The Uttarakhand High Court has upheld the validity of investigations under Section 17 of the PMLA after filing of a prosecution complaint, rejecting the argument that such action amounts to 'evergreening' of probe.
Uttarakhand HC Upholds Post-Complaint PMLA Investigations
The Uttarakhand High Court has ruled that further investigative actions, including searches under Section 17 of the Prevention of Money Laundering Act (PMLA), remain valid even after the filing of a prosecution complaint. The Court rejected the contention that continuing investigations amounts to 'evergreening' of the probe, affirming that the scope of investigation under PMLA is not curtailed post-filing of the chargesheet.
The Court observed that investigation under Section 44 of PMLA permits authorities to conduct further inquiry if new facts or evidence emerge, even after the initial complaint is filed.
"The investigative agency is not denuded of its powers under Section 44 merely because a prosecution complaint has already been submitted,"the Court held, emphasizing the continuous and dynamic nature of money laundering probes.
This decision reinforces the investigative autonomy of enforcement agencies under PMLA, ensuring that fresh evidence can be pursued without procedural bar. Practitioners must note that judicial oversight remains applicable, but routine continuation of investigation does not invalidate prosecution timelines or evidence collection.
Citations
- Prevention of Money Laundering Act, 2002, Section 17
- Prevention of Money Laundering Act, 2002, Section 44
