Delhi Court Questions ED’s Authority Under PMLA
A Delhi court has raised questions about the Enforcement Directorate’s (ED) authority to record statements under Section 50 of the Prevention of Money Laundering Act (PMLA). The issue arose during a hearing on the interim bail plea of Amit Katyal, an alleged close associate of former Bihar deputy chief minister Tejashvi Yadav, who was arrested in November 2021 in connection with the land-for-jobs scam.
The ED has been investigating allegations that people were given employment in the Indian Railways in return for land parcels gifted or sold at cheap rates to the family and associates of former Bihar chief minister Lalu Prasad.
During the hearing, Special Judge Rakesh Syal of the Rouse Avenue Court questioned whether the ED could record statements of doctors under Section 50 of the PMLA. The ED’s Additional Solicitor General, S V Raju, defended the agency’s actions, arguing that they were necessary to collect evidence and assist the court.
However, Judge Syal expressed concerns about the potential imbalance of power between the ED and individuals, such as doctors, who are approached for statements. He also raised questions about the sharing of private medical records across doctors and the potential for privacy violations.
Senior Advocate Vikas Pahwa, representing Katyal, alleged that the ED’s approach to the doctor had led to the discontinuation of medical treatment for his client. He argued that the ED must follow the Code of Criminal Procedure (CrPC) and that the doctor’s medical expertise domain should not be interfered with.
The court also questioned whether a person’s private medical records could be shared across doctors without their consent. The ED’s arguments that the proceedings were open and therefore not subject to privacy concerns were countered by Pahwa, who cited Indian Medical Council rules prohibiting the sharing of patient information with other doctors without their consent.
The arguments on Katyal’s interim bail will continue on Tuesday, and his regular bail will be heard on Thursday. The court’s questions about the ED’s authority under PMLA highlight the ongoing debate about the balance between investigative powers and individual rights.
