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ED's PMLA Prosecution Strategy Outlined: Fresh Probes After Predicate Offence Acquittals Under Section 420 IPC

PolityHIGH
Target:UPSC GS-IIMPSCSSC GAPrelims MediumMains HighStatic GK Link
01 May 2026
~2 min
Source: Indian Express
Key Data:May 4, 2026Section 420 IPC
Bodies:Enforcement Directorate (ED)Delhi High CourtCentral Bureau of Investigation (CBI)
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What This Article Covers

1.Additional Solicitor General S V Raju argued that ED should not automatically close PMLA cases if courts acquit or discharge accused in the predicate offence.

2.He outlined a calibrated strategy involving fresh investigations, challenging court refusals to take cognisance, and intervening against potential agency collusion.

3.This legal guidance is crucial for high-profile cases like the Delhi excise policy matter, where predicate offence proceedings affect PMLA cases against political figures.

The Big Picture
Prelims · MediumMains · High

A senior government lawyer has outlined a strategic framework for the Enforcement Directorate (ED) to sustain money laundering investigations under the PMLA even when courts acquit accused in the underlying 'predicate' offences. This addresses a core legal tension where PMLA cases often collapse if the scheduled offence fails, and suggests procedural remedies like fresh probes and legal challenges.

Exam Lens

Quick Exam Facts From News

Key OfficialAdditional Solicitor General (ASG) S V Raju
Event VenueED Day lecture at Bharat Mandapam
Key Legal DependencyPMLA offence tied to 'proceeds of crime' from a scheduled predicate offence
Illustrative IPC SectionSection 420 (Cheating)

1-Minute Revision

  • ›Key Official: Additional Solicitor General (ASG) S V Raju
  • ›Event Venue: ED Day lecture at Bharat Mandapam
  • ›Target this Legal Point: PMLA's dependency on a 'predicate' or 'scheduled' offence for 'proceeds of crime'.
  • ›Target this Nodal Body: Enforcement Directorate (ED) under the Department of Revenue, Ministry of Finance.
  • ›Target this Data: The illustrative predicate offence mentioned is cheating under IPC Section 420.

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Q1Static LinkageEasy

The Enforcement Directorate (ED), which enforces the PMLA, functions under which Union Ministry?

Q2Statement-basedHard

Consider the following statements regarding the legal framework discussed in the news:

1. A money laundering case under the PMLA can proceed independently even if all accused are acquitted in the underlying predicate offence.

2. The 'proceeds of crime', which is central to a PMLA case, is defined in relation to a scheduled offence.

3. If a court refuses to take cognisance of a chargesheet in a predicate offence due to lack of sanction, the ED has no legal recourse to challenge this order.

Which of the statements given above is/are correct?

Q3Data-centricMedium

According to the news, a challenge by the CBI against the discharge of accused in the Delhi excise policy predicate offence case is scheduled for hearing on which date?

Q4Application/ImpactMedium

What is the primary strategic objective behind the legal guidance offered by ASG S V Raju to the Enforcement Directorate, as discussed in the article?

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