Court orders respondent to unfreeze savings account, disburse Rs. 10,73,343.51 to petitioner. Funds from life insurance policy.

The Court directed the respondent to unfreeze the petitioner's savings account and disburse the amount of Rs. 10,73,343.51 to the petitioner. The petitioner successfully argued that the funds in the account were proceeds from his life insurance policy and not jointly owned with his wife, the business proprietor. The Court allowed the petitioner to further establish ownership of the funds for consideration within a specified timeframe.

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Issues involved:
The issues involved in this case are the freezing of the petitioner's savings account by the respondent under Section 142(1)(d) of the Customs Act, 1962, and the subsequent petition filed by the petitioner to defreeze the account and disburse the amount deposited.

Freezing of Bank Account:
The petitioner's savings account was attached under Section 142(1)(d) of the Customs Act, 1962 for recovering dues owed by the petitioner's wife, who is the sole proprietor of a business. The attachment was based on the assumption that funds in a joint account belong to both account holders, allowing appropriation against dues payable by either holder.

Ownership of Funds:
The petitioner argued that the funds in the bank account, amounting to Rs. 10,73,343.51, were proceeds from his life insurance policy and not jointly owned. The petitioner provided evidence that the funds belonged to him, as they were directly remitted by the insurer to his account and reflected in his income tax returns, not his wife's.

Court's Decision:
The Court found merit in the petitioner's claim and directed the respondent to unblock the account and disburse the amount of Rs. 10,73,343.51 to the petitioner. The Court also permitted the petitioner to make a representation within two weeks to establish the ownership of the funds in the account, which would be considered and disposed of within two weeks thereafter.

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