Supreme Court to hear Senthil Balaji's plea in money laundering case on July 21

The minister and his wife have filed two separate petitions in the top court challenging the high court order by which it upheld his arrest by the ED.

The Supreme Court on Thursday decided to consider on July 21 a plea challenging the Madras High Court's order allowing the Enforcement Directorate to take Tamil Nadu minister Senthil Balaji into custody for questioning in connection with the cash-for-jobs scam.

The special leave petition filed by Balaji and his wife Megala questioned the validity of the Madras High Court's orders of July 14 and July 4, dismissing a habeas corpus petition as not maintainable.

A single judge bench had on July 14 concurred with a view a division bench judge expressed on July 4, allowing the ED to take him into custody.

Read | TN Minister Senthil Balaji shifted to Chennai's Puzhal Central Prison from private hospital

On behalf of the minister and his wife, senior advocate Kapil Sibal mentioned the matter before a bench led by Chief Justice of India D Y Chandrachud for urgent hearing.

The counsel said the matter will become infructuous if it is not heard immediately, because then he will be taken in police custody.

Solicitor General Tushar Mehta, appearing for the ED, submitted that the agency has also filed a special leave petition. Mehta said the matter may be taken up on Monday as nothing would be taken since wrong facts have been stated that the case is again posted before a division bench in the HC.

The court, however, agreed to hear the matter on July 21 in view of apprehension that he would be taken into police custody.

In the plea, Megala and Balaji sought a direction to stay both HC orders, contending that the ED is not police and has no right to seek custody. In Balaji's matter, the period of 15 days from the date of arrest is over and the ED cannot now seek his custody. The plea also stated that the entire arrest and remand in the case were illegal and contrary to law.

In the instant case, the plea contended that the High Court has failed to appreciate Section 41A (prior notice) of CrPC as an important procedural safeguard against illegal arrest of a person as it is a procedure prescribed in law in terms of Article 21 of the Constitution, required to be followed before the person can be deprived of his liberty.

In the case, the arrest has been effected in violation of Section 19 of Prevention of Money Laundering Act and the Sessions Judge, while granting remand on July 14, 2023 did not consider this factor.

Read | Tamil Nadu Minister Senthil Balaji's ED arrest, judicial custody legal: Madras High Court

"ED officers are neither ‘police officers’, nor are they deemed to be an ‘officer in charge of a police station’. As a necessary result, they are not empowered to seek ‘police custody’. Therefore, after 24 hours from arrest has elapsed, the ED can only apply for judicial custody under Section 167CrPC and cannot seek police custody," their plea claimed.

The ED arrested Balaji on June 14 in the money laundering case related to cash-for-job scam during his tenure as Transport Minister between 2011 and 2016. The action against him came after the Supreme Court in its judgement in May allowed the CBI and the ED to quiz him.

Immediately after the arrest, the Tamil Nadu minister complained of chest pain, he was admitted to a hospital where he underwent coronary artery bypass surgery.