MNLU Nagpur Hosts Guest Lecture On Fundamentals Of Money Laundering

The Centre for Criminology, Criminal Justice and Forensic Science of Maharashtra National Law University, Nagpur has organized a guest lecture titled “Fundamentals of Money Laundering: Stages, Techniques, Impact, and the Critical Role of the Enforcement Directorate” on August 14, 2025. The lecture was delivered by Adv. Mayank Makhija, Assistant Legal Advisor and Special Public Prosecutor at the Enforcement Directorate (HQ), who shared his experience and insights from handling some of the economic offence cases in the country. He has been involved in investigations and trials, including the NRHM Scam, PF Scam, Dabholkar Murder Case, proceedings against V. Senthil Balaji, Satinder Antil, Nirav Modi, Vijay Mallya, and Yadav Singh, among others. His work in these cases has involved financial analysis, cross-border evidence gathering, and courtroom advocacy. The event witnessed the participation of students across batches and threw light on topics like white-collar crimes, money laundering, and the Prevention of Money Laundering Act, 2002.

Mr. Makhija began by expressing his delight at engaging with young legal minds and emphasised that to truly understand the PMLA, one must begin with the object of the statute — to prevent money laundering and confiscate the proceeds of crime. He described the Act as a “Sui Generis” law, citing the Vijay Madanlal Choudhary v Union of India judgment to underline its preventive and curative nature.

Dispelling the misconception that money laundering simply means “converting black money to white,” Mr. Makhija clarified that it is a process involving placement, layering, and integration.

Speaking about the role of the Enforcement Directorate, he explained that the ED's jurisdiction is specific and activated only when funds originate from a scheduled offence or predicate case. Its investigative reach often extends beyond national borders, thanks to the frameworks for international cooperation. The ED not only traces and attaches the proceeds of crime but also builds prosecution-ready cases, often involving coordination with foreign jurisdictions, financial intelligence units, and domestic enforcement agencies.

Mr. Makhija walked the audience through the ED's key investigative tools — from the Enforcement Case Information Report (ECIR) to the powers under Section 50 of the PMLA, where statements recorded are admissible as judicial evidence. He emphasised that these powers are balanced by legal safeguards, including the requirement that arrests be supported by clear reasons and material evidence. He also shed light on procedural developments, such as the requirement to furnish written reasons for arrest to the accused.

He drew distinctions between ED investigations and police investigations — while the police focus on offences and assets, the ED's mandate is targeted at dismantling the financial architecture of crime. The ED's ability to presume the veracity of seized documents under Sections 22 and 24 of the Act places an evidentiary burden on the accused, but also ensures that complex financial crimes do not slip through procedural cracks.

Sharing real-world examples involving shell companies, offshore trusts, cyber-enabled frauds, and misuse of bank accounts belonging to unsuspecting individuals, Mr. Makhija explained how the ED follows money trails across jurisdictions — a task complicated by tax havens, layered ownership structures, and cross-border transactions.

Mr. Makhija explained the key provisions of the Prevention of Money Laundering Act, 2002, connecting them with real-life scenarios to illustrate their practical application. Emphasizing that 'PMLA is an organic and evolving law,' he observed that both the Enforcement Directorate's prosecution and legal wings are being fortified to address challenges. He further clarified that there exists no legal embargo on the ED's investigative powers, while underscoring that the framework of law itself ensures the availability of adequate legal remedies in instances where allegations of misuse of power are raised. He reassured that while the ED's powers are extensive, they remain subject to judicial oversight, and remedies exist to check any misuse.

The lecture concluded with a discussion on the global nature of money laundering, the threat it poses to economic stability, and the ED's role as India's agency in combating it.

The vote of thanks was warmly delivered by Mr. Naman Sharma, Member of the Centre, who, on behalf of Maharashtra National Law University, Nagpur, expressed gratitude to Mr. Makhija for taking the time to deliver such a lecture. He said the audience hadn't just heard from a speaker today, but from someone who has truly lived, fought, and excelled in the very world he spoke about. Drawing on the day's learnings, he noted with wit that while money in laundering may take a “circular route,” the path of justice—though long—remains straight; that “layering” is not just a fashion term, and “placement” is not simply about campus jobs. He observed that the Enforcement Directorate's idea of questioning in money laundering cases is nothing like what you see in a Vijay Mallya podcast—no soft questions or friendly smiles, but instead, hard facts, traced figures, and every answer tested twice.

He also expressed his gratitude to the Vice Chancellor, Prof. (Dr.) Vijender Kumar, for his guidance and encouragement; to Mr. Deepak Bhagawat, Registrar, for so kindly approving the lecture at such short notice and extending his wholehearted support; to Mr. Rahul Navin, Director of the Enforcement Directorate, for permitting Mr. Makhija to address the event; and to Dr. Aarti Tayade and Dr. Teena Sunderbanshi for their encouragement and support throughout.

The organising team included Eti Garg, Om Pramod Tale, Aditi Solanki, Kushal Pathak, Saumya Dubey, Naman Sharma, Satyam Mangal, Sayonee Mangaraj, Animish Deshpande, Prutha Veni, Kunal J. Umale, Sanya Bhatia, Shambhavi Acharya, Shivam Dubey, Himanshu Gavhane, Mitali Hawaldar.