TMI Blog2018 (10) TMI 2017X X X X Extracts X X X X X X X X Extracts X X X X ..... eserve all that affects the lis or adjudication: to maintain status quo until the dispute is dissolved or resolved. Here, in fact, the Ext. P3 order of provisional attachment has statutory backing under Section 24(4)(b) of the Act. Petitioner's grievance concerns the authority's alleged violation of Section 5 or its inapplicability - Section 5 speaks of confiscation of any property, suspected to be Benami property. First, the authorities have not yet determined whether the property is Benami; second, Section 5 concerns confiscation, but the proceedings are at a preliminary stage--provisional attachment. We have, not yet reached the stage of confiscation. Indeed, it takes an elaborate procedure of hearing and adjudication for ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... have been passed under Section 24 (4)(b) of the Act. Later, through the Ext. P4, the 2nd respondent placed the matter before the 3rd respondent, who is the adjudicating authority. Under those circumstances, the petitioner has filed this writ petition, seeking these reliefs: i) call for the records leading to Exhibits P1 (series of notices), P2 and P3 (series of orders), P4 (reference order) issued by the 2nd respondent and quash the same by the issuance of a writ of certiorari or such other writ, order or direction. ii) Issue an order restraining the respondents from initiating or continuing with any proceedings for confiscation of properties which are the subject matter of Exhibits P1 (series of notices), P2 and P3 (series of ord ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... kar V. Nair, the learned Central Government Counsel, has submitted that the writ petition is premature. According to him, the provisional attachment is an interim arrangement, only to preserve the property until the authorities completed the proceedings under the Act. He has also submitted that the petitioner can appear before the 3rd respondent, put forward its defence, and establish that the Company, indeed, owns the property and that property cannot be tainted with the label Benami. Eventually, the learned Central Government Counsel has submitted that Section 5 has no application to the proceedings. 6. Heard Sri M. Gopikrishnan Nambiar, the learned counsel for the petitioner, and Sri Jayasnakr V. Nair, the learned Central Government C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t to attach the property as specified in the notice, with the prior approval of the Approving Authority 9. As the learned counsel has also drawn my attention to Section 27, I may as well examine that provision, and it reads : 27. Confiscation and vesting of benami property. (1) Where an order is passed in respect of any property under sub-section (3) of section 26 holding such property to be a benami property, the Adjudicating Authority shall, after giving an opportunity of being heard to the person concerned, make an order confiscating the property held to be a benami property: Provided that where an appeal has been filed against the order of the Adjudicating Authority, the confiscation of property shall be made subject to th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f provisional attachment has statutory backing under Section 24(4)(b) of the Act. 11. But the petitioner's grievance concerns the authority's alleged violation of Section 5 or its inapplicability. As extracted above, Section 5 speaks of confiscation of any property, suspected to be Benami property. First, the authorities have not yet determined whether the property is Benami; second, Section 5 concerns confiscation, but the proceedings are at a preliminary stage--provisional attachment. We have, in other words, not yet reached the stage of confiscation. Indeed, it takes an elaborate procedure of hearing and adjudication for the authorities to confiscate any property. I must, then, hold that even Section 27 concerns only with c ..... X X X X Extracts X X X X X X X X Extracts X X X X
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