The Delhi High Court has made it clear—being related to someone accused under money laundering laws does not give the State a free pass to block international travel.
The ruling came while striking down a Look Out Circular (LOC) against British citizen of Indian origin, Puja Chadha, who had flown to Delhi earlier this year to see her mother but instead found herself detained at the airport overnight, her documents seized, and her freedom of movement curtailed.
The Enforcement Directorate claimed Chadha had handled overseas transactions linked to her estranged uncle, businessman Sanjay Bhandari, wanted under the Black Money Act and PMLA cases. But the Court was unimpressed.
Justice Sachin Datta underscored that sweeping grounds such as “economic interests of India” or “larger public interest” cannot be stretched to cover speculative assumptions. “Expressions of such wide amplitude must be applied with reasonableness and backed by tangible material,” the Court said, adding that familial connection alone is not enough to justify an LOC.
Chadha’s lawyers argued that despite her husband’s name appearing in a supplementary complaint, she herself had never been accused in any proceeding. The Court agreed, noting that her detention not only breached LOC guidelines but also became pointless once her visa expired.
In a balanced move, Justice Datta allowed her to return to the UK, but only after filing an undertaking to assist investigators whenever required. Any breach of that assurance, the Court warned, would attract contempt action.
With this decision, the High Court reaffirmed a crucial principle: travel restrictions must rest on evidence, not conjecture, and personal liberty cannot be clipped merely by association.