IMPORTANT POINT
Revocation of detention order passed under COFEPOSA is not contemplated on a statement given on behalf of Union of India.

JUDGMENT :

(Vikram Nath, J.)

These two appeals challenge the impugned orders of the High Court more or less on the same and similar grounds as such have been taken up together and being decided by this common order. In Civil Appeal No.5500 of 2011, challenge is to an order passed by the Division Bench of the Delhi High Court dated 26.03.2010 whereby Writ Petition (Civil) No.1212 of 1995 was dismissed confirming the order of forfeiture of properties under section 7 of The Smugglers and Foreign Exchange Manipulators (Forfeiture of Property) Act, 1976¹[SAFEMA]. In Criminal Appeal No.730 of 2014, the challenge is to an order passed by the Division Bench of the Bombay High Court dated 03/17.12.2012 dismissing the Writ Petition No.3878 of 2011 wherein also the order of forfeiture of properties under SAFEMA was upheld.

2. Before the High Court, the main ground of challenge in both the cases was that as the detention order passed under section 3 of the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974²[COFEPOSA], has been subsequently revoked/withdrawn as such SAFEMA proceedings would become non est and untenable. An additional ground taken in Civil Appeal No.5500 of 2011 was to the effect that even the criminal complaint filed under the Customs Act, 1962³[The Act 1962], wherein the appellant had been discharged on the ground that there was no evidence, would further render the proceedings under SAFEMA as untenable.

3. At the outset, the arguments advanced by the learned senior counsel for the appellant appears to be quite attractive and forceful but when the facts and law of the case are scrutinised, we are of the firm view that argument has to fail resulting into dismissal of the appeals.

4. For sake of brevity, we are reproducing the facts of Civil Appeal No.5500 of 2011 and will briefly refer to the facts in the other Criminal Appeal No.730 of 2014.

5. An order under section 3(1) of COFEPOSA for detaining the appellant was passed by competent authority on 02.01.1978. The representation dated 12.01.1978 made by the appellant against the detention order was rejected by the appropriate authority on 15.02.1978. The appellant thereafter preferred Cr. W.P. No.6 of 1978 before the Delhi High Court which was dismissed by a detailed speaking order by judgment dated 25.09.1978. This order of the Delhi High Court dismissing Cr. W.P.No.6 of 1978 was not carried any further and became final.

6. However, wife of the appellant preferred petition under Article 32 of the Constitution of India before this Court on 04.10.1978 which was registered as W.P.No.4446 of 1978. In the said petition, the detention order dated 02.01.1978 was challenged along with other ancillary reliefs. The said petition was clubbed with group of petitions and were finally dismissed as withdrawn by order dated 27.10.1978 passed by this Court, on the undertaking given on behalf of the Union of India that the detention order would be withdrawn and a complaint would be filed for prosecuting the detenues which included the appellant and others also. Consequent to the undertaking given before this Court, detention order against the appellant was revoked on 09.11.1978. This closes the chapter relating to the detention order, challenge to its validity and revocation.

7. On 10.02.1981, the authority under section 6 of SAFEMA issued show cause notice to the appellant to disclose the sources of income, earnings or assets from which he acquired:

i) House No.2/32 A, Punjabi Bagh, New Delhi;

ii) M/s Apsara Hotel, Arya Samaj Road, New Delhi; and

iii) the deposits with the Bank of India, Karol Bagh, New Delhi.

8. Reply was given to the aforesaid show cause notice by the appellant on 21.03.1981. After considering the reply, notice dated 21.03.1983 was given under section 7(1) of SAFEMA affording him opportunity of being heard. Vide order dated 16.09.1983, the competent authority under SAFEMA forfeited the properties under section 7 thereof. Aggrieved by the same, the