In the recent case of Francis Chakkalamathaom Peter1, the Hon'ble
Background
In this case, a criminal complaint was filed by
Thereafter, the ED registered an ECIR and conducted investigation under PMLA. During the investigation, the ED discovered that that the alleged proceeds of crime were transferred by the accused persons to various parties including the Appellant. The ED passed a provisional attachment order attaching the bank account of the Appellant on the ground that some portion of the alleged proceeds of crime was transferred to the Appellant.
The Appellant contended that the amount received from one of the accused represented repayment of loan and was not in nature of proceeds of crime. Further, it was contended that the alleged proceeds of crime received from the accused were exhausted towards various purposes and therefore, no longer available for attachment. In these circumstances, the amount lying in the bank account at the time of attachment, received from an unconnected source, viz. from Sree Gokulam Chit and Finance Company Pt. Ltd as final settlement, cannot be attached as proceeds of crime.
Order passed by the Hon'ble Tribunal
It was also held by the Hon'ble
Footnote
1. FPA-PMLA-2368/CHN/2018
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