Bombay High Court Acquits NCP Leader’s Chartered Accountant in Bhujbal Money-Laundering Case
The Bombay High Court on Friday acquitted chartered accountant Shyam Radhakrishna Malpani, 62, in a money-laundering probe linked to Maharashtra minister Chhagan Bhujbal and his family. A bench led by Justice R N Laddha ruled that the Enforcement Directorate (ED) failed to produce sufficient material establishing Malpani’s involvement in any alleged criminal conspiracy or fund diversion, terming the agency’s allegations as “bare assertions” without supporting evidence.
Malpani had served as the statutory auditor for several Bhujbal-connected companies and was accused of not reporting suspicious transactions, thereby allegedly aiding money laundering. The ED claimed he facilitated concealment and layering of illicit funds while performing his duties .
However, the High Court noted that Malpani had not been named in any FIR or ECIR registered by the Anti-Corruption Bureau (ACB) or Taloja Police in June 2015, unlike other accused. His defense, spearheaded by Senior Counsel Pranav Badheka and advocate Prashant Pawar, argued that since Bhujbal and his family were already discharged by a Special Court, no basis existed to continue pursuing Malpani .
The ED contended that Malpani wilfully ignored warning signs and neglected to exercise proper professional responsibility. But the court rejected these claims, stating that due-diligence lapses could not be elevated to money laundering in the absence of clear nexus to criminalities.
The court’s order immediately ends proceedings against Malpani, reinforcing that responsibility for illicit financial transfers rests on demonstrable intent and involvement. There has been no immediate reaction from the ED.
Chhagan Bhujbal, a senior NCP leader and former Maharashtra minister, was accused of money laundering relating to Maharashtra Sadan construction and land transactions. While Bhujbal and his family have been acquitted by lower courts, Malpani had faced ED charges based on alleged lapses during audits. This acquittal underscores judicial scrutiny over the scope of liability for financial professionals in high-profile money laundering cases.
