Subscription   Feedback   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Articles Highlights TMI Notes SMS News Newsletters Calendar Imp. Links Database Experts Contact us More....
Extracts
Home List
← Previous Next →

Nitin Sandesara Versus Directorate of Enforcement And Ors.

2017 (10) TMI 461 - DELHI HIGH COURT

Detention at the airport at the instance of the Enforcement Directorate - Look Out Circular (LOC) was issued by the Enforcement Directorate - violation of FEMA - Proceedings under PMLA - Held that:- In the present case, the LOC does not indicate any credible reason for issuing the same. Plainly, recourse to LOC cannot be taken as a matter of course; restricting the right of a citizen to travel is a serious imposition on his/her fundamental rights and even if it is assumed that such action is per .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

e taken that into account before making his travel plans. The petitioner became aware of the LOC at 11.00 PM on 22.08.2017, when he was about to board a flight. - Thus, insofar as the LOC issued is concerned, the same is wholly unsustainable. Accordingly, the LOC issued against the petitioner is set aside. - However, considering that the Enforcement Directorate is continuing with the investigation and may require the attendance of the petitioner. - W.P.(C) 7559/2017 - Dated:- 29-8-2017 .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

e present petition, inter alia, praying that the Look Out Circular (hereafter the LOC ) issued against the petitioner be set aside. 4. The present petition was moved on 28.08.2017 and this Court had directed respondent nos. 1 and 2 to produce the relevant file. The concerned file has been produced and perused by this Court. The notings in the file indicate that the concerned officers of the Enforcement Directorate had found that there was a prima facie case of violation of the Foreign Exchange M .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

complied with and the petitioner has been cooperating with the investigation being conducted by the Enforcement Directorate. 6. Notwithstanding that the petitioner had been appearing before the respondent, a request for a LOC was issued by the Enforcement Directorate on 10.8.2017. Curiously, the proforma of the LOC does not mention any offence or any pending case; the spaces in the proforma for the request for issuance of the LOC, which are required to be filled with such details, are blank and .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

itizens in the manner as sought to be done. 8. As noticed above, the petitioner is carrying on with the investigation and there is no FIR registered against the petitioner as yet. Although, in terms of section 19 of the Prevention of the Money-Laundering Act, 2002 (PMLA) certain officers of respondent no. 1 have the power to arrest a person; such action can only be taken only if the concerned officer has reasons to believe that the person is guilty of an offence punishable under PMLA. Further su .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

without authority of law. 10. The counsel for the petitioner also points out that violation of FEMA is not one of the scheduled offences under the PMLA. This court has perused the notings on the file produced and the same indicates that at the time when the request for the LOC was issued, the officers of the Enforcement Directorate were investigating violation of FEMA and not any scheduled offence. Thus, it is also difficult to accept that at the material time the officers of the Enforcement Di .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

elow:- 8. In accordance with the order dated 26.7.2010 of the High Court of Delhi, the matter has been discussed with the concerned agencies and the following guidelines are hereby laid down regarding issuance of LOCs in respect of Indian citizens and foreigners: xxxx xxxx xxxx g) Recourse to LOC is to be taken in cognizable offences under IPC or other penal laws. The details in column IV in the enclosed proforma regarding 'reason for opening LOC' must invariably be provided without whic .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

of course; restricting the right of a citizen to travel is a serious imposition on his/her fundamental rights and even if it is assumed that such action is permissible in law, it can be taken only when necessary and for good reason. 13. This Court also finds it difficult to understand the conduct of the officers of the Enforcement Directorate. Admittedly, the petitioner had joined the investigations and had appeared before the concerned officers as required by them. Notwithstanding the same, a .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

what is new what is new
  ↓     bird's eye view     ↓  


|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version