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Consider the following statements regarding Prevention of Money Laundering Act.
  1. The offence under this law is mainly the laundering of money made through crimes such as terrorism, drug-trafficking and corruption.
  2. The cases booked under the Prevention of Money Laundering Act are non-bailable.
  3. The Enforcement Directorate under the PMLA Act is considered as “police” and hence follow the provisions of Code of Criminal Procedure (CrPC) for search, seizure, arrest, attachment of properties.
Which of the above statements is/are correct?
  • a)
    1 only 
  • b)
    2, 3 
  • c)
    1, 3 
  • d)
    1, 2, 3
Correct answer is option 'A'. Can you explain this answer?
Most Upvoted Answer
Consider the following statements regarding Prevention of Money Launde...
A specialized agency for investigating and prosecuting money laundering cases. The Act empowers the authorities to seize and confiscate the proceeds of crime derived from money laundering activities. The Act also provides for the establishment of a special court to hear and decide cases related to money laundering.
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Consider the following statements regarding Prevention of Money Launde...
  • The offence under this law is mainly the laundering of money made through a crime. It has a three-part schedule of offences (or ‘predicate offences’) listing the various crimes such as terrorism, drug-trafficking, corruption and cheating that give rise to tainted money. 
  • The Supreme Court recently upheld the constitutional validity of the Prevention of Money Laundering Act, 2002.
  • The Court also upheld the “twin-conditions” for bail in Section 45 of the PMLA Act.
  • The Enforcement Directorate under the PMLA Act is not considered “police” and hence does not follow provisions of the CrPC for search, seizure, arrest, attachment of properties.
  • The Supreme Court rejected the argument that the ED should be obligated to follow the CrPC while conducting investigations.
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Consider the following statements regarding Prevention of Money Laundering Act. The offence under this law is mainly the laundering of money made through crimes such as terrorism, drug-trafficking and corruption. The cases booked under the Prevention of Money Laundering Act are non-bailable. The Enforcement Directorate under the PMLA Act is considered as “police” and hence follow the provisions of Code of Criminal Procedure (CrPC) for search, seizure, arrest, attachment of properties.Which of the above statements is/are correct?a)1 onlyb)2, 3c)1, 3d)1, 2, 3Correct answer is option 'A'. Can you explain this answer?
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