BREAKING| Supreme Court Dismisses ED's Plea Challenging Bail Granted To Anil Deshmukh

"The court conducts a mini trial, evidence is selectively discussed resulting into findings being perverse. Admissibility of evidence and character of evidence is discussed and recorded a finding that based on this evidence it is not possible to have conviction", SG submitted.

The bench observed that the High Court might have been constrained to make these remarks as Section 45 of the Prevention of Money Laundering Act puts a condition that the Court should have prima facie satisfaction regarding the innocence of the accused. "Because the threshold is so high that the HC has to go into such detail", Justice Chandrachud remarked.

Bench suggests sustaining the bail order on health grounds

At this point, the bench suggested that the bail could be sustained on health grounds, considering the age of Deshmukh, and clarify that the observations on merit will not influence further proceedings. The bench said that bail is routinely granted to accused when they are aged above 70 years.

"Let us keep the merits aside, here is a man aged 73 years, he has multiple ailments...suppose we say we sustain the order on ground of health and set aside other observations of the HC", Justice Chandrachud observed.

Sachin Waze collected bribes for "Number 1" : ED

SG Mehta however stuck to the stand that the High Court's order is perverse and must be set aside on that count. He took the bench through the observations made by the High Court raising doubts regarding the statements of former Mumbai Police officer Sachin Waze and former Mumbai Police Commissioner Parambir Singh. The SG read out the statement of Sachin Waze regarding collection of bribes from bar hotels for being handed over to "Number 1",  a code reference to Deshmukh. He added that the money eventually went to an organization of which Deshmukh was the Chairman and the transactions happened through several shell companies. There are statements of witnesses corroborating these transactions.

Allegations at best constitute corruption; where is the money laundering element? Bench asks 

The SG said that the High Court has taken the view that there was confusion as to whether "Number 1" was the Home Minister or the Police Commissioner.

At this juncture, Justice Chandrachud asked "these allegations at best may constitute an offence of corruption. Where is the element of money laundering?".

Justice Chandrachud also pointed out that the statements of the bar hotel owners seem to suggest that the money was destined for the Police Commissioner.

"The bar owners say that the money was meant for the Commissioner of Police", Justice Chandrachud said.

"Bar owners say Sachin Waze said money was for Number 1 and in their understanding, Number 1 is the home minister", SG replied.

Justice Chandrachud also asked if Waze is an accused in other cases. SG replied in the affirmative. Senior Advocate Kapil Sibal, for Deshmukh, added that Waze is an accused in a murder case as well.

"He is an officer, suspended for 16 years. An accused in a Section 302 case becomes an approver in a money laundering case...", Justice Chandrachud raised doubts regarding Waze's credibility.

"I am afraid we will be making the same mistake as the learned judge (of the High Court) if we go in that direction", the SG replied. The SG said that a holistic view of the evidence on record should be taken instead of the selective view which the High Court has adopted.

Justice Chandrachud repeated the query regarding link to money laundering. "The allegation is that he collected Rupees 3 lakhs each from 1750 bar owners. That is at best bribery. Where is the money laundering aspect?", the judge asked.

The SG said that there are statements of other witnesses regarding hawala transactions through shell companies to credit the amounts to Sai Sikshan Sanstha, an organization under the Chairmanship of Deshmukh. These transactions happened during the period when Waze said he collected the money.

Deshmukh's health condition not serious : SG

SG further said that the medical conditions of Deshmukh are not serious so as to require hospitalisation and that the ailments such as high blood pressure, insomnia, irritable bowel syndrome etc., could be treated with medication. If his health condition worsens, he can always seek shifting but that cannot be a ground for bail. He said that these are mostly lifestyle diseases, and half of the population will be having these issues, and if bail is to be granted on such grounds, then the purpose of the statute might get defeated.

The bench pointed out that the medical documents show that he has cardiac conditions and that he has suffered fall in the jail on two occasions. The bench further said that the proviso to Section 45 PMLA provides for grant of bail if the accused is sick or infirm.

How many accused in the case? Bench asks

The bench asked about the stage of the trial and the number of the accused in the case. The SG replied that there are 26 accused in the case and Deshmukh is accused number 15.

"Number 1" is not Deshmukh but former Police Commissioner : Sibal's arguments for Deshmukh

Sibal submitted that the only evidence is the confessional statement of Sachin Waze which stands low on credibility. It is settled law that statement of co-accused has low evidentiary value and needs high corroboration. Whatever Waze says is hearsay. There is no evidence showing the money trail and the link to Deshmukh. Also, six co-accused have been granted bail.

"The judge asked the right question. Who is Number 1? According to Waze, it is Home Minister. The Bar Owners say it is the Commissioner of Police. It is that Police Commissioner who released a statement against Home Minister which led to all these. This racket was run by Waze and the then Commissioner of Police. And they are trying to implicate the then Home Minister. Kindly see what is behind the scenes. Waze and others are protected by them. That is the reason why they have no other evidence except Waze's statement", Sibal argued.

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