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2019 (9) TMI 737

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..... 19 and CM APPL. 40695/2019 2. The present writ petition has been filed challenging the order dated 26th July, 2019 passed by the Appellate Tribunal for Prohibition of Benami Property Transactions Act ('Appellate Tribunal').  The challenge raised is that no appeal could have been filed before the Appellate Tribunal against the show-cause notice issued by the adjudicating authority under Section 26 of the Prohibition of Benami Property Transactions Act, 1988 ('Benami Act') as the said provision does not permit such an appeal challenging a show-cause notice. 3. Mr. Raghvendra Singh, ld. Sr. Standing Counsel submits that the impugned order of the Tribunal, in effect, has stopped the Adjudicating Authority from proceeding further in the m .....

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..... sent writ petition would require adjudication by this Court.  The judgment of this Court dated 9th April, 2015 in CRL. M.C.  5508/2014 arose out of a petition under Section 482 of the Code of Criminal Procedure against proceedings initiated under the PMLA Act. 7. The present show-cause notice dated 21st June 2019, has been issued under Section 26(1) of the Benami Act. Vide the said notice, Respondent No. 2 and 3 have been directed to file their replies along with documents and evidence. The operative portion of the show cause notice reads as under:- "NOTICE TO SHOW CAUSE UNDER SECTION 26(1) "Whereas initiating officer has passed an order under section 24(4) in respect of properties indicated in the said order. He has provisio .....

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..... heard and decided in your absence as per the law. Given under my hand and the seal of the Adjudicating Authority, this 21st Day of June 2019." 8. The jurisdiction of the Tribunal is governed by Section 46 of the Act, the relevant portion of which reads: "46 (1) Any person, including the Initiating Officer, aggrieved by an order of the Adjudicating Authority may prefer an appeal in such form and along with such fees, as may be prescribed, to the Appellate Tribunal against the order passed by the Adjudicating Authority under sub-section (3) of section 26, within a period of forty-five days from the date of the order" 9. A perusal of the above provision shows that an Appeal to the Appellate Tribunal lies only from 'an order of the Adjudica .....

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..... end of the month in which the reference under sub-section (5) of section 24 was received." Thus, the enquiry and the adjudication are time bound as per the statute. The statute does not contemplate any interdiction by the Appellate Tribunal during the process of adjudication while the Adjudicating Authority is seized of the matter. It is only thereafter, that an appeal has been provided for under Section 46. This however would not bar exercise of powers in writ jurisdiction. 11. Insofar as the remedy of Appeal to the High Court is concerned, a reading of Section 49 reveals that the High Court has to be satisfied that there is a substantial question of law. The relevant provisions - Section 49(3) and 49 (4) read: "49... (3) Where th .....

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..... question of law is involved. The word "every order" does not mean an interim order or an order passed on a Miscellaneous Application. It means a final order disposing of the appeal. ....... 8. In the light of the aforesaid, it is apparently clear, that the words "an appeal shall lie to the High Court from every order passed in appeal" has to be given purposeful meaning. The words "passed in appeal" means an order finally deciding an appeal. An order passed by the Tribunal on a Miscellaneous Application is not an order passed in an appeal. Similarly, an order passed by the Tribunal deciding one ground in the appeal is not a final order and, consequently, the appeal is not maintainable against an interlocutory order." 12. It cannot be sa .....

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