LAKSHMAN C SAHA Vs. SPECIAL DIRECTOR OF ENFORCEMENT

JUDGEMENT

(1.) THIS appeal is directed against the order dated 13th September, 2005 passed by the learned Single Judge whereby the learned Single Judge dismissed the writ petition on the ground of non-compliance with the orders dated 31. 05. 2005 directing the petitioner to deposit 25% of the penalty within six weeks from the date of the order.

(2.) THE facts emerging from the record are that by a detailed order dated 26th February, 1992, the Special Director, Directorate of Enforcement, New delhi, after recording the evidence of the parties and affording personal hearing to the appellant on a number of dates, that is, 31. 05. 1990, 02. 07. 1990, 24. 10. 1990, 14. 11. 1990 and 28. 11. 1990 held that in view of the investigations, it appeared that the appellant had received a total payment of Rs. 1,55,87,155/-during the period 1980 to 1987 from one Shri Ranjit Saha, a person resident in india, at the instructions of his uncle Shri Pabitra Saha of Mymensingh, bangladesh, a person resident outside India. It also appeared that the said lakshman Saha had made total payments to the tune of Rs. 1,51,92,935/- to various persons in India during the said period at the instructions of the said Shri pabitra Saha of Bangladesh wihthout any general or special permission from the reserve Bank of India. It was further held that the receipt of total payments of Rs. 1,55,87,155/- and the making of payments of Rs. 1,51,92,935/- in the manner aforesaid was in contravention of the provisions of Section 9 (1) (b) and section 9 (1) (d) respectively of the Foreign Exchange Regulation Act, 1973 and accordingly called for the imposition of a total penalty of Rs. 10 lakhs on the appellant to be paid at the office of the Enforcement Directorate, Calcutta zonal Office, Calcutta by means of a demand draft drawn in the favour of the deputy Director, Enforcement Directorate, Calcutta Zonal Office, Calcutta within 45 days of the receipt of the order.

(3.) AGGRIEVED by the above order of the Directorate of Enforcement, the appellant preferred an appeal before the Appellate Tribunal for Foreign exchange, being Appeal No. 239/1992 alongwith an application praying for dispensing with the requirement of the deposit of the penalty amount of Rs. 10 lakhs and for stay of the entire payment thereof during the pendency and till the disposal of the appeal. On 13th January, 2004, the Appellate Tribunal passed the following order: <FRM>JUDGEMENT_722_ILRDLH17_2008Html1.htm</FRM>