Section 52 of PMLA : Section 52: Power Of Central Government To Issue Directions, Etc

Explanation using Example

Imagine the Central Government identifies a trend where certain types of transactions are frequently used for money laundering. To combat this, the government issues a directive to all banks and financial institutions to enhance their scrutiny of these types of transactions. This directive is issued under Section 52 of The Prevention of Money-Laundering Act, 2002, which allows the government to guide the proper administration of the Act.

However, the directive does not specify how individual cases should be handled or dictate the outcome of any specific case, thus respecting the provisos of Section 52. It also does not interfere with the discretion of the Adjudicating Authority, which means the Authority retains the ability to make independent decisions based on the facts and circumstances of each case brought before it.