No compounding allowed on application made by person found guilty under FEMA after adjudication

Sanjay Jhunjhunwala Vs Reserve Bank of India & Ors (Calcutta High Court) Conclusion: Application made by person found guilty under the Foreign Exchange Management Act, 1999 (FEMA) seeking compounding of the offence on conclusion of the adjudication proceeding could not be allowed as accepting a compounding application after the adjudication order would create the possibility of conflicting orders and undermine the authority of Adjudicating Officer. Held: Assessee filed a writ petition challenging the Reserve Bank of India’s decision to return his compounding application. The application ...