Prevention of Money-laundering (Restoration of Confiscated Property) Amendment Rules, 2019 - G.S.R. 23(E) - Prevention of Money-Laundering

MINISTRY OF FINANCE (Department of Revenue) NOTIFICATION New Delhi, the 11th January, 2019 G.S.R. 23(E) .-In exercise of the powers conferred by sub-section (1) and clause (x) of sub-section (2) of section 73 , read with sub-section (8) of section 8 of the Prevention of Money-laundering Act, 2002 (15 of 2003) , the Central Government hereby makes the following rules further to amend the Prevention of Money-laundering (Restoration of Confiscated Property) Rules, 2016, namely:- 1. Short title and commencement . (1) These rules may be called the Prevention of Money-laundering (Restoration of Confiscated Property) Amendment Rules, 2019. (2) They shall come into force on the date of their publication in the Official Gazette. 2. In the Prevention of Money-laundering (Restoration of Confiscated Property) Rules, 2016, (hereinafter referred to as the said rules), in rule 1, in sub-rule (1), the word Confiscated shall be omitted. 3. In the said rules , after rule 3, the following rule shall be inserted, namely:- 3 A. Manner of restoration of property during trial.- (1) The Special Court, after framing of the charge under section 4 of the Act, on the basis of an application moved for restoration of a property attached under sub-section (1) of section 5, or, seized or frozen under section 17 or section 18 of the Act prior to confiscation, if it thinks fit, may, for the purposes of the second proviso to sub-section (8) of section 8 of the Act, cause to be published a notice in two daily newspapers, one in English language and one in vernacular language, having sufficient circulation in the locality where such property is situated calling upon the claimants, who claim to have a legitimate interest in such property or part thereof, to submit and establish their claims, if any, for obtaining restoration of such property or part thereof. (2) When the property referred to in sub-rule (1) is insufficient to meet the loss suffered by the claimant as a result of the offence of money-laundering, the Special Court, as it thinks fit, may pass an order of restoration of property directing the Central Government, if necessary, to auction such property and disburse on a pro-rata basis in accordance with the share of loss suffered by each claimant and may give custody thereof to such claimant on his executing a bond undertaking to produce such restored property before the Special Court as and when required for the purposes of sub-section (5) or sub-section (6) or sub-section (7) of section 8 of the Act. (3) No claimant shall be entitled to claim restoration of the property referred in sub-rule (1) before the Special Court beyond thirty days from the date of publication of the notice referred to in that sub-rule: Provided that the Special Court may entertain any claim not exceeding further thirty days, upon the satisfaction that the claimant was prevented by sufficient cause. (4) No restoration order shall be passed by the Special Court under this rule, without giving an opportunity of being heard to the owner of the property referred to in sub-rule (1) or in the event of his death, the legal representatives of such person or official assignee or official receiver, as the case may be. . [F. No. P.12011/5/2015-SO(ES Cell)] BIPLAB KUMAR NASKAR, Under Secy. Note : The principal rules were published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 913(E), dated the 26th September, 2016.