The main legal point established in the judgment is the use of evidence, including call records, diaries, and confession statements, to establish the appellant's involvement in hawala transactions for terrorism purposes.

Sanjiv Khanna, J.:—

The appellant Zafar Umar Khan @ Jafar Umar by the impugned judgment dated 4th January, 2011 has been convicted for offences under Section 22(2) of the Prevention of Terrorism Act, 2002 (hereinafter referred to as, POTA) and Section 25 of the Arms Act (hereinafter referred to as, the Act). By order of sentence dated 10th January, 2011 under Section 22(2) POTA the appellant has been sentenced to undergo Rigorous Imprisonment for a period of 14 years and fine of Rs.10,000/- and under Section 25 Arms Act he is to undergo Rigorous Imprisonment for a period of seven years with fine of Rs.10,000/-. In case of default in payment of fine, the appellant has to undergo Rigorous Imprisonment for one year on each account.

2. Briefly, the prosecution case is that pursuant to secret information, which was reduced into writing vide DD No. 18 dated 13th May, 2003, Special Cell, Northern Range (SB), Ashok Vihar, a police team led by Inspector Kulbhushan Sharma (PW-32) consisting of SI Umesh Sharma (PW-9), ASI Ishwar Singh (PW-12), SI Surender Prakash (PW-13) and Head Constable Hira Lal (PW-6) was formed which reached Veer Bhumi, Ring Road at about 2.30 P.M. The informer was with the police team. Once the appellant had received Rs. four lacs from Rakesh Kumar, at about 2.45 P.M. he was apprehended. From the appellant a nine mm pistol, with nine live cartridges, was recovered for which he could not produce a licence or permit. Two diaries were recovered which purportedly had coded information. The police deciphered the codes and discovered that the diaries contain details of earlier hawala transactions, in which appellant was involved. It is alleged that the said funds were being transmitted by a terrorist organization for purposes of terrorism in India which is an offence punishable under Section 18, POTA.

3. In order to appreciate the case and the contentions of the prosecution and appellant, we feel it will be appropriate and convenient to divide this judgment into three parts; action and arrest of the accused on 13th May, 2003 and the recoveries made; whether the appellant had received hawala money earlier and whether money received earlier and Rs.4 lacs allegedly seized on 13th May, 2003 were for the purpose of spreading terrorism in India; quantum of sentence. Action and arrest of the accused on 13th May, 2003 and the recoveries made

4. To prove and establish the action which led to the alleged seizure and arrest of the appellant, as noticed above, the prosecution relies upon statements of Head Constable Hira Lal (PW-6), SI Umesh Sharma (PW-9), ASI Ishwar Singh (PW-12), and Inspector Kulbhushan Sharma (PW-32). Another member of the raiding party, SI Surinder Prakash was examined as PW-13 but his cross-examination remained incomplete and, therefore, his statement cannot be referred to. The statements of PW-6, 9, 12 and 32 are almost in seriatim. They corroborate with each other and are supported by the contemporaneous documentary record in the form of DD entries etc. which we shall refer to. We are first referring to the statement of Inspector Kulbhushan Sharma (PW-32) since he was the investigating officer. He has deposed that at about 1.25 P.M. on 13th May, 2003 a secret informer intimated that one person would come to Veer Bhumi to collect hawala money which was to be used for the purpose of terrorism in Kashmir.

DD entry No. 18 (Exhibit PW-32/A) was recorded at 1.25 P.M. at Special Cell, Northern Range. ACP P.S. Khushwaha was informed who directed PW-32 to form a raiding party. The raiding party consisting of PW-6, 9, 12 and 13 was formed which made a departure to the place of action, as was recorded in DD No. 19 (Exhibit PW-32/B). Public witnesses were requested but they did not agree to join. In the meanwhile, the informer signaled that the person who was to receive the hawala money was approaching Veer Bhumi from Darya Ganj. The raiding party members took their positions. After about ten minutes, second person