Minister of State for Finance Pankaj Chaudhary informed the Rajya Sabha that the Enforcement Directorate (ED) filed 911 chargesheets under the Prevention of Money Laundering Act (PMLA) between 2019 and October 2024. However, convictions were achieved in only 42 cases. The highest number of chargesheets, 239, were filed in 2023.
New Delhi: In a recent statement to Parliament, the Finance Ministry revealed that from January 1, 2019, to October 31, 2024, the Enforcement Directorate (ED) filed 911 Prosecution Complaints in various courts under the Prevention of Money Laundering Act, 2002 (PMLA).
However, approximately 28% of these money laundering cases have yet to go to trial.
Minister of State for Finance Pankaj Chaudhary informed the Rajya Sabha on December 10 that the ED filed the highest number of chargesheets in 2023, totaling 239.
According to the ministry’s response,
“Out of the 911 Prosecution Complaints filed, as of now, trial is pending in 257 cases. Conviction has been secured in 42 cases for money laundering, resulting in the sentencing of 99 individuals and the confiscation of proceeds of crime.”
As of December 4, 2024, there are 106 Special Courts operating across the country under PMLA to handle these cases.
Congress MP Randeep Singh Surjewala reacted to the parliamentary update, stating on X that the “misuse of ED & PMLA cases and the massive witch-hunt stands exposed!”
He highlighted three key points:
- The ED’s conviction rate in the last five years has not exceeded 5%, with only 42 out of 911 cases resulting in convictions (4.6%).
- Of the 911 cases, only 257 (28%) have reached the trial stage, while 654 (71.7%) remain pending, indicating a “blatant witch hunt.”
- Since the NDA government took over, 911 cases have been filed compared to just 102 cases during the entire decade of UPA governance, which he argues demonstrates significant misuse of the ED.
This issue of low conviction rates under PMLA is not new. Earlier this year, the Supreme Court urged the ED to improve the quality of prosecution and evidence, emphasizing the need for scientific investigation to enhance conviction rates.
In a previous parliamentary session in August, it was reported that out of 5,297 cases registered under PMLA, only 40 convictions were secured.
The Prevention of Money Laundering Act (PMLA) serves as India’s legislative tool to address money laundering issues. The Enforcement Directorate (ED) is responsible for investigating and prosecuting offenses under this law, frequently submitting chargesheets known as prosecution complaints. Despite these efforts, the conviction rate in PMLA cases is disappointingly low, with only a small number leading to guilty verdicts.
Concerns have emerged regarding lengthy trial processes, potential misuse of the Act’s provisions, and accusations of political bias, which have led to increased scrutiny of PMLA. These issues raise important questions about judicial oversight and the accountability of the government in managing cases related to financial crimes.
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