SC declines relief to TMC in ED bank account freeze case, cites 'balanced order'

New Delhi: Supreme Court on Tuesday upheld the Calcutta High Court's refusal to grant interim relief to the Mamata Banerjee-led Trinamool Congress faction in its plea challenging the freezing of its bank accounts by the Enforcement Directorate (ED).

A bench of justices MM Sundresh and PB Varale said the high court passed a balanced order after noting that the party has sufficient funds available to run its day-to-day affairs.

The bench said that since the matter, including a plea related to the freeze ordered on TMC's accounts by the West Bengal Police, is pending before the high court, any discussion on the merits would not be appropriate. "We are not inclined to interfere in both the matters," the bench said.


Also read: SC allows TMC MP Abhishek Banerjee to travel abroad for three weeks for eye treatment

At the last hearing, the bench had sought ED's response on whether a limited amount from the frozen bank accounts could be released to a court-appointed administrator to meet the party's day-to-day expenses.

On Tuesday, appearing on behalf of TMC, senior advocate Kapil Sibal argued that while the alleged proceeds of the crime are ₹160 crore, the bank accounts have more than ₹400 crore in them. He argued the agency has frozen more than the alleged proceeds of the crime. "They are also freezing the recipient account. This is not fair," he said.

Countering the claim, the counsel for the Centre argued that the party is protected as far as the operation of the accounts for day-to-day expenses is concerned. The counsel said almost ₹120 crore is available and also pointed to the ongoing dispute within the party.

Senior advocate Menaka Guruswamy, also representing TMC, said the accounts available to the party are meant for certain specific purposes.

Senior advocate K Parameshwar, representing a rebel TMC MLA on whose complaint the party bank accounts were frozen, said only one faction cannot be allowed to operate the accounts. "We come to know that this is what's happening. We file a complaint alleging large scale financial mishandling. The section which claims itself to be TMC hasn't filed a single affidavit saying how much money they have etc. The arrangement worked out by the HC severely prejudices me. After the elections, there were elections to the apex body of TMC. Today, who the TMC is in doubt," Parameshwar said.

Also read: Govt considering sending FCRA Bill to joint committee of Parliament for further scrutiny: Sources

"We are saying we are TMC. If we are TMC then only one faction cannot be allowed to operate the bank accounts through the interim arrangement," he said. However, the bench refused to go into the issue of factionalism.