KAMLA BAI Vs. UNION OF INDIA

JUDGEMENT

(1.) The quashing of the order dated 22.7.2002 passed by the Competent Authority, (New Delhi) under the Smugglers and Foreign Exchange Manipulators (Forfeiture of Property) Act, 1976 (hereinafter referred to as SAFEMA) is sought for in the present writ petition. The impugned order dated 22.7.2002 has been passed in respect of the property bearing No. 5/34, Ram Devaji Ghali, Takhatgarh, District Pali (Rajasthan). By virtue of the said order the said property has been forfeited under Section 7(1) and 7 (3) of the SAFEMA to the Central Government. The petitioner is the wife of one Popat Lal who was a detenue under COFEPOSA and in view of his activities the said Shri Popat Lal was a person covered under Section 2(2)(b) of SAFEMA. The provisions of SAFEMA were applied to the said Shri Popat Lal and, accordingly, the properties allegedly illegally acquired by the said person were sought to be forfeited in view of the provisions of Section 3 and 4 of SAFEMA. Admittedly, the property in question stands in the name of the petitioner and not in the name of her husband (Popat Lal). The Sale Deed also shows that the property was purchased in the name of the petitioner. There is no dispute with regard to this fact.

(2.) The issue in the present petition is whether the said property can be made the subject matter of forfeiture without the issuance of a notice under Section 6 (2) of SAFEMA and without affording an opportunity of hearing to the petitioner as required under Section 7(1) of SAFEMA?

(3.) The respondents and in particular the Competent Authority under SAFEMA issued a show cause notice dated 20.9.2001 under Section 6(1) of SAFEMA to the said Shri Popat Lal. Thereafter, an order dated 22.7.2002 was passed by the Competent Authority under Section 7(1) and 7(3) of SAFEMA forfeiting the said property to the Central Government. In the said order dated 22.7.2002 which is impugned herein, it is clearly indicated as under:-