Dismissed

C.Sankaralingam v. the Director

Madras HC8 Nov 2024WP/31673/2024

Case brief

AI extract

What is this about?

The petitioner sought a writ of mandamus directing the Enforcement Directorate to initiate enforcement action against a private fund. The Court dismissed the petition, holding that in the absence of a registered criminal case or predicate offence, the ED cannot initiate investigation under the PMLA, and such directions are not entertainable under Article 226.

What the court decided

AI extract

C.Sankaralingam Vs the Director — Money Laundering | Madras HC (2024)

¶1

W.P.No.31673 of 2024

¶2

IN THE HIGH COURT OF JUDICATURE AT MADRAS

¶3

DATED : 08.11.2024

¶4

CORAM :

¶5

THE HONOURABLE MR. JUSTICE S.M.SUBRAMANIAM AND

¶6

THE HONOURABLE MR. JUSTICE M.JOTHIRAMAN

¶7

W.P.No.31673 of 2024

C.Sankaralingam

... Petitioner

Vs.

1.The Director, Directorate of Enforcement, Chennai Zone, Murugesa Naicker Office Complex, No.84, Greams Road, Chennai – 600 006.

¶12

2.Chennaivazh Thiruthangal Hindu Nadar Uravinmurai Dharma Fund (Regn.No.114/1960) Rep. by its Joint Secretary, No.113, P.A.N.Rajarathinam Salai, Chennai – 600 021.

¶13

3.The Principal Investigation Officer, Income Tax Department, Ayakar Bhawan, No.121, M.G. Road, Chennai – 600 034. ... Respondents

¶14

https://www.mhc.tn.gov.in/judis Page 1 of 5

¶15

W.P.No.31673 of 2024

¶16

Prayer: Writ Petition filed under Article 226 of the Constitution of India, praying for the issuance of Writ of Mandamus, directing the 1 st respondent to initiate enforcement action as against the 2 nd respondent, pursuant to the petitioner's representation dated 09.03.2024.

¶17

For Petitioner : Mr.B.Karthik For R1 : Mr.N.Ramesh Special Public Prosecutor [For Enforcement Directorate] For R2 : Mr.S.Thankasivam For R3 : Mr.A.P.Srinivas Senior Standing Counsel [For Income Tax]

¶18

O R D E R

¶19

[Order of the Court is made by S.M.SUBRAMANIAM, J. ]

¶20

The writ of mandamus has been instituted to direct the 1^st respondent /

¶21

Enforcement Directorate to initiate action against the 2^nd respondent.

¶22

The 2^nd respondent is the private fund namely Chennaivazh

¶23

Thiruthangal Hindu Nadar Uravinmurai Dharma Fund.

¶24

https://www.mhc.tn.gov.in/judis Page 2 of 5

¶25

W.P.No.31673 of 2024

¶26

Mr.N.Ramesh, learned Special Public Prosecutor appearing on

¶27

behalf of the Enforcement Directorate would submit that no predicate offence exist. In the absence of any criminal case registered, Enforcement Directorate cannot step-in under the provisions of the Prevention of Money Laundering Act, 2002 for conducting investigation.

¶28

Since there is no criminal case registered and predicate offence exist,

¶29

the direction as such sought is not entertainable.

¶30

5. Pertinently, the petitioner has already instituted a civil suit in

¶31

O.A.No.1968 of 2024, which is pending on the file of learned 13 th Additional City Civil Court, Chennai. That being the factum, the petitioner is at liberty to redress his grievances in the manner known to law.

¶32

6. However, the writ petition is not entertainable, since directions as such sought for against the Enforcement Directorate cannot be considered by this Court in exercise of the powers of judicial review under Article 226 of the Constitution of India.

¶33

https://www.mhc.tn.gov.in/judis Page 3 of 5

¶34

W.P.No.31673 of 2024

¶35

7. Thus, the Writ Petition stands dismissed. No costs.

¶36

[S.M.S., J.] [M.J.R., J.] 08.11.2024

¶37

Index : Yes Speaking order / Non-speaking order Neutral Citation : Yes

¶38

Jeni

¶39

¶40

1.The Director, Directorate of Enforcement, Chennai Zone, Murugesa Naicker Office Complex, No.84, Greams Road, Chennai – 600 006.

¶41

2.Chennaivazh Thiruthangal Hindu Nadar Uravinmurai Dharma Fund (Regn.No.114/1960) Rep. by its Joint Secretary, No.113, P.A.N.Rajarathinam Salai, Chennai – 600 021.

¶42

3.The Principal Investigation Officer, Income Tax Department, Ayakar Bhawan, No.121, M.G. Road, Chennai – 600 034.

¶43

4.The Special Public Prosecutor, High Court of Madras.

¶44

https://www.mhc.tn.gov.in/judis Page 4 of 5

¶45

W.P.No.31673 of 2024

¶46

S.M.SUBRAMANIAM, J. AND M.JOTHIRAMAN, J.

¶47

Jeni

¶48

W.P.No.31673 of 2024

¶49

08.11.2024

¶50

https://www.mhc.tn.gov.in/judis Page 5 of 5

C.Sankaralingam v. the Director

Case brief

What is this about?

What the court decided

C.Sankaralingam v. the Director

Case brief

What is this about?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

Similar cases

N.Remadevi Vs The Director

M.Arul Keerthy Vs Union Territory of Pondicherry

S.Karthick Raja Vs The Union of India

J.Vivek @ Vivekanandhan Vs State of Tamil Nadu, Rep. by

Jancy Rani Vs the Secretary to Government

Porkkodi Vs the Secretary to the Government