Resons to Believe and Steps to be taken

Court :- Delhi High Court , Citation :- http://lobis.nic.in/ddir/dhc/SMD/judgement/11-01-2018/SMD11012018CW53202017.pdf

The Division Bench of the Delhi High Court in the case of J Sekar vs. Union of India & Ors, W.P. (C) 5320/2017, held as under:

“The reasons to believe at every stage must be noted down by the officer in the file.”….

“A copy of such complaint accompanied by the reasons, as found in the file, must be served by the AA upon the person affected by such attachment after the AA adds its own reasons why he prima facie thinks that the provisional attachment should continue.”…

75. There are two reasons to believe. One recorded by the officer passing the order under Section 5(1) PMLA and the other recorded by the AA under Section 8(1) PMLA. Both these reasons to believe should be made available to the person to whom notice is issued by the AA under Section 8(1) PMLA. The failure to disclose, right at the beginning, the aforementioned reasons to believe to the noticee under Section 8(1) PMLA would not be a mere irregularity but an illegality. A violation thereof would vitiate the entire proceedings and cause the order of provisional attachment to be rendered illegal.”

http://lobis.nic.in/ddir/dhc/SMD/judgement/11-01-2018/SMD11012018CW53202017.pdf

By

Vijay Pal Dalmia, Advocate
Supreme Court of India and High Court

Mobile: +91 9810081079

Email: vpdalmia@gmail.com

Connect With Us Social Media