Bail under PMLA for Women

Context: The Supreme Court has granted bail to a woman as an exception in the Prevention of Money Laundry Act (PMLA).

Relevance of the Topic:Prelims: Key facts about Bail Provisions under PMLA.

Bail Provisions under PMLA

Section 45: Section 45 of the Act makes the offences punishable for more than 3 years cognisable and non bailable.
The negative language in the Act shows that bail is not the rule but an exception under PMLA.
The Act makes it mandatory to hear the public prosecutor and if the prosecutor opposes bail, the court is required to apply the twin test.
These two conditions are:
- There are reasonable grounds for believing that the accused is not guilty of such offence; and
- He is not likely to commit any offence while on bail.

There is an exception to this stringent bail standard, which applies to minors, women, and sick people. It says that provided that a person, who is under the age of sixteen years or is a woman or is sick or infirm, may be released on bail on the direction of Special Court.
This exception is similar to provisions in the Indian Penal Code that provide special consideration for women and minors.

Delhi HC (2023): Preeti Chandra (Wife of Sanjay Chandra, Unitech Group) granted bail despite being well-educated and belonging to a high social stratum.
- HC ruled that no subclassifications of women (E.g., household lady) should restrict the provision.
- The court criticised the attempt to create sub-classifications within the broader category of "woman," deeming it misconceived.
- The Court however specified that to be eligible for bail, the accused must not be a flight risk or likely to tamper with witnesses.
Delhi Trial Court (April 2024): Interim bail denied to K. Kavitha in the Delhi excise scam case.
- The judge deemed it neither "mandatory" nor "obligatory" to apply the exception for women, especially for well-placed individuals.
Allahabad HC (September 2024): Bail denied to Shashi Bala, with the court ruling she did not qualify as a "vulnerable woman" and her alleged close association with Naseem and the significant magnitude of the fraud.
Supreme Court (January 2025): Shashi Bala appealed the HC decision, and subsequently she has been granted bail by the SC .
- SC remarked that prolonged incarceration (held in jail for a long time without trial) under the PMLA by ‘hook or by crook’ is not acceptable.

UPSC PYQ 2021:

Q. With reference to India, consider the following statements:

1. When a prisoner makes out a sufficient case, parole cannot be denied to such prisoner because it becomes a matter of his/her right.

2. State Governments have their own Prisoners Release on Parole Rules.

Which of the statements given above is/are correct?

(a) 1 only

(b) 2 only

(d) Neither 1 nor 2

Answer: (b) 2 only