The Supreme Court on Monday dismissed a petition filed by Tamil Nadu Minister Senthil Balaji against the Madras High Court order, which ruled that the Enforcement Directorate (ED) was entitled to take Balaji into police custody in a money laundering case.

The Bench of Justice AS Bopanna and Justice MM Sundresh dismissed the petitions filed by Balaji and his wife Megala, which questioned the legality of arrest and custody.

The Apex Court granted ED five-day custody of Balaji till August 12 on the grounds that the word “such custody” under Section 167(2) of the Code of Criminal Procedure (CrPC) would include not only police, but other such custody.

The Bench noted that the writ of habeas corpus was not maintainable against an order of remand.

Referring to the Anupam Kulkarni verdict, the top court of the country observed that police custody was not permissible beyond the first 15 days of remand, to a larger bench for reconsideration.

Senior Advocate Mukul Rohatgi appeared for Balaji, while the ED was represented by Solicitor General Tushar Mehta.

The Bench of Justice J Nisha Bhanu and Justice D Bharatha Chakravarthy had delivered a spilt verdict on July 4.

While Justice Bhanu had ruled that ED was not entrusted with the powers to seek police custody under the PMLA and had directed for forthwith release of the Minister while terming his custody as “illegal,” Justice Chakravarthy had held that there were no illegalities in the arrest procedure and remand.

Against the backdrop of conflicting orders, the matter was referred to a third judge, Justice CV Karthikeyan. While putting an end to the conflicting opinions on July 14, Justice Karthikeyan had said that the central agency was entitled to seek the minister’s custody.

Additionally, he had ruled that although habeas corpus petition was maintainable after a court passing a judicial order of remand only in exceptional circumstances, he said that the present case did not attract any exceptional circumstance.

Aligning with the view of Justice D Bharatha Chakravarthy, the single judge had said, “Legality of the registration of ECIR has never been questioned. Once that legality has not been questioned, the consequent investigation or enquiry cannot also be questioned because a right is vested to so enquire or to so investigate into the offence of money laundering also, quite apart from detecting the trial of the proceeds of crime. Among other powers vested, the respondents had the power to search, to seize, to arrest.

Once an arrest has been initiated and it is stated by the respondents that the detenue/accused had refused to receive the copy of the memo of arrest and also the ground of arrest but it was informed to the brother and the petitioner herein, a reasonable strong presumption can be drawn that efforts had been taken to so inform the grounds of arrest. Therefore, once arrest is legal, remand is legal. A Habeas Corpus Petition would never lie.”

Read the order here:

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