PMLA case over land deal: Firm linked to Nawab Malik seeks discharge

Mumbai, Apr 18 (PTI) A real estate company run by kin of former Maharashtra minister Nawab Malik moved a discharge application on Thursday before a Mumbai court in a money laundering case.

The ED's case against Malik and firms linked to him is based on an FIR filed by the National Investigation Agency (NIA) against Dawood Ibrahim, a designated global terrorist and a key accused in the 1993 Mumbai serial bomb blasts, and his associates under the Unlawful Activities (Prevention) Act.

The ED had arrested Malik in February 2022 in the case. He is currently out on bail.

The company, Malik Infrastructure, which moved a discharge application before a special judge, claimed it was indicted by Enforcement Directorate based on "non existing material" and that the probe agency's case rests "on surmises and conjectures".

"The prosecution complaint (chargesheet) filed by ED and the material collected amassed multiple volumes. However, non existing material is pressed by the ED against the applicant firm and evidently it appears to be baseless and rests on surmises and conjectures," the plea said.

It suffers from "inadequacy of genuineness and incidental facts and material are demonstrably scant and exist only to implicate the firm in the PMLA case", the application further stated.

As per the prosecution, Nawab Malik acted in connivance with Hasina Parkar (fugitive gangster Dawood Ibrahim's sister), as well as Salim Patel and Sardar Khan to illegally usurp properties located in Goawala compound in Kurla.

It is alleged the proceeds of crime (PoC) were further multiplied by way of "collecting" and "genuinising" rent through Solidus Investments Private Limited and Malik Infrastructure, which are controlled by Nawab Malik's family.

Hence, rent income generated and collected by the Malik family is to be labelled as proceeds of crime, as per the prosecution.

Solidus collected rent up to 2010-11, after which Malik Infrastructure was formed, which then entered into a lease agreement with the former and allegedly controlled rent collection.

Malik Infrastructure, in its plea, claimed the portion of land leased to it was not part of alleged land deal executed between Solidus and Dawood Ibrahim's aides.

The rental income of the land being claimed and portrayed as POC is based on "a misplaced notion" and, hence, the indictment of the firm needs to be rejected, the plea by Malik Infrastructure said.

The court has sought the response of ED and posted the matter for hearing on June 10. PTI AVI BNM