67. The Court is unable to agree that there is any manifest arbitrariness
vitiating the second proviso to Section 5(1) PMLA, as contended by the
Petitioners. As explained in Shayara Bano v. Union of India (supra):
57. The main ground of attack on the second proviso to Section 5(1) of the
PMLA is its alleged manifest arbitrariness. The Court is, however, not
persuaded to agree with the above submission of the Petitioners for more
than one reason. First, as rightly pointed out by the learned counsel for the
Union of India, the mere possibility that a provision may be abused is not a
W.P.(C) 5320/2017 & connected batch matters Page 31 of 48
ground to strike it down under Article 14 of the Constitution. The law in this
regard has been explained in a number of decisions. Illustratively, reference
may be made to Sushil Kumar Sharma v. Union of India (supra) where it
was observed as under:
It is contended that the ‗right to property' being a human right, as
explained in P.T. Munichikkanna Reddy v. Revamma (2007) 6 SCC
59, there can be numerous instances where resort need not be had to
the powers of attachment when in fact there is no real basis, material
or apprehension that the property would be concealed, transferred or
dealt with in a manner that frustrates its confiscation. In other words,
resort to the second proviso should be had in the rarest of rare cases.
―In Mafatlal Industries Ltd. and Ors. v. Union of India and Ors.,
[1997] 5 SCC 536, a Bench of 9 Judges observed that mere possibility
of abuse of a provision by those in charge of administering it cannot
be a ground for holding a provision procedurally or substantively
unreasonable.
"The possibility of abuse of a statute otherwise valid does not
impart to it any element of invalidity." It was said in State of
Rajasthan v. Union of India, [1977] 3 SCC 592 "it must be
remembered that merely because power may sometimes be
abused, it is no ground for denying the existence of power. The
wisdom of man has not yet been able to conceive of a
Government with power sufficient to answer all its legitimate
needs and at the same time incapable of mischief."‖