Judgments & Authorities


Court :- Delhi High Court , Citation :- MANU/DE/0166/2016

The issue, i.e. whether property acquired by the person from the proceeds derived from an offence before the inclusion of such offence in the schedule of scheduled offence under Prevention of Money Laundering Act 2002 (PMLA) (AML in India) can be attached, came before the Single Bench of the Delhi High Court in the case of *Mahanivesh Oils & Foods Pvt. Ltd. vs. Directorate of Enforcement, W.P.(C) 1925/2014 and CM No. 4017/2014 [MANU/DE/

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Validity of Writ under Article 226 of the Constitution of India, when alternate efficacious remedy is available under the Prevention of Money Laundering Act (PMLA)

Court :- High Court of Delhi , Citation :- Barik Biswas vs Union of India & Ors.
Accused was found with gold over 44.65 K.G. in his car by the officers of Directorate of Revenue Intelligence (for short "DRI"), which was seized by DRI officials. A case was registered under PMLA, and the accused were served with a show cause notice under PMLA.
On 21.05.2015 the petitioner received a provisional attachment order, attaching various movable and immovable properties, by the Enforcement Department under Section 5 of the PMLA, a
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Release of Property attached under PMLA : Where Proceeds of Crime is not established in Trial

In the matter of P. Vijayalakshmi  Vs. The Deputy Director Enforcement Directorate Bangalore the issue before the PMLA Appellate Tribunal was Whether a property shall be attached as proceeds of crime if the scheduled offences under which one is charged for having proceeds of crime is not established after the trial?
The Adjudicating Authority has to consider if there is a case of money laundering and whether the property being attached is involve
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Validity of Section 45 of the PMLA : Effect of Pendency of SLP in the Supreme Court of India

Court :- HIGH COURT OF GUJARAT AT AHMEDABAD , Citation :- Criminal Misc. Application (For Regular Bail) No. 22552 of 2015 Decided On: 25.02.2016
In this case of Madanlal Manekchand Jain Vs.  State of Gujarat and Ors., the validity of Section 45 of the PML Act, 2002 was questioned. The applicant contended that as a special leave petition is pending before the Supreme Court for final hearing, the applicant should be granted interim bail. The applicant in the above case who has been proven guilty of money laundering which is a cognizable offence as per section 45 of the PML Act, and according to the provisions of the above ment
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Fair Market Value & PMLA

Court :- HIGH COURT OF ANDHRA PRADESH AT HYDERABAD , Citation :- [2011]164CompCas149(AP)
In the above case of B. Rama Raju, S/o B. Ramalinga Raju Vs. Union of India (UOI), [MANU/TN/1696/2011]; [(2012)1MLJ419], it was held that
……….. It is therefore clear that where a property is provisionally attached under Section 5, the person in possession of such property may avail the opportunity under Section 8 to indicate/establish that he has acquired the property attached (prima facie the proceeds of crime) out of his lawful
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Effect of failure of ED to mention reasons in the show cause notice, against provisional attachment

Court :- High Court of Bombay , Citation :- Brizo Reality Company Pvt. Ltd. Vs. Aditya Birla Finance Ltd.
This issue was before Hon’ble Mr. J. S.J. Vazifdar and Mr. J. A.K. Menon in the matter of Brizo Reality Company Pvt. Ltd. Vs. Aditya Birla Finance Ltd.
This was a writ petition against the orders of the directorate of enforcement for the provisional attachment applicants’ property under the prevention of Money Laundering Act, 2002. The order of ED stated that investigation was required to find the source the funds of M/s Aastha Minmet Indi
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Mandatory conditions for Provisional Attachment

Court :- HIgh Court , Citation :- Sarosh Munir Khan Vs.The Deputy Director, [534/MUM/2013],
In the case of Sarosh Munir Khan Vs.The Deputy Director, [534/MUM/2013], it was held as under:
  "17. However, the following conditions are required to be satisfied before a provisional attachment order is passed by the Director or any other Officer authorised by him occupying a rank not below that of a Deputy Director; 
(1) There should be adequate material before such Officer,
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Attachment of 3rd Party Properties

Court :- HIgh Court , Citation :- SaroshMunir Khan Vs.The Deputy Director, [534/MUM/2013]
Under PMLA, even the property of any person may be attached under Section 5(1) 2nd Proviso, if the designated officer has reason to believe that the property in possession of such person is involved in Money-Laundering, and the non-attachment will frustrate any proceedings under the Act.....
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