Special court frames charges against former state Minister Nawab Malik, 3 others

Charges were framed against Malik and two firms – Malik Infrastructure and Solidus Investments and Sardar Khan, who is serving life imprisonment in the 1993 Bombay serial blasts case in a jail in Chhatrapati Sambhaji Nagar. Khan was produced before the court via video-conference. Malik and the two firms, through their directors or partners, pleaded not guilty in the case, paving the way for the trial against them under sections of  the PMLA. Khan, too, pleaded not guilty.

“It is evident that Accused No.1 Nawab Malik, in connivance with D-Company members — Haseena Parkar, Salim Patel, and accused Sardar Khan, participated in laundering of illegally usurped property, which constitutes ‘proceeds of crime’ under Section 2(1)(u) of PMLA. The said property has been attached under Section 5(1) of PMLA. Further, rent collected through M/s Solidus Investments Pvt Ltd and M/s Malik Infrastructure, both controlled by the Malik family, constitutes proceeds of crime within the meaning of Section 2(1)(u) of PMLA,” the court had said in an order last week, rejecting the discharge plea of one of the companies, while directing the accused to remain present on Tuesday.

Earlier in the day, the special court was informed that Malik had challenged an order passed by the court in September, seeking details of documents not relied on by the ED but part of its probe in the case.
The court was informed that the Additional Solicitor General had sought time on behalf of ED in the high court hearing and it was submitted that the agency would not press for framing of charges in the special court till the reply is filed. The special court however said that the case pertains to a former MLA, designated to be heard by a special court for trials against MPs and MLAs. It said that the court has specific directions to frame charges in these matters within four weeks, even without the presence of the accused. “In view of such directions by the high court and particularly as this court has arrived at a conclusion that there is sufficient material to frame charges, no adjournment can be granted.” the court said, while  proceeding to frame charges in the case.

The ED had in 2022 alleged that land in Goawala compound in Kurla belonging to two women – Munira Plumber and Marium Goawala – were usurped by Hasina Parkar, the sister of fugitive gangster Dawood Ibrahim, through her associate Salim Patel. The ED claimed that the power of attorney for the land was forged and it was transferred without any authorisation, and subsequently bought by Solidus, linked to Malik. The agency said the firm collected rents from tenants till 2010-11, and then the other real estate firm, Malik Infrastructure was formed for the collection of rent, repair, and maintenance of the premises.

Malik has maintained that Solidus was a bonafide purchaser of the property and there was nothing to show that he had a role in the alleged usurping of the property or proceeds of crime linked to Parkar.

What next?
Since the case pertains to an offence under the PMLA, its trial has to run simultaneously as the predicate offence-on the basis of which the PMLA case is filed. The court was informed on Tuesday that the predicate offence in this case is under the anti-terror law, the Unlawful Activities (Prevention) Act, filed by the National Investigation Agency (NIA) in Delhi against fugitive gangster Dawood Ibrahim and others. The special court in Mumbai said that since it does not right now have the powers designated under the UAPA, the Principal Judge will decide which court can hear both the cases. Malik is not an accused in the NIA case. He was granted bail in the ED case in 2023.