A PREMRAJ JAIN Vs. STATE OF TAMIL NADU

JUDGEMENT

(1.) Aggrieved by an order of attachment passed by the first respondent in G.O.Ms.No.353, Home (Courts IIA) Department, dated 25.4.2003, attaching the property of the petitioner and contending that the property attached by the first respondent is the ancestral property of the petitioner, wherein the petitioner and his brothers are residing jointly, the petitioner seeks a writ of Certiorari to call for the entire records in respect of the order passed by the first respondent dated 25.4.2003 in G.O.Ms.No.353 and to quash the same in so far as the petitioner is concerned.

(2.) The admitted facts of the case are that the petitioner is the partner in three firms namely, Rajaganapathy Auto Finance, Rajaganapathy Jewel Finance and Rajaganapathy Chit Funds, which are engaged in the finance business involved in the acceptance of deposits from the public and profitable investment of the same. In the course of the business, the said firms have accepted deposit from number of depositors, but, they were not able to repay the amount after maturity. As a result, penal proceedings were initiated against the said financial institutions under Section 5 of the Tamil Nadu Protection of Interest of Depositors (in Financial Establishments) Act, 1997, (hereinafter referred to as the 'Act') and Section 420, IPC in Crime No.5 of 2000, pursuant to which G.O.Ms.No.353 dated 25.4.2003, was passed for interim attachment of the property of the petitioner under Section 3 of the Act.

(3.) The Act is intended to protect the deposits made by the public in the financial establishments and the matters thereto.