Document Fragment View

Matching Fragments

[CCCC] Pending hearing and final disposal of this petition Your Lordships may be pleased to stay the operation and implementation of impugned order dated 10.07.2012 passed by the adjudicating authority [PML Act, 2001] in original complaint No.133 of 2012.

[D] Any other further relief as may deem fit in the fats of the case be granted;

5.1 The facts of the case, as per the petitioners of Special Civil Application No.1059 of 2012, are as under.

5.2 A property situated in the limits of Mouje : Shaikhpur Khanpur, Sub-Plot No.14 of Final Plot No.169 of Town Planning Scheme No.3 which was included in Ward No.TP 3/3-4, Shaikhpur-Khanpur, City Survey No.1973 [16 units] was acquired by State Bank of India in its consortium under provisions of Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002. On 27.08.2009 the said property was put to auction / sale under SARFAESI Act which was purchased by one M/s. JMD Media Pvt. Ltd. and on 05.09.2009 sale certificate and original title deeds as well as peaceful possession were handed over to JMD Media Pvt. Ltd. Thereafter in October, 2010 petitioners came to know of inclination of M/s. JMD Media Pvt. Ltd. and owners of other three units of the said properties to sell the same. A sum of Rs.6 lakhs was initially paid to M/s. JMD Media Pvt. Ltd. on 31.12.2010 and on 28.03.2011 sale deed pertaining to aforesaid 16 units was done and registered at the Sub-Registrar's office. On 08.04.2011 the petitioners, by way of advertisement in the newspapers invited objections to the sale of the said property and the petitioners also got a title search of the aforesaid property from Solicitors who gave a Title Clearance Certificate. On 24.10.2011 the petitioners proceeded to make payment and entered into an agreement to sale which was registered by the Sub-Registrar. The petitioners were given possession note pertaining to the entire property and possession was also given. On 10.12.2011 sale deed pertaining to the said property was prepared and on 12.12.2011 the petitioners approached Sub-Registrar for registration of aforesaid sale deed, but the Sub-Registrar informed that the sale deed cannot be registered as the respondent No.2-Assistant Director, Directorate of Enforcement issued notice dated 21.07.2011 restraining registration of sale deed as investigation is carried out against M/s. Vishal Exports, etc. 5.3 It is say of the petitioner that the petitioners are in no way connected with M/s. Vishal Exports. It is further say of the petitioners that they are bonafide buyers of the said properties, which have been acquired by the State Bank of India and its consortium under the provisions of SARFAESI Act which have been sold to M/s. JMD Media Services Pvt. Ltd. which in turn has sold the same to the petitioners.

6. Mr. Mihir Joshi, learned Senior Advocate, would contend that respondent No.2 has no authority to address a communication to respondent No.3 directing him not to register sale deeds. That only because of directions are issued by respondent No.2 not to register sale deed of the subject property, respondent No.3, the Joint Sub-Registrar of State of Gujarat, though empowered to register sale deeds, has refused to do so. By pointing out consequences of transactions about the subject property, it is submitted that it was owned by one Anand Owners Association, a non-trading corporation registered under the provisions of the Bombay Non-trading Corporation Act, 1959, and one M/s. Vishal Exports Overseas Ltd [VEOL], which was occupant of the aforesaid unit and which had obtained finance from the State Bank of India by mortgaging the units. Upon its failure to make repayment of loan amount, the mortgaged property was acquired by State Bank of India and its consortium under the provisions of the SARFAESI Act, 2002 and it was put to public auction, whereby a procedure in accordance with law was followed, including verification of title deeds and issuance of sale certificate on 05.09.2009 and it was purchased by respondent No.4-JMD Media Pvt. Ltd. Thereafter the petitioner advertised in the month of April, 2011 in a newspaper about any objections to the sale of property for which an agreement to sale was entered into between the petitioner and respondent No.4 upon payment as no objections were received pursuant to advertisement and even title clearance certificate was also given to the effect that no encumbrances did exist over such property. Therefore, the action taken by the respondent No.2 is not only contrary to provisions of PML Act, but also violative of Articles 14, 19 and 21 of the Constitution of India.

f) Funds have come from M/s. Vishal Exports Overseas Ltd., which is the company controlled by Shri Pradip Mehta (and of which he is the CMD), to M/s.Vikalp Rasayan Pvt. Ltd., Ahmedabad and M/s. Global Nutrition and Foods pvt. Ltd., Ahmedabad and then further diverted to M/s.JMD Media pvt Ltd and M/s.Alive Hospitalities and Foods pvt Ltd for purchase certain properties in Auction sale of State Bank of India in 2009. It shows that VEOL was in possession of funds to pay to banks to repay its outstanding dues & thereby reduce/compensate the losses of the Banks. However, VEOL controlled by Pradip Mehta used those funds to purchase properties in the names of abovementioned Companies [M/s.JMD Media Pvt. Ltd., M/s. Alive Hospitalities and Foods Pvt Ltd. And M/s.FFR Software Pvt Ltd]. These properties earlier belonged to VEOL/Sh Pradip Mehta did with Banks, therefore, this money which Pradip Mehta used for purchasing the properties can be considered as money originated from Crime and the property purchased from such type of money appear liable for attachment under Prevention of Money Laundering Act, 2002 as mentioned above.

h) If Pradip Mehta wanted to give loan to M/s.JMD Media and M/s.Alive Hospitalities and Foods Pvt Ltd., then VEOl could have given it directly, but to hide the direct connection of said companies to Shri Pradip Mehta, Shri Pradip Mehta decided to give it through M/s.Vikalp Rasayan and M/s.Global Nutrition. This is Money Laundering operation masterminded by Shri Pradip S. Mehta.

i) When Directorate of Enforcement attached the properties acquired in the name of M/s. FFR Software Pvt. Ltd., vide Provisional Attachment Order No.07/2011 dated 23.06.2011, Shri Pradip Mehta started selling the properties including Vishal House , which was then owned by M/s.JMD Media Pvt Ltd., which is controlled by him. The said Provisional Attachment Order No.07/2011 dated 23rd November 2011 has been confirmed vide order dated 16.11.2011 in O.C. No.109/2011 by Adjudicating Authority, PMLA, New Delhi.