2024 (10) TMI 1802

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....K2014E0007 dated 14.08.2014 was registered by CBI, BS&FC, Kolkata on the basis of the written complaint made by Sh. H.S Garsa, Deputy General Manager,Central Bank of India, Kolkata vide letter ref.no. CFB/CMD/20114-15/08/801 dated 14/08/2014, which revealed that - (i) The directors of M/s Bengal India Global Infrastructure Ltd.(BIGIL) and others furnished false and fabricated financial figures in the audited balance sheet for financial year 2011-12 for fraudulent availment of credit facilities with dishonest intention to cheat and defraud the bank; (ii) The directors of BIGIL in criminal conspiracy with the directors of M/s Bholanath Ingots(P) Ltd., M/s. Gouri Iron & Steel (P) Ltd. And M/s. Subhlabh Steel (P) Ltd. Opened Letters of Credit (LCs) on the basis of false tax invoices cum challans, proforma invoices in order to cheat & defraud the Central Bank of India, Corporate Finance Branch, Kolkata and diverted the sanctioned funds for unrelated purpose. As the offence under section 120B r/w section 420,467 and 471 of IPC comes under the purview of the scheduled offence in term of section 2(1)(y) of PMLA,2002, an ECIR No. KLZO/06/2014 dated 24/10/2014 was regist....

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.... 18 SPS Steels Rolling Mills Ltd. 001502000041002 2,48,395.42 18/04/16 19 SPS Steels Rolling Mills Ltd. 001502000023198 48,335.14 18/04/16 20 Royal Bank of Scotland, IB Service & Operation ns, Kolkata, Azimganj House, Gr. Floor, 7 Camac Street, Kolkata- 700017 Bipin Vohra 430258 161168.25 19/04/16 21 Sanjukta Vohra 432930 1,898,.43 19/04/16 22 IndusInd Bank Ltd., Dhandhania House, 1stFloor, 203, Chittranjan Avenue, Kolkata - 700006 Bipin Kumar Vohra 100027175487 2,88,316.37 17/04/16 23 Standard Chartered Bank, Liability Operations, 19, Netaji Subhash Road, Kolkata-700001 Ms. Sanjukta Vohra 32410267574 3,38,523.87 27/04/16 24 M/s Darks Housekeeping & Maintenance Services 32405053952 6,14,640.46 27/04/16 25 Citi Bank, 41 Chowringhee Road, Knak Building, Kolkata- 700071 Bipin Kumar Vohra 5299998338 6,56,557.09 29/06/15 Notably, no immovable properties were attached in the instant case. The attachment of the above movable properties was confirmed vide the impugned order of the Ld. AA dated16.09.2016. Aggrieved by the said order of the Ld. ....

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....t was specified for filing of prosecution complaint. It is contended that the amendment made to the Act to lay down the 90-day period was effective only prospectively. So, the confirmation order or 2016 cannot be covered under the amendment made after the date of confirmation. I have considered the rival submissions of the parties on this issue. Since a preliminary legal issue going to the root of the matter has been raised, the same needs to be considered and disposed of first. In this regard, it would be pertinent first to refer to Section 8(3)(a) as it stood at the relevant time when the adjudication order was passed: "S.8(3). Where the Adjudicating Authority decides under sub- section (2) that any property is involved in money-laundering, he shall, by an order in writing, confirm the attachment of the property made under sub-section (1) of section 5 or retention of property or record seized or frozen under section 17 or section 18 and record a finding to that effect, whereupon such attachment or retention or freezing of the seized property or record shall- (a) continue during pendency of the proceedings relating to any offence under this Act before a cou....

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.... restoration of such properties even during trial in such manner as may be prescribed." (Relevant text emboldened) 25. It is seen from the above that the intention of the legislature in bringing about the said amendment was to "allow Enforcement Directorate reasonable time to file prosecution". The same cannot, in our view, be used to nullify provisional attachment of properties already made by them in the past and duly confirmed by the Ld. Adjudicating Authority. Further, with regard to the date of the effectivity of Part-XIV of the Finance Bill, 2018 which contained the proposed amendments to the Prevention of Money-Laundering Act, 2002, Clause 204 said Bill provided as follows: "204. The provisions of this Part shall come into force on such date as the Central Government may, by notification in the Official Gazette, appoint." The relevant notification in this regard is GSR 383I dated 19.04.2018 and the amended clause came into effect on the date of publication of the notification, i.e., 19.04.2018. Accordingly, we are of the view that the respondent Directorate had 90 days from 19.04.2018 to file the prosecution complaint. As per appellants' own ad....