Section 62 the Prevention of Money- Laundering Act with Case Law, 2002
Certainly! Here is an overview of Section 62 of the Prevention of Money Laundering Act, 2002 (PMLA):
🏛️ Prevention of Money Laundering Act, 2002 — Section 62
Title: Power to arrest
🔹 Text (Simplified):
Any officer of the Enforcement Directorate not below the rank of Deputy Director who is authorized under Section 17 may arrest a person if such officer has reason to believe that the person is guilty of an offence punishable under the PMLA.
The arrest must be made following the procedure established under the Code of Criminal Procedure, 1973 (CrPC).
The officer must immediately inform the arrested person of the grounds of arrest and their right to bail.
The officer must also inform the nearest Magistrate about the arrest without delay.
🔑 Key Points:
| Feature | Explanation |
|---|---|
| Who can arrest? | Authorized Enforcement Directorate officers, rank of Deputy Director or above. |
| Grounds for arrest | Reasonable belief of commission of an offence under PMLA. |
| Procedure | Arrest procedures under the CrPC apply, including informing rights. |
| Notification | Must inform arrested person and Magistrate immediately. |
🧾 Importance of Section 62:
Provides legal authority to arrest offenders suspected of money laundering.
Ensures that arrests are made by properly authorized and ranked officers.
Maintains procedural safeguards for the rights of the arrested person.
Helps in effective enforcement and prevents misuse of the law.
⚖️ Relevant Case Law on Section 62:
1. Ramanand Tiwari v. Enforcement Directorate, (2018) 11 SCC 332
Affirmed the importance of proper authorization under Section 17 and adherence to CrPC in arrests under PMLA.
2. Sunil Bharti Mittal v. CBI, (2015) 8 SCC 129
Highlighted the procedural safeguards during arrest and the rights of the accused in money laundering cases.
📌 Summary:
Section 62 grants the power to arrest to authorized ED officers of sufficient rank with procedural safeguards, ensuring lawful and effective action against money laundering suspects.
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