Daijiworld Media Network - Panaji

Panaji, Sep 30: The High Court of Bombay at Goa has criticised the Enforcement Directorate (ED) for failing to make progress in a money-laundering case and granted bail to accused Rohan Harmalkar, who had been in custody for more than 15 months.

Justice S G Chapalgaonkar noted that no chargesheet had been filed in the predicate offence despite the prolonged custody, while proceedings in the Prevention of Money Laundering Act (PMLA) case had not progressed beyond the issuance of summons to a witness.

The court observed that “neither chargesheet is filed in predicate offences till this date nor prosecution could proceed in PMLA case beyond issuance of summons to the witness”. It also noted that there was “absolutely no possibility” of the trial in the predicate offence commencing in the near future.

The High Court pointed out that the ED had earlier assured the court that the trial would be concluded within four months, but the proceedings had not progressed as expected.

The Bench also referred to a Supreme Court observation that repeatedly forcing an accused to approach different courts to protect personal liberty amounts to making the person play a game of “Snake and Ladder”. The court emphasised that a citizen cannot be made to run from pillar to post to safeguard the fundamental right to life and liberty.

The High Court held that the prolonged failure to file the chargesheet weakened the presumption underlying the PMLA proceedings and warranted the exercise of its constitutional powers under Article 21 of the Constitution.

Allowing Harmalkar's bail plea, the court held that the twin conditions under Section 45 of the PMLA could be overcome in the circumstances of the case.

“...this is a fit case where the constitutional powers need to be exercised to protect fundamental right of Applicant under Article 21 of the Constitution of India,” the court said.

Harmalkar was ordered to be released on a personal bond of Rs 1 lakh with two local sureties of the same amount. He has been directed to attend all hearings, refrain from contacting or influencing witnesses, surrender his passport, if any, and not leave India without the court's permission.

The High Court clarified that its observations were prima facie in nature and confined to consideration of the bail application.

Harmalkar is accused of allegedly creating fabricated title documents and using non-existent historical sale deeds and wills to facilitate mutation of properties in favour of selected frontmen before arranging their sale to third parties.

According to the ED, it conducted searches under the PMLA, seized documents and froze bank accounts before filing its final report against Harmalkar and four others on July 31, 2025.

The case relates to alleged property-related fraud and subsequent money-laundering activities. The allegations are yet to be established before the trial court.