ABID MALIK Vs. UNION OF INDIA

JUDGEMENT

(1.) THIS second appeal raises the following questions of law:

(2.) THIS appeal has been filed under section 35 of the Foreign exchange Management Act (hereinafter reffered to as FEMA) which superseeded Foreign Exchange Regulation Act, 1973 (hereinafter referred to as FERA)assailing the order dated 30. 11. 2006 passed by the Foreign Exchange Appellate Tribunal holding the appellant guilty under section 9 (1) (a) of FERA and imposing upon him a penalty of rs. 3,00,000/- (Rupees Three Lakhs ).

(3.) SECTION 9 (1) (a) of FERA reads as under: 9. Restrictions on payments: (1) Save as may be provided in and in accordance with any general or special exemption from the provisions of this sub-section which may be granted conditionally or unconditionally \by the Reserve Bank, no person in, or resident in, India shall (a) make any payment to or for the credit of any person resident outside India;