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Court rules informers lack right to obtain adjudication order under FEMA; 'person aggrieved' excludes informers. The Court held that under the Foreign Exchange Management Act, informers do not have the right to obtain a copy of the adjudication order. The term ...
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Court rules informers lack right to obtain adjudication order under FEMA; "person aggrieved" excludes informers.
The Court held that under the Foreign Exchange Management Act, informers do not have the right to obtain a copy of the adjudication order. The term "person aggrieved" in Section 17 was interpreted to exclude informers, limiting their role to reporting violations. The Court dismissed the writ petition, stating that informers cannot challenge orders under Section 17 but suggested pursuing the order copy under the Right to Information Act. This decision clarifies the distinction between informers and complainants, emphasizing the limited rights of informers regarding adjudication orders under FEMA.
Issues: 1. Entitlement of the petitioner to obtain a copy of the adjudication order under the Foreign Exchange Management Act, 1999 (FEMA). 2. Interpretation of the term "person aggrieved" in Section 17 of FEMA. 3. Rights of an informer in relation to adjudication orders. 4. Availability of remedies for an informer under the law.
Analysis: The petitioner filed a complaint alleging violations of FEMA, resulting in penalties on the violator. Subsequently, the petitioner sought a copy of the adjudication order, which was not provided, leading to the filing of a writ petition. The petitioner argued that as an aggrieved person under Section 17(2) of FEMA, they are entitled to the copy of the order. However, the Central Government Counsel contended that the petitioner, being an informer, does not qualify as a complainant under the Act, and thus, is not entitled to the adjudication order copy. The Counsel referred to Section 16(3) of the Act and Rule 4(11) of the Foreign Exchange Management (Adjudication Proceedings and Appeal) Rules, 2000, to support this argument.
The Court, after considering the arguments, agreed with the Central Government Counsel's interpretation. It was held that under the Act, an informer's role is limited to alerting officials about violations, and the complaint must be filed by an authorized officer for an enquiry to proceed. The rules mandate providing a copy of the adjudication order to the person against whom the order is made. Therefore, the term "person aggrieved" in Section 17 encompasses only the individual against whom the order is passed and the complainant, excluding informers. Consequently, the informer does not possess the legal right to challenge the order through an appeal under Section 17.
As a result, the writ petition was dismissed, with a note that the petitioner retains the option to pursue obtaining the order copy under the Right to Information Act, 2005. This judgment clarifies the distinction between the roles of informers and complainants under FEMA, emphasizing that informers do not have the same entitlements regarding adjudication orders as complainants.
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