New Delhi, Oct 4 (UNI) The Supreme Court on Friday stayed a Madras High Court order by which it had recalled its earlier order to quash a money laundering case against retired police officer M S Jaffar Sait and decided to examine the High Court’s U-turn.
A Bench comprising Justice Abhay S Oka and Justice Augustine George Masih said that it would examine how the High Court restored the case after it had initially quashed it.
The bench said, “We direct that orders based on Enforcement Case Information Report to be stayed.”
The Court directed that “several issues have to be looked into including the manner in which High Court had passed orders.”
The matter will be heard again on November 22.
The case pertains to a money laundering case filed by the Enforcement Directorate (ED) against Sait, a retired Indian Police Service (IPS) officer.
The case against Sait involves allegations that he illegally acquired a Tamil Nadu Housing Board plot in 2011.
A corruption case was registered against Sait by the Directorate of Vigilance and Anti-Corruption (DVAC) which was quashed by the Madras High Court in 2019.
Sait then moved the High Court seeking the quashing of the ED’s complaint in the matter as well.
On August 21, a Bench comprising Justice S M Subramaniam and Justice V Sivagnanam quashed the ED’s complaint in the matter against Sait after noting that the predicate case (DVAC case) had already been quashed.
Two days later, on August 23, the same Bench recalled its August 21 order and decided to re-hear the matter on merits.
This was done after another Bench of Justice Subramaniam and Justice R Sakthivel questioned the ED on money laundering cases fizzling out before reaching their logical conclusion, owing to the quashing of the predicate offence FIRs.
Sait then moved the Supreme Court against the same.
The Supreme Court had on September 6, while hearing Sait’s appeal, directed the Registrar General of the Madras High Court to submit a detailed report in a sealed cover regarding the handling of the case.
During the hearing on Friday, the Apex Court was informed by the ED that the predicate offence continues to survive against another accused.
“It does not survive against me,” Senior Advocate Sidharth Luthra appearing for Sait said.
The Court then said that the issues require deeper examination and stayed the money laundering proceedings against Sait.
