Date: 2019-01-11Category: Extra OrdinaryState: Union GovernmentCountry: India
In exercise of the powers conferred by sub section 1 and clause x of sub section 2 of section 73 read with sub section 8 of section 8 of the Prevention of Money laundering Act
Executive Summary:
This notification announces amendments to the Prevention of Moneylaundering Restoration of Confiscated Property Rules, 2016, effective January 11, 2019. These amendments, issued by the Central Government, relate to the manner of property restoration during trial. A key action involves publishing notices for claimants to establish their interest in attached, seized, or frozen property.
Key Points / Main Content:
* **General Amendments:**
* The rules are called the Prevention of Moneylaundering Restoration of Confiscated Property Amendment Rules, 2019.
* The word "Confiscated" is omitted from subrule 1 of rule 1 in the 2016 rules.
* **Restoration of Property During Trial:**
* After the charge is framed under section 4 of the Act, the Special Court may publish a notice in two daily newspapers (English and vernacular) to invite claimants with legitimate interests in attached, seized, or frozen property to submit and establish their claims for restoration.
* If the property is insufficient to cover the loss suffered by claimants, the Special Court may order the Central Government to auction the property and disburse proceeds pro-rata.
* The Special Court may grant custody of property to a claimant who executes a bond to produce it when required.
* Claimants have 30 days from the date of notice publication to claim restoration, with a possible extension of up to 30 days if sufficient cause is shown.
* No restoration order will be passed without giving the property owner (or their legal representatives/assignee) an opportunity to be heard.
Impact Analysis:
* **Claimants:**
* Impact: Opportunity to claim restoration of property attached, seized, or frozen under the Prevention of Moneylaundering Act during trial; potential for pro-rata disbursement if the property is insufficient.
* Action Required: Monitor for publication of notices related to properties in which they have a legitimate interest; submit and establish their claims within the specified timeframe (30 days, potentially extendable by another 30 days); be prepared to execute a bond if granted custody of property.
* **Special Court:**
* Impact: Responsibility for publishing notices, evaluating claims, and issuing restoration orders; potential responsibility for ordering property auctions and disbursement.
* Action Required: Implement procedures for publishing notices in accordance with the rule; establish processes for evaluating claimant submissions and determining legitimate interests; ensure property owners (or their representatives) are given an opportunity to be heard before issuing restoration orders.
* **Central Government:**
* Impact: Potential obligation to auction properties and disburse proceeds pro-rata based on Special Court orders.
* Action Required: Be prepared to execute auction orders from the Special Court and disburse funds accordingly.
* **Property Owners (or Legal Representatives/Assignee):**
* Impact: Must be given an opportunity to be heard before a restoration order is passed.
* Action Required: Monitor for notices regarding their property and be prepared to present their case to the Special Court.
Key Entities Referenced
Prevention of Moneylaundering Act, 2002: A law enacted in 2002 in India, related to the prevention of money laundering.
Prevention of Moneylaundering Restoration of Confiscated Property Rules, 2016: Rules established in 2016 related to the restoration of confiscated property under the Prevention of Moneylaundering Act.
Central Government: The executive authority of India, responsible for making and amending the rules.
Special Court: A designated court responsible for handling cases and applications related to the Prevention of Money Laundering Act, including property restoration.
Ministry of Finance: The Indian government ministry responsible for financial matters, including revenue and enforcement related to money laundering.
Department of Revenue: A department within the Ministry of Finance, involved in issuing notifications and regulations related to financial matters.
New Delhi: The capital city of India, where the notification was issued.
BIPLAB KUMAR NASKAR: Under Secretary, official who signed the notification.
