9911796707
TMI Blog2019 (1) TMI 1873X X X X Extracts X X X X X X X X Extracts X X X X ..... d in relation to the same. Applicant has contended that Andhra Bank, the Financial Creditor, had filed an application under Section 7 of IBC, 2016 and vide order dated 11.6.2018, Petition was admitted for initiation of CIRP. The Respondent, vide provisional attachment order No.04/2018 dated 29.5.2018 has attached various movable and immovable properties (assets) of the Corporate Debtor. Copy of the attachment order is annexed with the application as Exhibit 'D'. It is further stated in the application that the Respondent has passed the attachment order against the Corporate Debtor, on the alleged ground of various fraudulent activities , being undertaken by the promoters, under various provisions of applicable law, including but not limit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l resolution applicants by the RP. It is also stated that the applicant, vide email communication dated 10.10.2018 to Directorate of Enforcement, requested the Respondent to release the attachment of assets of the Corporate Debtor. The Court established under PMLA Act being a criminal court can only decide whether the properties attached during the investigation from the possession of the Corporate Debtor could be said to be the properties acquired by them using the proceeds of crime. This Tribunal has to decide as to how the properties and assets of the Corporate Debtor under liquidation can be appropriated. Ld. Counsel appearing on behalf of the applicant has emphasised on the provision of Section 238 of the Code which provides overridin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uitous transactions with various shell companies without any actual sale/purchase of goods. This was done with the intention of inflating turnover and fraudulently obtaining loans. It is further stated that moratorium declared under IBC, 2016 is not applicable to the criminal case, which shall be initiated under the Prevention of Money Laundering Act, 2002 by the Enforcement Directorate and to the Criminal case initiated by the Central Bureau of Investigation. We have heard the argument of both the parties and perused the record. Admittedly in this matter, the RP had challenged the impugned order of attachment before the Appellate Tribunal of PMLA, which was listed on 7.1.2019 and in that case, notice has been issued against the Enforcemen ..... X X X X Extracts X X X X X X X X Extracts X X X X
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