Delhi HC rules profits from bribe money investments in shares are proceeds of crime.
Court states augmented value remains linked to the original illicit source.
Money laundering offence continues through layering and integration into the economy.
The Delhi High Court has ruled that any profits generated from investing bribe money in the stock market would be considered proceeds of crime and constitute an offence under the money laundering law, PTI reported.
The court observed that an increase in value does not cleanse the tainted source, noting that “the augmented value is inextricably and indirectly derived from the original illicit source of bribe.”
A bench comprising Justices Anil Kshetarpal and Harish Vaidyanathan Shankar, in its November 3 judgment, explained that “the offence of money laundering being continuing in nature is not confined only to the initial act of criminal acquisition but also extends to every process or activity connected with the proceeds, including layering through multiple transactions, integration into the legitimate economy and projection of the acquired wealth as lawful.”
The verdict reinforces the principle that profits earned from illicit funds, even after being invested and multiplied, remain tainted and fall within the ambit of money laundering offences, PTI reported.
(With inputs from PTI)
