New Delhi, Mar 20 (UNI) The Supreme Court on Thursday expressed its inclination to transfer the money laundering case linked to the 2020 Kerala gold smuggling scandal from Kerala to Karnataka.

A bench of Justices M.M. Sundresh and Rajesh Bindal was hearing the Enforcement Directorate’s (ED) transfer petition, filed in 2022, seeking to shift the trial from the Special PMLA Court in Ernakulam to a Special PMLA Court in Karnataka.

Justice Sundresh remarked that the allegations were serious and questioned why the ED had not yet pushed for the transfer. The Court also noted that the plea for transfer should not be opposed.

The state of Kerala, represented by senior advocate Kapil Sibal, initially sought a passover, but later opposed the transfer.

Sibal argued that since the investigation was complete and charges had been framed, relocation was no longer needed. He also questioned the ED’s shifting stance, stating that the agency initially sought Karnataka but later reconsidered after a change in the Karnataka government in 2023.

Justice Sundresh said the case could be transferred to Karnataka and directed the ED to issue notices to newly added accused persons to avoid future legal objections.

The case originates from July 2020, when the Customs Commissionerate (Preventive) seized gold worth Rs 14.82 crore at Trivandrum International Airport. The smuggled gold was concealed in diplomatic baggage addressed to the UAE Consulate in Thiruvananthapuram.

The ED, in its transfer petition, argued that a fair trial in Kerala is not possible due to the close nexus between the accused and top government officials.

Among the key accused are M Sivasankar – Former Principal Secretary to the Kerala Chief Minister, PS Sarith – Former UAE Consulate employee, Swapna Suresh – Key accused who alleged threats from officials, Sandeep Nair – Accused who later alleged coercion by ED officials.

The ED claimed that the Kerala Police was attempting to derail the trial and pressuring accused persons to retract their statements. The Kerala Government even filed an FIR against ED officials, alleging fabrication of evidence, but the Kerala High Court stayed the FIR proceedings and also halted a judicial commission set up by the Kerala Government against the ED probe.

The Supreme Court adjourned the matter for two weeks, directing the ED to implead the newly added accused persons before proceeding further with the transfer decision. UNI SNG SSP