that Chaurasia was a civil servant (and thus a trustee of the public). As such, she stands on a different footing vis-a-vis the 3 persons granted interim bail. Making averments on her role, the ASG said that she had a pivotal role to play and a stringent view was required when the Court was dealing with "rampant corruption" by a civil servant.

Background

The controversy arises out of allegations of extortion and illegal levy collection from coal and mining transporters transporting coal from Chhattisgarh mines. In December 2022, the central agency arrested Saumya Chaurasia.

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.

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 did not satisfy the twin conditions for bail under Section 45 PMLA. 

Assailing the dismissal of her third bail plea, Chaurasia approached the Supreme Court. Notice was issued on the same on September 13.

Appearance for petitioner-Chaurasia: Sr Adv Siddharth Dave alongwith Advocate Harshwardhan Parganiha, AoR Pallavi Sharma

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

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