2019 (9) TMI 941 - AT - Money Laundering

Offence under PMLA - Attachment orders - proceeds of crime - HELD THAT - As already mentioned that the original cheques are already filed and placed on record of this file. The respondent is at liberty to obtain the same from the Registrar of this Tribunal. As far as the attachment of properties are concerned, the said property will be released after the entire payment against the post dated cheques are encashed in favour of the respondent. Once the said entire alleged proceed of crime is received by the respondent, the impugned order dated 14th March, 2019 as well as provisional attachment order dated 01st October, 2018 shall be modified/quashed. The present appellant who has allegedly bonafide received alleged proceeds of crime in question. It is also not denied by the learned counsel for the respondent that the appellant has not been charge sheeted under the schedule offence or any prosecution complaint has been filed against the appellant. In view of the undertaking and return of the alleged proceeds of crime to the respondent. The present appeal is accordingly dispose of. The attachment of the properties shall continue till the entire payment of alleged proceeds is received by the respondent.

Issues:
1. Appeal against order for confirmation of attached properties.
2. Allegations of involvement in proceeds of crime under PMLA.
3. Dispute over payment for real estate property.
4. Undertakings for payment and release of attached properties.

Issue 1: Appeal against order for confirmation of attached properties
The appellant filed an appeal against the order confirming the attachment of various movable and immovable properties, including an office space and car parking spaces in Kolkata. The appellant sought the release of the attached property after all attachments were removed. The respondent filed a reply to the appeal, contesting the appellant's claims.

Issue 2: Allegations of involvement in proceeds of crime under PMLA
The appellant, a reputed builder, and family members were alleged to be beneficiaries of proceeds of crime under PMLA. The case was based on transactions related to the purchase of office space and car parking spaces. The appellant denied direct or indirect involvement in any Ponzi scheme and claimed that the transactions were part of legitimate real estate business activities.

Issue 3: Dispute over payment for real estate property
The dispute centered around payments made for the purchase of office space and car parking spaces. Allegations were made regarding non-payment of the balance amount by the buyer, leading to the initiation of proceedings under PMLA. The appellant claimed that the transactions were lawful and that efforts were made to deposit the balance amount, citing market conditions as a hindrance.

Issue 4: Undertakings for payment and release of attached properties
The appellant made undertakings to make payments towards the alleged proceeds of crime, including post-dated cheques and monthly installments. The appellant sought the release of the attached property upon completion of the payment obligations. The Tribunal directed the release of the property upon encashment of the cheques and full receipt of the alleged proceeds of crime by the respondent.

In conclusion, the appeal was disposed of based on the appellant's undertakings and the return of the alleged proceeds of crime. The attached properties would remain under attachment until full payment was received by the respondent. The judgment emphasized the importance of fulfilling payment obligations and the lawful resolution of disputes related to proceeds of crime under PMLA.

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