In a Supreme Court hearing today, various petitions challenging the powers of the Enforcement Directorate (ED) under the Prevention of Money Laundering Act (PMLA) took center stage. The court declared its intention to continue the proceedings while emphasizing the potential disagreement or agreement with the Solicitor General's arguments.

The petitions involve individuals accused in various money laundering cases, making the PMLA a critical law for the country. Solicitor General Tushar Mehta, representing the Central government, raised objections during the hearing. He pointed out that amendments were made to the petitions after filing, expanding challenges from initially two provisions to seven. The central government, initially without objections, now sought an opportunity to respond to the amended petitions before the proceedings began.

The Supreme Court, on October 18, 2023, made a significant decision to review the provisions of the PMLA, rejecting the central government's plea for a month-long stay. The court justified its move, stating that the examination of PMLA provisions could be in the national interest. The central government, represented by Solicitor General Tushar Mehta, argued for a delay until the international monitoring agency FATF (Financial Action Task Force) completed its assessment of money laundering offenses.

Justice Sanjay Kishan Kaul, Justice Sanjeev Khanna, and Justice Bela M. Trivedi, comprising a special bench, dismissed the central government's request for a delay, asserting their authority to conduct a hearing. This special bench had been constituted to address issues related to the arrest, seizure, and investigation processes carried out by the ED under the PMLA.

The case had gained attention earlier when, on July 27, 2022, the Supreme Court upheld the ED's actions under the PMLA, responding to 242 petitions, including those of Karti Chidambaram and Anil Deshmukh. The bench at that time, consisting of Justice A.M. Khanwilkar, Justice Dinesh Maheshwari, and Justice C.T. Ravi Kumar, endorsed the powers of the ED, which were challenged for their alleged infringement on fundamental rights.

Senior lawyers, including Kapil Sibal, Abhishek Manu Singhvi, and Mukul Rohatgi, presented arguments critiquing the PMLA's recent amendments. Concerns included stringent bail conditions, limited information disclosure upon arrest, broad definitions of money laundering, and treating accused statements as evidence. In defense, the central government highlighted successful recoveries from individuals like Vijay Mallya, Nirav Modi, and Mehul Choksi.