2019 (5) TMI 1109

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.... O R D E R 1. By this common order, this Court proposes to dispose of the appeal and the writ petition which are both by the same entity Shri Lal Mahal Limited (SLML), the Appellant/Petitioner, and arise from a common set of facts. 2. The facts in brief are that the Directorate of Revenue Intelligence (DRI) carried out a search operation in the unit of SLML, an exporter of rice, located at the Noida Special Export Zone (NSEZ) on 22nd/23rd December 2016. By letters dated 23rd and 26th December 2016, the DRI instructed SLML's banks to stop operations in its bank accounts. SLML then filed Writ Petition (C) No. 12251/2016 which came to be disposed of by the learned Single Judge by an order dated 16th March 2017 whereby two bank accounts....

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....3th November 2017, the Division Bench of this Court dismissed the DRI's LPA 482 of 2017 as withdrawn on account of conclusion of investigation. 4. In compliance with the said order, SLML furnished security in the form of agricultural land at Rohtak. Upon consideration, it was found that the said land had been over-valued and the said security was insufficient and unacceptable. 5. Between the filing by SLML of W.P. (C) 12251/2016 and its final disposal, its other 43 bank accounts were also frozen by the DRI on the same pretext. SLML then filed yet another petition being W.P. (C) 3252/2017 in this Court in respect of the said 43 accounts. 6. In the meanwhile, show cause notice dated 31st October, 2017 was issued by the DRI to SLML, i....

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.... instructions and would have a suggestion. Relist on 3rd January, 2018. Dasti." 8. Thereafter LPA 12 of 2018 was filed by SLML challenging the orders dated 16th and 31st March 2017 passed by the learned Single Judge in W.P. (C) 12251 of 2016. Notice in the said appeal was issued on 12th January 2018. The Court permitted SLML to furnish a corporate guarantee for Rs. 10 crores. However, on 18th April 2018, the Court was informed that despite furnishing corporate guarantee, its accounts were not de-frozen. On 21st May 2018, this Court required counsel for SLML to seek instructions whether a working Director could give a personal guarantee for Rs. 10 crores. 9. Thereafter both the appeal and writ petition were adjourned for arguments. In ....