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TMI Blog2022 (10) TMI 1222X X X X Extracts X X X X X X X X Extracts X X X X ..... ssed by Adjudicating Authority in Reference Number R-974/2018. 2. During the pendency of the appeal, relying on the judgment passed by Hon'ble Supreme Court in the matter of "Union of India & Anr. Versus M/s. Ganpati Dealcom Pvt. Ltd. in Civil Appeal No.5783/2022 dated 23.08.2022" reported in 2022 SCC Online SC 1064, the appellant filed an application seeking following reliefs: a) Quash the Impugned Order dated 13.08.2019 passed u/s 26(3) by the Ld. Adjudicating Authority. b) Quash the Provisional Attachment Order dated 23.07.2018 passed u/s 24(4)(a)(i) of the PBPT Act, 1988. c) Direct the immediate release of the Subject Properties from illegal attachment. d) Pass appropriate directions quashing any proceedings initiated or contin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt Appeal deserves to be allowed in limine, primarily on the ground that the impugned transactions of the appellant are prior to 25.10.2016. That the Prohibition of Benami Property Transaction Act, 1988 (Amended in 2016) cannot have retrospective effect/application, and that cannot be subjected to the manifestly arbitrary and overly oppressive provisions of the Prohibition of Benami Property Transactions Act, 1988, which has been held to be violative of Article 20(1) of the Constitution and hence unconstitutional and the proceedings thereunder as per incuriam in view of the aforesaid judgment. 4. In response to above, the respondent in his reply contended that: (a) A search and seizure operation U/s 132 of Income Tax Act, 1961 was carried ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ga, Shimla 41,00,000 (e) During the enquiries, Sandeep Sethi was not able to provide cogent documentary evidences for source of funds for payments made for purchase of properties. After conducting enquiries and substantial material available on record, it is apparent that the money have routed to the Account of Sh. Ashok Sethi through Unknown sources. Therefore, it is not traceable as to who actually provided the consideration for the transactions. (f) After considering the facts, a show cause notice U/s 24(1) of PBPT Act, 1988 was issued on 25.04.2018. (g) Subsequently, an order under section 24(4)(a)(i) of PBPT Act, 1988 dated 23.07.2018 was passed provisionally attaching the above mentioned properties as benami properties and ho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eard both side, considered their submissions made orally. Perused the application and the response thereto, also gone through the papers available on record. The short question to be considered herein is that whether the alleged Benami transactions, in the present facts and circumstances of the case, are entered into prior to 25.10.2016, and, if it is so, whether the provisions of the PBPT Act, 1988 as amended in 2016, can be applied retrospectively. There is no difference in the contentions of both the parties that the aforesaid properties have been acquired/transacted on 16.12.2010, 05.11.2009 & 05.11.2009 respectively. 6. On perusal of the impugned order as well as the reference of the respondent vide Reference No. R-974/2018 before th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the 2016, viz., 25.10.2016. As a consequence of the above declaration all such prosecutions for confiscation proceedings shall stand quashed. f) As this Court is not concerned with the constitutionality of such independent forfeiture proceedings contemplated under the 2016 Amendment Act on the other grounds, the aforesaid questions are left open to be adjudicated in appropriate proceedings." 8. Neither in their response nor during the course of hearing, the respondent has denied or controverted the applicability of the aforesaid judgment in the present facts and circumstances of the case, rather it is stated in Paragraph 9 of the respondent's response, that "Since the ongoing proceedings undergoing in the Hon'ble Appellate Tribunal ..... X X X X Extracts X X X X X X X X Extracts X X X X
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