Supreme Court holds prior sanction mandatory to prosecute public servants for money laundering: Section 197 of CrPC

The Supreme Court in the case Directorate of Enforcement Etc. v. Bibhu Prasad Acharya Etc. Etc. observed and has held that section 197(1) of Code of Criminal Procedure, CrPC which provides that prior sanction from the government is required to prosecute public servants and judges for offences which are alleged while discharge of public duties, will apply to cases under the Prevention of Money Laundering Act.

The bench comprising of Justice Abhay Oka and Justice Augustine George Masih was hearing the present matter.

The bench in the case observed and has dismissed an appeal by the Directorate of Enforcement challenging the order of Telangana High Court that set aside the cognizance orders against an IAS officer which being on the ground of lack of prior sanction.

The bench headed by Justice Oka while pronouncing the judgement held that the provisions of Section 197(1) of Code of Criminal Procedure, CrPC will apply to Prevention of Money Laundering Act, PMLA.