Adjudicating Authority under PMLA
What is the role of the Adjudicating Authority?
- Section 5 of the PMLA provides for the attachment of any property that is suspected to have been acquired with the proceeds of crime in a case of any offence that is listed in the schedule of the law.
- The attachment order is issued if the ED Director feels that “such proceeds of crime are likely to be concealed, transferred or dealt with in any manner which may result in frustrating any proceedings relating to confiscation of such proceeds of crime”.
- This provisional attachment order is valid for a period of 180 days. It must be confirmed within this time by an Adjudicating Authority appointed by the central government, failing which the property is automatically released from attachment.
- Because the initial attachment is provisional, the accused can continue to enjoy the property until the Adjudicating Authority confirms the attachment — after which the ED has the power to claim possession.
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