Naresh T. Jain Vs Union of India (Bombay High Court)
Bombay High Court held that in terms of section 5(1) read with Section 5(3) of the Prevention of Money Laundering Act, 2002 [PMLA] Provisional Attachment Order ceases to have any effect after 180 days.
Facts- Vide the present petition, the petitioner challenges the Provisional Attachment Order dated 27 November 2020 under section 5 of the Prevention of Money Laundering Act, 2002 issued by the Directorate of Enforcement [ED]. It is mainly contested that Provisional Attachment Order ceases to have any effect after the expiry of 180 days from 27 November 2020.
Conclusion- Held that the impugned PAO dated 27 November 2020 has ceased to have any effect after 180 days, i.e., from 26 May 2021, under Section 5(1), read with Section 5(3), of the PMLA. The Respondents are restrained from taking any action pursuant to the impugned PAO, which has since expired or ceased to be effective from 26 May 2021. A writ is issued to that effect.
FULL TEXT OF THE JUDGMENT/ORDER OF BOMBAY HIGH COURT
1. Heard Mr Nishant Chothani, along with Mr Shaunak Sawant, for the Petitioners, and Mr Sachin Pawar, along with Mr Dewang S. Mhatre, learned Special Public Prosecutor, Public Prosecutor for the Respondents.
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