Q. Consider the following statements regarding Prevention of Money Laundering Act (PMLA):
1) An FIR is required before starting an investigation under the act.
2) Under PMLA, burden of proving innocence is on the accused.
Select the correct answer using the codes given below
Answer: B
Notes:
Statement 1 is incorrect. : IN case of PMLA, an ECIR (Enforcement Case Information Report) is registered. It is an equivalent of the FIR, is considered an “internal document” and not given to the accused.
Statement 2 is correct. In PMLA, this burden has been shifted to the accused persons; they will have to prove their innocence. Under general law every person is innocent until proven guilty.
