India, Nov. 4 -- Profits derived from trading stock market shares, whose value was fraudulently inflated, constitute "proceeds of crime" under the Prevention of Money Laundering Act (PMLA), the Delhi high court has ruled.

A bench of justices Anil Kshetarpal and Harish Vaidyanathan Shankar delivered the verdict on Monday in the Enforcement Directorate's (ED) petition challenging the single judge's January 2023 ruling.

In the case, a single-judge bench had earlier quashed the provisional attachment order (PAO) issued by the ED, which had attached assets worth over Rs.122 crore belonging to Prakash Industries Limited (PIL) and its group company, Prakash Thermal Power Limited (PTPL).

According to the ED, the PIL had fraudulently secured th...