Probe agencies: Karti Chidambaram ‘abused’ the law

The CBI and the Enforcement Directorate (ED) challenged the Delhi high court decision in an appeal to Supreme Court to grant interim relief to Karti Chidambaram in a Prevention of Money Laundering Act case by detailing the ‘gross abuse of process of law’.

Stating that even before Karti Chidambaram moved the SC questioning ED’s power to summon and arrest, the probe agencies said that another petition had raised similar issues before the Delhi HC where bail was granted to a person booked under PMLA and the issue was referred to a larger bench even though the ruling stated that the ED had the power to arrest.

Seeking stay on PMLA proceedings against him, Karti immediately moved an application in the SC and when relief was refused, he withdrew it to file a writ petition.

March 6 - SC issued notice on the writ petition

March 7 - Delhi HC took up a petition filed by Firestar Diamonds (belonging to Nirav Modi) challenging the ED’s power to arrest and seize assets.

A notice was issued with hearing posted on March 19.

March 8 - Karti’s request to permit him to move the HC accepted.

Following this, a 70-page petition annexing 335 pages of documents was filed with prayers completely different from what was pleaded before the SC.

March 9 - HC restrained the ED from arresting Karti and posted for hearing on March 20.

The CBI and ED accused Karti of abusing the process of law pointing out that if the latter had informed the SC that the prayer would be to challenge the ED’s power to arrest, they would have insisted on the SC deciding the issue.

However, the HC has constituted a larger bench scheduled to reconsider the settled issue on ED’s power to arrest on March 16. Also, the probe agencies’ appeal in the SC is set for hearing on Thursday.