Section 44 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 44 decides which court tries the offence of money-laundering and the scheduled offence connected with it, how that court takes cognizance, what happens when the scheduled offence is pending in another court, and what the High Court can do on bail. It is the working section of Chapter VII on Special Courts, and anyone facing such a trial may want legal dispute resolution advice early.
This article reads it as per the consolidated text of the Act consulted (amendments shown up to 1 August 2019). Later amendments and notifications should be checked before reliance.
An offence punishable under section 4 and any scheduled offence connected to it are triable by the Special Court for the area where the offence was committed. The Special Court takes cognizance of the offence under section 3 on a complaint by an authorised authority, without committal. If investigation shows no offence of money-laundering, the authority submits a closure report to the Special Court. A scheduled offence pending in another court is committed to the Special Court on application, and the trial follows the Code of Criminal Procedure, 1973 as for a Court of Session.
What section 44(1) provides, clause by clause
Section 44(1) opens "Notwithstanding anything contained in the Code of Criminal Procedure, 1973 (2 of 1974)", so what follows overrides the Code where they differ. The sub-section has four clauses, an Explanation, and a separate sub-section (2).
Clause (a): which court tries the offence
An offence punishable under section 4 and any scheduled offence connected to the offence under that section shall be triable by the Special Court constituted for the area in which the offence has been committed. Two things are in the clause:
- the money-laundering offence (punishable under section 4, see our article on section 4); and
- any "scheduled offence connected" to it. A scheduled offence is one listed in the Schedule to the Act; the list is explained in our article on the Schedule's Indian Penal Code entries and in the site guide on scheduled offences under PMLA.
The proviso to clause (a) says that a Special Court trying a scheduled offence before the commencement of the Act continues to try it. The text prints that clause (a) was substituted by Act 2 of 2013 (w.e.f. 15-2-2013).
Clause (b): cognizance on a complaint, without committal
A Special Court may, upon a complaint made by an authority authorised in this behalf under the Act, take cognizance of offence under section 3, without the accused being committed to it for trial. The offence is the one in section 3 (see our article on section 3). The key features:
- The trigger is a complaint by an authorised authority. Section 45 separately says that the Special Court shall not take cognizance of an offence punishable under section 4 except upon a complaint in writing by the Director or an authorised officer; see our article on section 45.
- No committal. The accused need not first be committed to the Special Court for trial.
The closure report proviso. After conclusion of investigation, if no offence of money-laundering is made out requiring filing of such complaint, the authority shall submit a closure report before the Special Court. The footnote prints this proviso as inserted by Act 23 of 2019, s. 199 (w.e.f. 1-8-2019). The section says who must file it (the authority), where (before the Special Court) and when (after conclusion of investigation, if no offence is made out). It does not print what the Special Court does next, and this article does not supply it.
Clause (c): the scheduled offence is in another court
If the court which has taken cognizance of the scheduled offence is other than the Special Court which has taken cognizance of the complaint of the offence of money-laundering under sub-clause (b), it shall, on an application by the authority authorised to file a complaint under the Act, commit the case relating to the scheduled offence to the Special Court. The Special Court shall, on receipt of such case, proceed to deal with it from the stage at which it is committed.
Notice the mechanics: only the authorised authority applies; the other court "shall" commit; and the Special Court picks up from the stage reached rather than starting again.
Clause (d): trial procedure
A Special Court while trying the scheduled offence or the offence of money-laundering shall hold trial in accordance with the provisions of the Code of Criminal Procedure, 1973 as it applies to a trial before a Court of Session. This matches the deeming rule in section 46(1); see our article on sections 43 and 46-47.
The Explanation (inserted by Act 23 of 2019, s. 199, w.e.f. 1-8-2019)
The Explanation is stated to be "for the removal of doubts". It clarifies that:
| Clause | What it says |
|---|---|
| (i) | The Special Court's jurisdiction over the offence under the Act, during investigation, enquiry or trial, shall not depend on any orders passed in respect of the scheduled offence; and trial of both sets of offences by the same court shall not be construed as joint trial |
| (ii) | The complaint shall be deemed to include any subsequent complaint in respect of further investigation to bring further evidence, oral or documentary, against any accused person involved in the offence for which the complaint has already been filed, whether named in the original complaint or not |
Section 44(2): the High Court's bail powers
Nothing in section 44 affects the special powers of the High Court regarding bail under section 439 of the Code of Criminal Procedure, 1973. The High Court may exercise those powers, including the power under clause (b) of sub-section (1) of that section, as if the reference to "Magistrate" in that section includes also a reference to a "Special Court" designated under section 43.
The section names the Code and its section 439 as printed. Check the current procedural law for the corresponding provision. For what the Act itself says on bail conditions, see section 45.
Printing slips to note
- Clause (c) says "sub-clause (b)", where the provision referred to is clause (b) of the same sub-section. It is quoted as printed.
- The proviso to clause (b) is printed as ending with "; or]", and the proviso to clause (a) with "; or];". These are the bracket and linking words of the amending process and not additional conditions.
A practical example
Sunrise Metals Pvt Ltd (invented) is the subject of a cheating case, a scheduled offence, pending before a Magistrate's court. A complaint for money-laundering linked to the same funds is filed by the authorised authority before the Special Court for the area. Under clause (c) the authority may apply, and the court holding the scheduled offence must commit that case to the Special Court, which proceeds from the stage at which it is committed. Both sets of charges are then tried by one court, and by the Explanation that is not a "joint trial". If, instead, the investigation ended with the authority finding no offence of money-laundering, the proviso to clause (b) would have required a closure report before the Special Court.
If you are the accused, the Special Court's order on whether the scheduled offence and the complaint are properly together is a matter for legal advice on the facts of the case.
Need help with a PMLA trial?
When a complaint under the Act and a scheduled-offence case run in different courts, the order of events matters. We help clients map both files, check the stage reached and plan the response through legal dispute resolution.
Key takeaways
- Section 44(1) overrides the Code of Criminal Procedure, 1973 as to the matters it covers.
- The offence punishable under section 4 and any connected scheduled offence are triable by the Special Court for the area where the offence was committed.
- Cognizance of the offence under section 3 is on a complaint by an authorised authority, without committal.
- A closure report is filed before the Special Court where no money-laundering offence is made out after investigation.
- A scheduled offence pending in another court is committed to the Special Court on the authority's application.
- The High Court's section 439 bail powers are not affected, and "Magistrate" there includes a Special Court designated under section 43.
Read next
- Sections 43 and 46-47 PMLA: Special Courts, procedure and appeal
- Section 45 PMLA: bail and cognizable offences
- Section 3 PMLA: offence of money-laundering
- Scheduled offences under PMLA: complete list
Disclaimer: Based on the consolidated text of the Prevention of Money-laundering Act, 2002 published by the Enforcement Directorate, showing amendments up to Act 23 of 2019 (1 August 2019), and on the Department of Revenue consolidated copy of the Prevention of Money-laundering (Maintenance of Records) Rules, 2005 listing amendments up to 19 July 2024, as consulted on 2 October 2026. Later amendments, notifications, other rules and regulator directions should be checked. This article is general information, not legal advice; check the official text before acting.