UNION OF INDIA Vs. K H ABDUL MAJEED

JUDGEMENT

(1.) THIS is an appeal by the Union of India represented by the Director of Enforcement, Enforcement Directorate, New Delhi, under Section 377(2) of the Code of Criminal Procedure against the judgment dated 17. 11.1979 on the file of the Court of the learned Chief Metropolitan Magistrate, Egmore, Madras, inter alia Contending that the trial Court ought not to have shows lenience in awarding the sentence since the offence under the Foreign Exchange Regulation Act is an economic offence.

(2.) THE Director of Enforcement, Enforcement Directorate, New Delhi, has given the complaint against the accused (1) K.R.Abdul Majeed and (2) S.M.Amir Ali, the respondents herein under Section 120-B of the Indian Penal Code, read with section 5(1)(aa) and 5(1)(c) of the Foreign Exchange Regulation Act, 1947, stating that A.1 Abdul Majeed doing textile business at No.213/5l, Tode Street, Saigon, is an Indian National and A.2 Amir Ali is a native of Koothanallur in Tanjore District, that an information A.1 was arriving at Meenambakkam Airport from Singapore by Air India Flight on 7. 2.1970 and A.2 would also be present at the Airport to receive A.1, the Officers of the Enforcement Directorate, waited at the Airport to apprehend the accused on 8.2.1970. A.1 was stopped at the Airport and was accosted by T.V.Sadagopan and his person was searched under Section 19-A of the Foreign Exchange Regulation Act, 1947. Incriminating documents like chits, carbon copies of manuscript letters written by A.1 addressed to A.2 at Koothanallur containing code words instructing A.2 to make payments of money to various person in India were seized under Section 19-A of the Foreign Exchange Regulation Act. A.1 gave a voluntary statement before T.V.Sadagopan on 8.2.1970 admitting that he used to write letters to A.2 using code words instructing him to make illegal payments to persons in India. Sheet No.14, of the documents seized from A.1 which was a carbon copy of a letter dated 31.1.1970 written by A.1 to A.2 contained the particulars of the names and addresses of various persons in India and the amounts to be paid to each one of them and according to the admission by A.1 Amir Ali used to present the chit containing the code message for receipt of payment of Indian currency to a person at No.25/2, Pycrofts Road, Triplicane, and would receive from that person the amounts and distribute the amounts to various persons mentioned in the letters. THEse transactions were going on for a long time as a result of the conspiracy entered into between the accused. THE payment were made by order or on behalf of A.1 resident outside India, in contravention of Section 15(1)(aa) and 5(1)(c) and Section 23(1)(b) of the Foreign Exchange Regulation Act, 1947. On 8.2.1970 A.2 had come to receive A.1 at the Airport and was apprehended by Sri Subramaniam, Assistant Enforcement Officer, Madras, at the Meenambakkam Airport and A.2 voluntarily gave a statement corroborating the statement given by A.1.THE statement was recorded by Sri Subramaniam and A-2 admitted having received the original of sheet No. 14 dated 30.1.1970, seized from A.2.

(3.) THE following are the persons: 1.Sri M.Ponnalagappa Chettiar, s/o Murugappa Chettiar, 2631, Manojiappa Street, Thanjavur. 2. Sri R.M.Subbiah Chettiar, Kadivastralaya, East Main Road, Pudukkottai. 3. Sri S.Veerappa Chettiar S.V.R. Cycle Mart, Kallakattu, Karaikudi. 4. Sri R.Veerappan, 56, Nachiar Koil West Street, Worriyur, Trichy.