Court Accepts Closure Reports in Rs 25,000 Crore Maharashtra Bank Scam Case
A special court handling cases involving MPs and MLAs in Mumbai on Friday accepted two closure reports submitted by the Economic Offences Wing (EOW) of the Mumbai police in the massive Rs 25,000 crore Maharashtra State Co-operative Bank scam. This decision pertains to a high-profile case that implicated prominent political figures who previously headed the bank and its various subsidiaries.
Clean Chit for Pawar Family Members
The EOW had provided a clean chit in this extensive financial scandal to the late Ajit Pawar, Deputy Chief Minister Sunetra Pawar, and their nephew Rohit Pawar. Judge Mahesh K Jadhav, presiding over the court, formally accepted these closure reports, effectively concluding the police investigation without filing charges against these individuals.
ED's Intervention Plea Rejected
In a significant development, the court also rejected a plea from the Enforcement Directorate (ED) to intervene and oppose the closure report. Judge Jadhav pointed out that a similar plea filed by the ED against the EOW's first closure report had been rejected earlier, and an appeal against that decision is currently pending before the Bombay High Court.
The ED had argued in its intervention plea that it was an affected party because its money laundering case was based on the EOW's First Information Report (FIR). The agency further stated that during its own probe, it had taken action against those involved and attached their properties, including a mill linked to Ajit Pawar, Sunetra Pawar, and Rohit Pawar.
Rejection of Protest Petitions
The judge additionally rejected protest petitions from 50 individuals who opposed the closure report. Among these petitioners was noted social activist Anna Hazare. The court's detailed orders are expected to be made available to the parties involved next week.
Legal Basis for the Decision
The EOW, in its submission to the court, contended that the ED had no right to file an intervention plea, especially since an earlier one had already been rejected. The police wing emphasized that even after conducting further investigations in the case, it found that no cognizable offence had been committed, justifying the submission of the closure report.
This stance aligns with a 2022 Supreme Court ruling which stated that when there is no predicate or scheduled offence, a case under the Prevention of Money Laundering Act (PMLA) cannot continue. A predicate or scheduled offence serves as the foundational criminal case required to sustain a money laundering prosecution. In this instance, the EOW's case constituted the scheduled offence.
The court's acceptance of the closure reports marks a pivotal moment in this long-running financial scandal, though the ED's pending appeal in the Bombay High Court suggests the legal battle may continue. The decision underscores the complexities of prosecuting high-stakes financial crimes involving political figures in India's judicial system.
