HYDERABAD: A division bench of Telangana High Court, comprising Chief Justice Ujjal Bhuyan and Justice C.V. Bhaskar Reddy, granted relief to Vanpic Ports Pvt. Ltd and Vanpic Projects Pvt. Ltd by allowing their civil miscellaneous second appeal (CMSA) against the joint director of the Directorate of Enforcement (ED). The bench made it clear that the appellants are entitled to consequential relief following the approval of their appeal.
The case revolves around the attachment of certain properties owned by the two firms. The ED had attached these properties in connection with an ongoing case before the appellate tribunal prevention of money laundering act in New Delhi.
In response, the petitioners filed a civil miscellaneous second appeal (CMSA) seeking nullification of ED's orders under the PML Act, specifically regarding the continued attachment of their properties. They also requested the court to direct the respondent to release the said properties from attachment under the PMLA.
After considering the arguments presented by the counsels for the petitioner and the respondent authorities, the court noted that the tribunal was correct in acknowledging the fundamental flaws in the provisional attachment order and the adjudicating authority's confirmation of the attachment.
However, the tribunal erred in refraining from declaring these orders illegal and instead directing the appellant to approach the special court for release of the attached property. The court deemed this decision as an abdication of authority and allowing an ongoing illegality to persist.
Based on this analysis, the court unequivocally concluded that the appellant's appeal is filed rightly.
