The Bombay High Court on Wednesday granted bail to former Indian Revenue Service (IRS) officer Sachin Sawant, who was arrested in a money laundering case. The court cited the merit of his case and the extended duration of his incarceration as reasons for the bail, noting the unlikelihood of a swift trial.
Sawant, 43, a former Joint Commissioner of Customs, was arrested on June 27, 2023, on charges of acquiring assets disproportionate to his known sources of income. The Anti-Corruption Bureau (ACB), Mumbai, registered an FIR against him under several sections of the Prevention of Corruption Act, 1988, including charges related to the prohibition of money laundering activities and the acquisition of disproportionate assets.
The allegations pertain to the period between January 2011 and August 2020, during which Sawant is accused of amassing assets worth ₹2.45 crore beyond his legitimate income. Investigations revealed that a significant portion of his wealth was used to purchase a flat under the name of M/s Seven Hills Constrowel (India) Pvt. Ltd., with funds routed through loans and family accounts.
Further examination of Sawant’s bank accounts suggested that cash deposits, allegedly from illegal sources, were used to repay these loans, raising concerns about the origins of the funds. Investigators claimed Sawant received substantial sums in cash during his time in various government departments, which were channeled through family accounts and used to purchase assets.
However, Sawant’s defense team, led by advocates Ashok Mundargi, Niranjan Mundargi, and Mithilesh Mishra, argued that procedural errors had occurred, including an unsigned FIR and insufficient material in the remand application to justify his arrest. They further pointed out that statements under the Prevention of Money Laundering Act (PMLA) were recorded after the arrest, suggesting a predetermined stance by the authorities.
Despite the Enforcement Directorate’s (ED) assertion that there was clear evidence of money laundering, Justice Manish Pitale granted bail, concluding that Sawant met the “twin test” under Section 45 of the PMLA, indicating a reasonable chance of innocence and no risk to the ongoing investigation.
