A special bench comprising Justices Joymalya Bagchi and V Mohana questioned whether the ED could effectively dictate how the Kerala Police should investigate allegations arising from financial transactions between Cochin Minerals and Rutile Limited (CMRL) and Exalogic Solutions.
The court made the observations while staying the investigation into a First Information Report (FIR) registered against Vijayan, his daughter T Veena and son-in-law P A Mohamed Riyas for seven days.
The judges emphasised that the ED must operate within its statutory jurisdiction and respect the independent responsibilities assigned to other law enforcement authorities.
The intervention followed arguments concerning the legal consequences of information shared by the ED with Kerala’s police authorities under Section 66(2) of the Prevention of Money Laundering Act.
The central question was whether such information automatically required the registration of a criminal case or whether the receiving agency retained discretion to examine the material and follow applicable legal procedures.
Justice Bagchi questioned the interpretation adopted by the Kerala High Court’s single judge, who had directed registration of the FIR after considering information supplied by the ED.
The Supreme Court observed that the High Court’s reasoning appeared inconsistent on whether the ED communication constituted a binding instruction or required independent verification by the state authorities.
The bench said the High Court’s division bench should examine the issue independently while considering appeals filed by Vijayan and the other petitioners.
The judges clarified that their observations did not prevent lawful investigation into suspected corruption or money laundering.
The seven-day suspension applies to further investigation under the FIR registered by Kerala’s Vigilance and Anti-Corruption Bureau. The FIR itself remains valid and has not been quashed.
The Supreme Court also set aside the High Court division bench’s October 15 decision refusing permission to Vijayan and his relatives to challenge the single judge’s October 9 order.
The judges held that the petitioners had sufficient grounds to seek appellate scrutiny because the earlier judicial direction concerned allegations specifically identifying them.
Vijayan’s lawyers argued that the High Court had ordered criminal proceedings without giving the affected individuals an opportunity to present their objections.
They maintained that the direction went beyond requiring registration of an FIR and extended to commencement and completion of an investigation under the Prevention of Corruption Act.
The bench examined whether statutory safeguards governing investigations against public servants had received adequate consideration before the High Court issued its directions.
Particular attention was given to Section 17A of the Prevention of Corruption Act, which provides for prior approval in specified investigations concerning decisions or recommendations made by public servants while discharging official functions.
The court also referred to Section 175(4) of the Bharatiya Nagarik Suraksha Sanhita, which introduces procedural safeguards when judicial intervention is sought for investigating certain allegations against public servants.
The ED opposed the petitioners’ arguments concerning their entitlement to be heard before criminal proceedings were initiated.
Its counsel submitted that statutory protections concerning public servants applied only to actions undertaken while performing official duties.
The Supreme Court left that question for consideration on the merits and expressly declined to determine whether the allegations against Vijayan and his relatives were legally sustainable.
The court also refrained from examining the validity of a separate money laundering proceeding initiated by the ED, leaving the petitioners free to challenge it independently.
(The article ‘ED warned against interference’ appeared first on Free Press Journal.)
Follow Arabian Post
Select Arabian Post as your preferred source on Google and MSN News for trusted business news and Arab politics and updates.
