The provisions of the Criminal Law (Amendment) Ordinance, 1944, for the continuation of attachment during an appeal apply only to assets attached under the Ordinance.

ORDER :

1. Heard the learned counsel Sri Vedula Srinivas appearing on behalf of the Petitioner and the learned Special Public Prosecutor for CBI.

2. This Writ Petition is filed praying to issue a Writ of Mandamus to declare the action of the 1st Respondent in continuing the assets of the petitioner under the order of freezing even after the acquittal of the petitioners in C.C. No. 25/2009 by the Court of III Addl., Special Judge for CBI Cases, Hyderabad dated 04.06.2019, merely on the ground that an appeal against the same is pending in this Court in Crl. Appeal No. 1078/2019 as illegal, arbitrary and unauthorized and to issue a consequential direction to the 1st Respondent to forthwith withdraw the freezing of the accounts belonging to the petitioners maintained by respondents 2 to 5 in the form of S.B. Account bearing No. 680 (presently No. 02181001100680) and also a locker No. 24 of the 1st Petitioner with the 2nd respondent, S.B. Account No. 201394 (Presently No. 021810025201394) of the 2nd Petitioner with the 2nd Respondent, Demat Account bearing No. 13040800 00003977 pertaining to the shares held by 2nd Petitioner with 3rd Respondent, Demat Account bearing No. 10550045 of the 1st Petitioner with the 4th Respondent and Demat Account bearing No. 28895602of the 2nd Petitioner with the 5th Respondent, and also release the cash of Rs. 1,14,000/- seized during the search at the Petitioner’s residence.

3. The case of the Petitioner in brief, is as follows:

(a) The Petitioner worked as Commissioner of Income Tax and retired on 31.05.2016. While the petitioner was working at Kolkata, there was a search by the Authorities of CBI (ACB), Hyderabad, on the allegation that the petitioner is in possession of assets disproportionate to his known sources of income. Subsequently, a FIR was registered in No. RC 4(A)/2007, dated 13.02.2007 and then C.C. No. 25/2009 under the provisions of Prevention of Corruption Act, 1988 was registered against the Petitioner and his wife.

(b) As a consequence, the Authorities of the 1st Respondent have filed an application under Regulation 4 of the Criminal Law Amendment Ordinance, 1944 seeking ad-interim attachment of certain properties on the allegation that the quantum of the assets disproportionate to the petitioner’s known sources of income is Rs. 1,22,27,609/-. The Court has passed an order of attachment on 05.11.2013 in Crl. M.P. No. 359/2011 and the same is continued till the disposal of the C.C. No. 25/2009.

(c) Furthermore, the 1st Respondent has also issued proceedings directing Respondent Nos. 2 to 5, to freeze the operations of the petitioner in the respective accounts held by him with those respondents. In so far as the 2nd Respondent is concerned, the petitioner held S.B. Account bearing No. 680 (presently No. 02181001100680) and also locker No. 24. The 2nd Petitioner also held S.B. Account No. 201394 (Presently No. 021810025201394) in the said bank. In so far as the 3rdRespondent is concerned the 2nd Petitioner held a Demat Account bearing No. 13040800 00003977 pertaining to the shares held in certain companies. With respect to the 4thRespondent, the petitioner held a Demat Account bearing No. 10550045. With respect to 5th Respondent, the 2ndpetitioner held a Demat Account bearing No. 28895602. All these accounts have been frozen by the 1st Respondent, while registering the FIR against the petitioners. In addition to this, the 1st Respondent has also taken cash balance of Rs. 1,14,000/- from the house of the petitioners.

(e) Subsequently, the trial took place in C.C. No. 25/2009 and it was decided in acquittal in favour of the accused therein, vide Judgment dated 04.06.2019. Aggrieved by the same, the 1st Respondent has preferred an appeal before this Court and the same is pending as Crl. Appeal No. 1078/2019.

(f) The assets belonging to the petitioners as mentioned above were never attached b