Provisional Attachment Under PMLA Quashed as Payments Proven Legitimate, Not Proceeds of Demonetized Currency
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....The AT allowed the appeal, concluding that the provisional attachment order under the PMLA was unsustainable. Bank statements and corroborative invoices demonstrated that payments received by the respondent from related entities were not proceeds of demonetized currency but legitimate transactions for goods supplied. The alleged conversion of illicit demonetized currency into monetized funds through money laundering was not established. Additionally, the appellant had been previously exonerated in related PBPT Act proceedings by both the Adjudicating Authority and the AT. Consequently, the ED's case failed on the basis that the payments did not originate from demonetized deposits, leading to the quashing of the attachment order.....
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