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No. 23] NEW DELHI, FRIDAY, JANUARY 11, 2019/PAUSHA 21, 1940
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((((ररररााााजजजज(cid:4)(cid:4)(cid:4)(cid:4)वववव ििििववववभभभभाााागगगग))))
अअअअििििधधधधससससचचूूचचूू ननननाााा
नई (cid:1)द(cid:3)ली, 11 जनवरी, 2019
ससससाााा....ककककाााा....ििििनननन.... 22223333((((अअअअ))))....————के(cid:3)(cid:4)ीय सरकार, धन शोधन िनवारण अिधिनयम, 2002 (2003 का 15) क(cid:7) धारा 8 क(cid:7) उपधारा (8) के
साथ प(cid:9)ठत धारा 73 क(cid:7) उपधारा (1) और उपधारा (2) के खंड (भ) (cid:12)ारा (cid:15)द(cid:17)त शि(cid:21) तय(cid:22) का (cid:15)योग करते (cid:23)ए, धन शोधन िनवारण
(अिध(cid:27)त संपि(cid:17)त का (cid:15)(cid:17)य ाहरण) िनयम, 2016 का और संशोधन करने के िलए िन(cid:31) निलिखत िनयम बनाती ह,ै अथा!त्:-
1. संि#$त नाम और (cid:15)ारंभ.—(1) इन िनयम(cid:22) का संि#$ त नाम धन शोधन िनवारण (अिध(cid:27)त संपि(cid:17) त का (cid:15)(cid:17) याहरण) संशोधन
िनयम, 2019 ह ै।
(2) ये राजप( म) (cid:15)काशन क(cid:7) तारीख को (cid:15)वृ(cid:17) त ह(cid:22)गे ।
2. धन शोधन िनवारण (अिध(cid:27)त संपि(cid:17) त का (cid:15)(cid:17) याहरण) िनयम, 2016 (िजसे इसम) इसके प/ चात् उ(cid:21) त िनयम कहा गया ह)ै के
िनयम 1 के उप िनयम (1) म) “अिध(cid:27)त” श2द का लोप 3कया जाएगा ।
3. उ(cid:21)त िनयम(cid:22) म), िनयम 3 के प/ चात् िन(cid:31) निलिखत िनयम अंत:4 थािपत 3कया जाएगा, अथा!त्:-
“3अ िवचारण के दौरान संपि(cid:17)त के (cid:15)(cid:17) याहरण क(cid:7) रीित,- (1) िवशेष (cid:3) यायालय, अिधिनयम क(cid:7) धारा 4 के अधीन आरोप
िवरिचत करने के प/ चात,् 3कसी संपि(cid:17)त के (cid:15)(cid:17)य ाहरण के िलए 3दए गए 3कसी आवेदन के आधार पर जो अिधिनयम क(cid:7) धारा 5 क(cid:7) उप-
धारा (1) के अधीन कुक! या धारा 17 के अधीन अिभ6हीत या धारा 18 के अधीन अिध(cid:27)त करने से पूव! अव89 क(cid:7) गई ह ै। य3द वह ठीक
समझे, अिधिनयम क(cid:7) धारा 8 क(cid:7) उप-धारा (8) के दसू रे परंतुक के (cid:15)योजन(cid:22) के िलए दो दिैनक समाचार प((cid:22), एक अं6ेजी भाषा और दसू रा
उस 4थ ान पर, जहां संपि(cid:17)त अवि4थ त है, म) पया!$ त प(cid:9)रचालन रखने वाली जनभाषा म) एक सूचना का (cid:15)काशन करवाएगा िजसम)
दावाकता!< से, िजनका ऐसी संपि(cid:17)त या उसके 3कसी भाग म) िविधमा(cid:3) य िहत ह,ै म) उनका दावा, य3द कोई हो, को ऐसी संपि(cid:17) त या उसके
3कसी भाग का (cid:15)(cid:17)य ाहरण अिभ(cid:15)ा$त करने के िलए (cid:15)4 तुत करने और िस9 करने के िलए कह सकेगा ।
232 GI/2019 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(i)]
(2) जहां उपिनयम (1) म) िन=द>! ट संपि(cid:17) त धन शोधन के अपराध के प(cid:9)रणाम4 वAप दावाकता! (cid:12)ारा िवशेष (cid:3) यायालय, जैसा वह
ठीक समझे, के(cid:3)(cid:4) ीय सरकार को, ऐसी संपि(cid:17)त क(cid:7) नीलामी का, य3द आव/ यक हो अंश और (cid:15)(cid:17) यके दावाकता! अनुपातता के आधार पर
उसका संिवतरण करने का िनदेश दते े (cid:23)ए संपि(cid:17)त के (cid:15)(cid:17) याहरण का आदेश पा(cid:9)रत कर सकेगा और उसक(cid:7) अिभर#ा, ऐसे दावाकता! को,
िवशेष (cid:3)य ायालय के सम#, जब कभी अिधिनयम क(cid:7) धारा 8 क(cid:7) उपधारा (5) या उपधारा (6) या (cid:15)(cid:17)य ा(cid:27)त संपि(cid:17) त (cid:15)4 तुत करने के िलए
उसके बांड वचनप( के आधार पर, द ेसकेगा ।
(3) कोई दावाकता! उपिनयम (1) म) िविन=द!> ट (cid:15)काशन क(cid:7) तारीख से तीस 3दन से परे उपिनयम (1) म) िविन=द!> ट नो(cid:9)टस के
अनुसार िवशेष (cid:3)य ायालय के सम# संपि(cid:17)त के (cid:15)(cid:17)य ाहरण के िलए हकदार नहC होगा:
परंतु िवशेष (cid:3)य ायालय 3कसी दावे को और तीस 3दन(cid:22) के अनिधक अविध के भीतर यह समाधान हो जाने पर 3क दावाकता !
