Trivandrum Apollo Towers Pvt. Ltd. Vs Deputy Director (Appellate Tribunal under SAFEMA Delhi)
ED’s Case Collapses for Withholding Documents- Procedural Lapse Proves Fatal- Order Quashed for Non-Supply of FIRs – Tribunal Orders De-freezing of Accounts
Appellant challenged the Adjudicating Authority’s order dated 26.03.2025 confirming freezing of its bank accounts & seizure of ₹4.49 lakh cash & digital devices under Sections 17(1) & 17(1A) of the Prevention of Money Laundering Act, 2002 (PMLA). The action was taken during investigation against Moosa Haji, accused in multiple FIRs for cheating investors through the Apollo Gold scheme.
Appellant contended that (i) Moosa Haji held only a 2% shareholding (100 out of 42,769 shares worth ₹1 lakh) & had no control over its assets, (ii) unsecured loans received from him were largely repaid before 2014—well before the alleged offences of 2023, & (iii) the ED had failed to provide the Relied Upon Documents (RUDs) such as FIRs & deposit records along with the show-cause notice, contrary to J.K. Tyre & Industries Ltd. v. ED (Del HC, 2021).
ED argued that proceeds from the Apollo Gold fraud were routed through the appellant’s bank accounts, & that it had supplied sufficient documents including freezing orders & panchanamas. It termed the FIRs “ancillary,” not essential to the notice.
