Mere negligence is not sufficient. Intent is essential to constitute an offense under Section 3 of the PMLA. In the absence of prima facie material to substantiate that the third party person knowingly facilitated the transfer of proceeds of the crime, no presumption can be drawn that such person was involved in money laundering as stated under Section 24. The burden is on the prosecution to prove otherwise
| Posted on: March 10, 2024 |
The short answer is that the sweep of Section 5(1) of the PMLA Act is not limited to the accused named in the criminal activity relating to a scheduled offence. It would apply to any person (not necessarily being accused in the scheduled offence), if he is involved in any process or activity connected with the proceeds of crime. Such a person besides facing the consequence of provisional attachment order, may end up in being named as accused in the complaint to be filed by the authorised officer concerning offence under Section 3 of the 2002 Act.
| Posted on: March 10, 2024 |
To give true meaning and purpose to the constitutional and the statutory mandate of Section 19(1) of the PMLA 2002 of informing the arrested person of the grounds of arrest, it would be necessary that a copy of the written grounds of arrest is furnished to the arrested person as a matter of course and without exception.
| Posted on: October 4, 2023 |