The Delhi High Court on Thursday issued notice to Aam Aadmi Party (AAP) leader Amanatullah Khan on a petition filed by the Enforcement Directorate (ED) challenging his release by a trial court in a money laundering case.
The single-judge Bench of Justice Vikas Mahajan directed the trial court to defer the proceedings in the case and listed the matter for further hearing on March 21.
On November 14, 2024, Special Judge Jitender Singh of the Rouse Avenue Courts had ordered the release of Khan in a case related to alleged irregularities in the Delhi Waqf Board recruitment and for purchase of properties during his chairmanship.
The trial court pointed out that the mandatory government sanction as per Section 197 of the Code of Criminal Procedure (CrPC) was not obtained by the investigating agency.
Section 197 CrPC provided that when a public servant committed an offence while acting in discharge of his official duty, no court should take cognisance of such offence, except with previous sanction of the competent government.
The Special Judge observed that though there were sufficient grounds to proceed against Khan, it could not take cognizance due to lack of mandatory government sanction.
The Rouse Avenue Courts further observed that government sanction was a necessary requirement to take cognizance in this case, since Khan was a public servant against whom the corruption charges were made in discharge of his office duties as the Delhi Waqf Board chairman.
Appearing for ED, Advocate Zoheb Hossain today contended that cognisance was already taken in the main case. Noting that a prima facie offence was made out against Khan, the Counsel said that lack of sanction was a curable defect. Sanction has been taken with respect to the predicate offence, he added.
Advocate Hossain further submitted that the trial court judge failed to notice that this was not a case of complete lack of sanction. On a given opportunity, the ED would have placed the on record the sanction taken in respect of the predicate offence.
The Counsel said that the allegations pertained to the release of Waqf properties as well as appointments made in the line of bribe. Since these actions were not performed by Khan in discharge of his official duty, no sanction was required, he added.
The High Court sought response of Khan over the ED plea and deferred hearing in the trial court.
Special Judge Jitender Singh of the Rouse Avenue Courts held in 2024 that there was no legal ground to justify further detention of Khan in custody.
The court refused to take cognisance of the supplementary charge sheet filed by ED against Khan under the Prevention of Money Laundering Act (PMLA) over lack of requisite sanction in terms of Section 197 (1) of Cr.P.C.
It said keeping the accused in custody, when the cognisance has been declined for the absence of sanction under Section 197 (1) Cr.P.C., would tantamount to illegal custody. The judge added that no sanction from the competent authority or Government was placed on record against Khan.
Exercising power under Section 59 of Cr.P.C. (analogous Section 60 of BNSS, 2023), the Rouse Avenue court ordered the release of Khan on a personal bond of Rs one lakh with one surety of the like amount, for securing his presence in case the sanction was obtained and filed by the complainant in future.
The Judge further held that there was no evidence to proceed against one Mariyam Siddiqui, also named as an accused in ED’s supplementary charge sheet.
As per the national agency, Khan, while working as Chairman of the Delhi Waqf Board, illegally recruited various people in violation of norms and government guidelines.
Khan also acquired huge proceeds of crime in cash from illegal recruitment of staff in the Delhi Waqf Board and invested the same to purchase immovable assets in the name of his associates, adde the agency.
ED had arrested Khan on September 2 after conducting search at his residence.
On March 11, a coordinate Bench denied bail to the AAP leader. On April 23, the Supreme Court refused to entertain his petition against the verdict.