The Enforcement Directorate (ED) is set to appeal the Delhi High Court's decision to quash a money laundering case against news portal NewsClick and its editor-in-chief Prabir Purkayastha, arguing that the High Court 'overlooked or left unaddressed' critical contentions regarding alleged FDI rule violations and false representations to authorities.
The Delhi High Court has quashed cases registered by the Delhi Police and the Enforcement Directorate against news portal NewsClick and its editor-in-chief Prabir Purkayastha, citing that the continuation of the FIR was 'a gross abuse of the process of law' and the investment was an economic decision that 'did not spell out any criminal offence'.
NewsClick on Wednesday alleged in the Delhi high court that investigating agencies were abusing the process of law to subject it to criminal prosecution to create a "chilling effect".
The Enforcement Directorate (ED) is probing alleged fraudulent foreign funds infusion of more than Rs 86 crore into a company that runs the NewsClick portal even as it is expected to soon file a charge sheet in the case being probed under the anti-money laundering law, official sources said on Monday.
More than 750 eminent citizens, including historian Romila Thapar, economist Jean Dreze and actor Naseeruddin Shah, on Wednesday came out in support of a news website which is alleged to have received dubious funds to spread Chinese propaganda.
Justice Mukta Gupta said the interim protection granted to Prabir Purkayastha will be in force till the next date of hearing, September 2.
The CBI registered an FIR against NewsClick and its founder Prabir Purkayastha for alleged violation of the Foreign Contribution (Regulation) Act and carried out searches at the office and residence of the portal's founder on Wednesday, officials said.
The Income Tax department on Friday conducted separate 'survey operations' at the premises of online news portals Newsclick and Newslaundry in New Delhi, officials said.
Over 250 eminent citizens, including former judges and ambassadors, have written to the President and Chief Justice of India calling for strong action against online news portal NewsClick, which is alleged to have received dubious funds from American billionaire Neville Roy Singham to spread Chinese propaganda.
"He is a famous journalist and runs a digital media platform. Digital media platforms were allowed to get money from outside... The cap came the following year," Sibal argued.
The summons were sent to Singham recently on his personal email ID and also through the Chinese diplomatic channels after the ED routed them through the ministry of external affairs, the officials said.
The HC had on July 29, 2021 extended the interim protection to the portal, represented through its holding company PPK NewsClick Studio Pvt. Ltd., and Purkayastha, uptill the next date of hearing.
The Delhi high court on Thursday extended till December 17 the interim protection from arrest granted to Newsclick editor-in-chief Prabir Purkayastha in a foreign funding case and asked the Delhi police why it needed his custodial interrogation when the RBI has given a prima facie finding in his favour.
