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2015 (7) TMI 1267 - HC - Income TaxPowers to requisition books of account, etc u/s 132A - Valueable Articles and Currency Notes - whether once the requisition under section 132A of the Act is issued, the same requires to be denied on account of the objection raised by the prosecuting authority? - whether the cash of ₹ 8.10 crore would be necessary to be produced as muddamal of bribe or otherwise at the time of trial? - Held that:- It is nowhere coming on record that any trap was organised that the Court may require the detailed number of series of currency notes, which also in any case at the time of panchnama, the police ought to have done. Even if it is not done, it would not be difficult to so do it and the amount cannot continue to lie with the Investigating Officer. The Court in the alternative also could have thought of placing it in the Fixed Deposit or the bank locker with any Nationalised Bank for the purpose of safety and security of the currency notes. There is no purpose worth the name that would be served if the amount continues to lie with the Investigating Officer. This being a law on the interim custody during the pendency of the trial, the vital question that is addressed by this Court is the one raised by the applicant-Department being the claimant under the provision of law which has reason to believe that the amount is unaccounted money and is liable for investigation under the Incometax Act and Rules framed thereunder, the warrant of authorisation is issued and the same is found to be sustainable by this Court. The learned trial Judge when observed that the seized amount pertained to bribe money and it was required to be preserved, it neither had regarded the provision of section 451 of the CrPC nor the law laid down on the subject, as discussed hereinabove, nor did it consider the relevant provisions of Incometax Act and the pronounced authorities on the subject while denying such requisition to the applicant-Department. The Investigating Agency was also not right in contending that the custody of this muddamal article is necessary till completion of the trial when even otherwise, the production of the same through panchnama or exhibiting the same by virtue of video recording of same could have been managed. For the foregoing reasons, the present Revision Application succeeds and the same is, accordingly, allowed. The applicant-Department shall be free to undertake all actions permitted under the law, however, he shall make the Fixed Deposit of the entire amount of ₹ 8.10 crore with the State Bank of India within a period of four weeks from the date of taking over such muddamal currency notes, initially for a period of two years and thereafter, the same shall be renewed from time to time till finalisation of such proceedings initiated by the applicant-Department.
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