Court Limits Use of Article 226 in Provisional Attachment; Orders Completion of Proceedings Within Two Months.

The HC, comprising Justices M.M. Sundresh and RMT. Teekaa Raman, addressed a challenge to a provisional attachment order by the Adjudicating Authority. The Court ruled that since the original proceedings were still pending, it was inappropriate to invoke Article 226. The Court directed the Adjudicating Authority to complete the proceedings within two months, ensuring all relevant materials are considered. The Criminal Original Petitions and Writ Petitions were disposed of with these directions, and no costs were awarded. Connected miscellaneous petitions were also closed.

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Issues: Challenging provisional attachment order passed by Adjudicating Authority

In the judgment delivered by the High Court, the Hon'ble Mr. Justice M.M.Sundresh and the Hon'ble Mr. Justice RMT. Teekaa Raman, the main issue was the challenge against the provisional attachment order passed by the Adjudicating Authority. The Court noted that the original proceedings were still pending before the Adjudicating Authority. Referring to a previous case, the Court emphasized that the pending proceedings must be completed without invoking the extraordinary jurisdiction under Article 226 of the Constitution of India. Consequently, the Court directed the Adjudicating Authority to conclude the proceedings within two months from the date of receipt of the order.

The judgment highlighted that the Adjudicating Authority must thoroughly consider all materials presented before it, including those relied upon by the Deputy Director, Directorate of Enforcement. The Court disposed of the Criminal Original Petitions and Writ Petitions with the aforementioned direction and observation. Additionally, the Court ruled that there would be no order as to costs in the Writ Petitions. Finally, the connected miscellaneous petitions were closed as a result of the judgment.

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