पया!$त कारण(cid:22) से िनवा(cid:9)रत था, दावे को 6हण कर सकेगा ।
(4) इस िनयम के अधीन िवशेष (cid:3) यायालय (cid:12)ारा उपिनयम (1) म) िविन=द!> ट संपि(cid:17) त के मािलक, या उसक(cid:7) मृ(cid:17) य ुक(cid:7) दशा म), ऐसे
Dय ि(cid:21)त के िविधक (cid:15)ितिनिधय(cid:22) या शासक(cid:7)य समनुदिेशती या शासक(cid:7)य (cid:15)ापक, यथाि4 थित, को सुनवाई का अवसर 3दए िबना, कोई
(cid:15)(cid:17)य ाहरण आदेश पा(cid:9)रत नहC 3कया जाएगा ।
[फा. सं. पी.12011/5/2015-एसओ(ईएस सेल)]
िब$लब कुमार नसकर, अवर सिचव
(cid:1)(cid:1)(cid:1)(cid:1)टटटट(cid:3)(cid:3)(cid:3)(cid:3)पप पप णणणण :::: मूल िनयम, भारत के राजप(, असाधारण, भाग II, खंड 3, उप-खंड (i) म) सा.का.िन. 913(अ), तारीख 26 िसतंबर, 2016
(cid:12)ारा (cid:15)कािशत 3कए गए थे ।
MINISTRY OF FINANCE
(Department of Revenue)
NOTIFICATION
New Delhi, the 11th January, 2019
G.S.R. 23(E).—In exercise of the powers conferred by sub-section (1) and clause (x) of sub-section (2) of
section 73, read with sub-section (8) of section 8 of the Prevention of Money-laundering Act, 2002 (15 of 2003), the
Central Government hereby makes the following rules further to amend the Prevention of Money-laundering (Restoration
of Confiscated Property) Rules, 2016, namely:-
1. Short title and commencement.–(1) These rules may be called the Prevention of Money-laundering
(Restoration of Confiscated Property) Amendment Rules, 2019.
(2) They shall come into force on the date of their publication in the Official Gazette.
2. In the Prevention of Money-laundering (Restoration of Confiscated Property) Rules, 2016, (hereinafter
referred to as the said rules), in rule 1, in sub-rule (1), the word “Confiscated” shall be omitted.
3. In the said rules, after rule 3, the following rule shall be inserted, namely:—
“3 A. Manner of restoration of property during trial.- (1) The Special Court, after framing of the charge
under section 4 of the Act, on the basis of an application moved for restoration of a property attached under sub-section
(1) of section 5, or, seized or frozen under section 17 or section 18 of the Act prior to confiscation, if it thinks fit, may,
for the purposes of the second proviso to sub-section (8) of section 8 of the Act, cause to be published a notice in two
daily newspapers, one in English language and one in vernacular language, having sufficient circulation in the locality
where such property is situated calling upon the claimants, who claim to have a legitimate interest in such property or
part thereof, to submit and establish their claims, if any, for obtaining restoration of such property or part thereof.
(2) When the property referred to in sub-rule (1) is insufficient to meet the loss suffered by the claimant as
a result of the offence of money-laundering, the Special Court, as it thinks fit, may pass an order of restoration of
property directing the Central Government, if necessary, to auction such property and disburse on a pro-rata basis in
accordance with the share of loss suffered by each claimant and may give custody thereof to such claimant on his
executing a bond undertaking to produce such restored property before the Special Court as and when required for the
purposes of sub-section (5) or sub-section (6) or sub-section (7) of section 8 of the Act.¹Hkkx IIµ[k.M 3(i)º Hkkjr dk jkti=k % vlk/kj.k 3
(3) No claimant shall be entitled to claim restoration of the property referred in sub-rule (1) before the
Special Court beyond thirty days from the date of publication of the notice referred to in that sub-rule:
Provided that the Special Court may entertain any claim not exceeding further thirty days, upon the satisfaction
that the claimant was prevented by sufficient cause.
(4) No restoration order shall be passed by the Special Court under this rule, without giving an opportunity
of being heard to the owner of the property referred to in sub-rule (1) or in the event of his death, the legal representatives
of such person or official assignee or official receiver, as the case may be.”.
[F. No. P.12011/5/2015-SO(ES Cell)]
BIPLAB KUMAR NASKAR, Under Secy.
Note : The principal rules were published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide
number G.S.R. 913(E), dated the 26th September, 2016.
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.