Supreme Court Issues Notice to NewsClick, Editor Prabir Purkayastha in ED Appeal

New Delhi: The Supreme Court of India on Friday intervened in the ongoing legal battle surrounding the news portal NewsClick, issuing a formal notice to the organization and its editor-in-chief, Prabir Purkayastha. The apex court’s decision comes in response to an appeal filed by the Enforcement Directorate (ED), which is challenging a May 29 verdict by the Delhi High Court that effectively closed a high-profile money laundering case against the entity.

A three-judge bench, presided over by Chief Justice of India (CJI) Surya Kant and including Justices Joymalya Bagchi and V Mohana, reviewed the petition. After initial proceedings, the bench scheduled the next hearing for December 14, marking a significant development in the scrutiny of the portal’s financial and operational activities.

Background of the Controversy

The legal troubles for NewsClick began when the Economic Offences Wing (EOW) of the Delhi Police initiated a probe into allegations of illicit foreign funding. Investigators alleged that PPK NewsClick Studio Private Limited, the portal’s parent company, had received substantial financial infusions from entities based in the United States. According to the prosecution, these funds were part of a larger design intended to undermine India’s national stability and sovereign integrity.

Following these allegations, the Delhi Police invoked the Unlawful Activities (Prevention) Act (UAPA), a stringent anti-terror law, to build a case against the portal. Acting on the findings of the police investigation, the Enforcement Directorate launched a parallel probe in 2020, focusing on the Prevention of Money Laundering Act (PMLA).

The High Court Verdict

The situation reached a turning point on May 29, when the Delhi High Court delivered a significant relief to the accused by quashing both the FIR filed by the Delhi Police and the subsequent money laundering case initiated by the ED. The High Court’s decision to dismiss the proceedings effectively halted the central agencies’ momentum, prompting the ED to escalate the matter to the Supreme Court.

During Friday’s hearing, the Supreme Court was also apprised that the Delhi Police is currently in the process of filing a separate appeal against the same High Court judgment. This indicates that the investigative agencies are working in tandem to reinstate the charges and challenge the legal grounds upon which the High Court quashed the investigation.

Significance of the SC Hearing

The upcoming hearing on December 14 is expected to clarify whether the apex court will stay the High Court’s order or permit the lower court’s decision to stand while the legal debate continues. The case has become a focal point for discussions regarding press freedom, the scope of anti-terror legislation in financial investigations, and the extent of governmental oversight regarding foreign contributions to media organizations in India.

As the legal proceedings progress, the Supreme Court’s stance will be closely watched by legal experts and media bodies alike, as it will likely establish precedents on how investigative agencies manage cases involving foreign funding of digital media platforms. For now, the stay of the High Court’s order remains a key point of contention that the Supreme Court will adjudicate in the winter session.

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