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<h1>Confiscation Orders Under PMLA 2002: Property Rights Transfer to Government; Encumbrances May Be Declared Void</h1> When a confiscation order is issued under specified sections of the Prevention of Money-Laundering Act, 2002, all rights and titles in the concerned property transfer to the Central Government, free of encumbrances. If the Special Court or Adjudicating Authority finds that any encumbrance or lease-hold interest was created to circumvent the Act, it can declare such interests void, ensuring the property vests with the government unencumbered. However, this does not absolve individuals from liabilities related to such encumbrances, which can be pursued through a suit for damages.