01/07/2026
Arvind Dham v. Directorate of Enforcement Criminal Appeal No. 47 of 2026
Court: Supreme Court of India
Bench: Justice Sanjay Kumar and Justice Alok Aradhe
Date of Judgment: January 6, 2026
1. Background & Facts
The Accused:
Arvind Dham, former Chairperson and promoter of the Amtek Group.
The Allegations:
The Enforcement Directorate (ED) initiated a money laundering probe based on FIRs by the CBI (IDBI Bank and Bank of Maharashtra complaints). The allegations involved a bank fraud of approximately ₹27,000 crore, diversion of loans to shell companies, and creation of false assets.
Arrest: Dham was arrested by the ED on July 9, 2024, and remained in custody since then.
Procedural History:
The Delhi High Court rejected his regular bail application on August 19, 2025, citing the gravity of the economic offence and the risk of tampering with evidence.
Dham approached the Supreme Court challenging the High Court's order.
2. Issues Before the Court
Whether the gravity of the alleged economic offence (₹27,000 crore fraud) justifies the continued incarceration of the accused without a trial.
Whether the statutory restrictions on bail under Section 45 of the Prevention of Money Laundering Act (PMLA), 2002, are subject to the fundamental right to a speedy trial under Article 21 of the Constitution.
3. Supreme Court’s Decision
The Supreme Court allowed the appeal, set aside the Delhi High Court's order, and granted bail to Arvind Dham.
4. Key Reasoning & Ratio Decidendi
Primacy of Article 21 (Right to Speedy Trial):
The Court held that the right to a speedy trial under Article 21 is not eclipsed by the nature of the offence or statutory restrictions (like Section 45 of PMLA). Prolonged incarceration without the commencement of the trial effectively converts pre-trial detention into "punishment," which is impermissible.
Economic Offences Not a "Homogeneous Class":
The Bench rejected the argument that economic offences form a separate, monolithic class warranting a blanket denial of bail. While economic offences are serious, they must be judged on individual facts, particularly regarding the length of incarceration.
Delay in Trial:
The Court noted that:
Dham had been in custody for about 18 months (since July 2024).
The trial had not even commenced; the court had not yet taken cognizance of the prosecution complaint, and the matter was still at the stage of document scrutiny.
With 210 witnesses cited by the prosecution, there was no realistic likelihood of the trial concluding in the near future.
Nature of Evidence:
The evidence in the case is primarily documentary and already in the custody of the prosecution, reducing the risk of tampering.
5. Conditions Imposed
While granting bail, the Court directed that:
Dham must surrender his passport to the authorities.
He must provide a mobile number to the ED officers to ascertain his whereabouts.
Other terms and conditions of bail are to be fixed by the Trial Court.
Significance of the Judgment
This judgment reinforces the legal principle that in PMLA cases, Section 45 (twin conditions for bail) cannot be used to keep an accused in indefinite detention if the trial is not progressing. It aligns with recent precedents like Manish Sisodia v. ED and Javed Gulam Nabi Shaikh v. State of Maharashtra, emphasizing that "bail is the rule, jail is the exception" even in serious economic offences when there is a violation of the right to a speedy trial.