2026 (8) TMI 438

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....erty<br>MP-PBPT-1760/CHN/2024 (Exemp.) MP-PBPT-1759/CHN/2024 (Stay) FPA-PBPT-380/CHN/2024, MP-PBPT-1762/CHN/2024 (Exemp.) MP-PBPT-1761/CHN/2024 (Stay) FPA-PBPT-381/CHN/2024, MP-PBPT-1764/CHN/2024 (Exemp.) MP-PBPT-1763/CHN/2024 (Stay) FPA-PBPT-382/CHN/2024, MP-PBPT-1766/CHN/2024 (Exemp.) MP-PBPT-1765/CHN/2024 (Stay) FPA-PBPT-383/CHN/2024, MP-PBPT-1768/CHN/2024 (Exemp.) MP-PBPT-1767/CHN/2024 (Stay) FPA-PBPT-384/CHN/2024, MP-PBPT-1995/CHN/2024 (Exemp.) MP-PBPT-1994/CHN/2024 (Stay) FPA-PBPT-388/CHN/2024, MP-PBPT-1997/CHN/2024 (Exemp.) MP-PBPT-1996/CHN/2024 (Stay) FPA-PBPT-389/CHN/2024, MP-PBPT-1999/CHN/2024 (Exemp.) MP-PBPT-1998/CHN/2024 (Stay) FPA-PBPT-390/CHN/2024, MP-PBPT-2001/CHN/2024 (Exemp.) MP-PBPT-2000/CHN/2024 (Stay) FPA-PBPT-391/CHN/2....

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....judicated. 2. The appeals have been pressed on many grounds but counsel for the appellants prayed for an order in reference to the legal issue which goes to the root of the case. It was otherwise decided by the Tribunal earlier in the case of Rajesh Kumar Nagnidas Patel Vs. Initiating Officer, Surat (FPA-PBPT-3242/SRT/2023) vide its order dated 02.12.2025. It was urged that the impugned order is hit by Section 24(3) of the Act of 1988. The properties were under the custody of the Income Tax Department yet provisionally attached having no apprehension of alienation during the period specified in the notice. 3. The learned counsel for the appellants made reference of the order causing provisional attachment of the cash seized by the Inc....

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....ed to cause interference in the impugned order, a direction of the nature given in the case of Rajesh Kumar Nagnidas Patel (supra) may be maintained and thereby the respondents may initiate the proceedings against the appellants afresh in case of release of the property under attachment. 5. The appeals have been pressed presently only on one legal ground which is borne out from Section 24(3) of the Act of 1988. For ready reference, the aforesaid provision is quoted hereunder: (3) Where the Initiating Officer is of the opinion that the person in possession of the property held benami may alienate the property during the period specified in the notice, he may, with the previous approval of the Approving Authority, by order in writ....

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....Prohibition of Benami Property Transactions Act, 1988". The perusal of the order quoted above shows admission of the respondents that at the time of provisional attachment of the property i.e. cash and gold, it was under attachment of the Income Tax Department but apprehending its utilization for tax adjustment or release, the impugned order was passed. No basis for apprehension has been given. It is not a case where property exists with the person who can alienate the property any time. In the instant case, the property was not lying with the appellants so as to apprehend its alienation at any time but was with the Income Tax Department and the respondents could have taken necessary action at the time when the property was going to be r....