NAVIN CHAWLA, J. (ORAL)

1. This appeal has been filed under Section 35 of the Foreign Exchange Management Act, 1999 [hereinafter, “FEMA”] read with Section 54 of the Foreign Exchange Regulation Act, 1973 [hereinafter, “FERA”], challenging the order dated 29.05.2024 passed by the learned Appellate Tribunal for Foreign Exchange under SAFEMA [“the Tribunal”] in Appeal No. FPA-FE-311/DLI/2005, titled as, “Shri Prakash Chandra Yadav vs. The Special Director, Directorate of Enforcement, Delhi”, inter alia dismissing the appeal filed by the appellant herein.

2. The appellant had filed the above appeal before the learned Tribunal, challenging the order dated 30.11.2004, whereby the learned Adjudicating Authority had imposed a penalty of Rs. 5 Lakhs on the appellant for the alleged contravention of Section 8(1) of FERA.

3. The respondent had imposed the above penalty alleging that one Akbar Veerji, an NRI, had opened a Non-Resident External [“NRE”] account with the Canara Bank by depositing foreign exchange in the following manner:-

i. 01.07.92 (cash) US $500/- equivalent to Rs.14,850/-

ii. 04.07.92 (cash) US $10,000/- equivalent to Rs.2,95,000/-

iii. 17.07.92 (F.I.T.T) US $1,39,000/- equiv