Delhi High Court Asks Vivo To Approach PMLA Appellate Tribunal In Freezing Of Bank Accounts Case

The Delhi High Court has asked the Chinese mobile company Vivo Mobile India Pvt. Ltd. to approach the PMLA (Prevention of Money Laundering Act, 2002) Appellate Tribunal with regard to the freezing of its bank accounts by the ED (Enforcement Directorate) in a money laundering probe.

A Single Bench of Justice Prathiba M. Singh held, “Considering the fact that the writ petitions itself were directed against the initial debit freeze orders, which have now merged with the final order passed on 21st December, 2022 and the Petitioner has already availed of the appellate remedy, it is deemed appropriate to relegate both the Petitioners to pursue their appellate remedies before the Appellate Tribunal, under the PMLA, in accordance with law.”

The Bench said that the petitioner is permitted to file the appeal along with the interim application within four weeks.

Senior Advocate Siddharth Aggarwal represented the petitioner while Advocate Zoheb Hossain represented the respondent.

In this case, the petitioner filed a plea challenging the orders by which a debit freeze was ordered on the various bank accounts of Vivo Mobile India Pvt. Ltd. and Grand Prospect International Communication Pvt. Ltd. (GPICPL). The interim order by which the bank guarantee was furnished to the tune of Rs. 950 crores and the credit balance of Rs. 251 crores which were required to be maintained in the bank accounts were continuing till date and the adjudicating authority vide an order confirmed the debit freeze order.

The High Court in the above context noted, “Considering the fact that the writ petitions itself were directed against the initial debit freeze orders, which have now merged with the final order passed on 21st December, 2022 and the Petitioner has already availed of the appellate remedy, it is deemed appropriate to relegate both the Petitioners to pursue their appellate remedies before the Appellate Tribunal, under the PMLA, in accordance with law.”

The Court ordered that the interim applications as also the final adjudication may be conducted expeditiously before the Appellate Tribunal within 4 weeks either from filing of the appeal or from first listing of the appeal along with the interim applications.

“The interim arrangements, which have been directed by this Court vide order dated 13th July, 2022 and 1st September, 2022, shall continue till the time the Appellate Tribunal decides the interim applications or till the final decision in the Appeals, in terms of the orders that may be passed by the Tribunal”, directed the Court.

Accordingly, the Court disposed of the pleas.

Cause Title- Vivo Mobile India Pvt. Ltd. v. Directorate of Enforcement (Neutral Citation: 2023:DHC:2306)

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