Budget 2021-22 + FINANCE Bill, 2021

Adjudicating authority under the PBPT Act

Section of the 71 of the PBPT Act, inter alia, provides that the Central Government may, by notification, provide that until the Adjudicating Authorities are appointed and the Appellate Tribunal is established under the PBPT Act, the Adjudicating Authority appointed under sub-section (1) of section 6 of the Prevention of Money-Laundering Act, 2002 (hereinafter referred to as the PMLA) and the Appellate Tribunal established under section 25 of the PMLA may discharge the functions of the Adjudicating Authority and the Appellate Tribunal, respectively, under the PBPT Act for such period and in respect of such cases or class of cases as may be specified in the said notification.

Since there is no appointment of the Adjudicating Authority under the PBPT Act, the Adjudicating Authority under the PMLA is discharging the functions of the Adjudicating Authority under the PBPT Act. It is now proposed to provide that the Competent Authority constituted under sub-section (1) of section 5 of the Smugglers and Foreign Exchange Manipulators (Forfeiture of Property) Act, 1976 (SAFEMA) shall be the Adjudicating Authority under the PBPT Act which shall commence discharging the function from 1st July, 2021. As the said Adjudicating Authority under PBPT Act is proposed to commence the discharging the functions from 1st July, 2021, it is proposed to extend the period of limitation under sub-section (7) of section 26 of the PBPT Act to provide that where the time limit for passing order under sub- section (7) of section 26 of the PBPT Act expires during the period beginning from 1st July, 2021 and ending on 29th September, 2021, the time limit for passing such order shall stand extended to 30th September, 2021.

This amendment will take effect from 1st July, 2021.

[Clauses 142 to 147]

 

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Full Text:

Budget 2021-22 + FINANCE Bill, 2021

Adjudicating authority under PBPT Act designated to SAFEMA Competent Authority; limitation period for orders extended to September. The Finance Bill designates the Competent Authority under SAFEMA as the Adjudicating Authority under the PBPT Act to commence functions from 1st July, 2021, replacing the interim discharge by the PMLA Adjudicating Authority. It also extends the time limit under sub section (7) of section 26 of the PBPT Act so that any order deadline expiring between 1st July, 2021 and 29th September, 2021 will be extended to 30th September, 2021.