THE HONOURABLE SRI JUSTICE B. VIJAYSEN REDDY WRIT PETITION No.24567 OF 2023 ORDER : (ORAL)

This writ petition is filed by the petitioner seeking the following relief:

“… to issue an appropriate Writ, Direction or Order, particularly one in the nature of Mandamus:

Setting aside the Impugned Order vide G.O.Rt.No.443, dated 24.02.2023 issued by Respondent No.1 to the extent of the property of the Petitioner i.e., house bearing municipal No.8-2-293/82/A/1167/A, with PTI No.1180805560, Plot No.1167, admeasuring 500 Sq. Yards or equivalent to 418 Sq. Meters Part of Sy.No.403/1 (Old), 120 (New) of Shaikpet Village and 102/1 of Hakeempet Village, consisting of stilt + 4 upper floors with a built up area of 12,500 Sq. Feet situated within layout of the Jubilee Hills Co-operative House Building Society Ltd. at Road Number 54, Jubilee Hills, Hyderabad, Telangana, as mentioned in row No.7 of the Impugned Order; and pass …”

2. Learned counsel for the petitioner submitted that the petitioner has purchased the subject property i.e., House bearing Municipal No.8-2-293/82/A/1167/A, with PTI No.1180805560, Plot No.1167, admeasuring 500 Sq. Yards or equivalent to 418 Sq.

Meters Part of Sy.No.403/1 (Old), 120 (New) of Shaikpet Village and 102/1 of Hakeempet Village, consisting of stilt + 4 upper floors with a built up area of 12,500 Sq. Feet situated within layout of the Jubilee Hills Co-operative House Building Society Ltd. at Road Number 54, Jubilee Hills, Hyderabad, from Mr. Boodati Lakshmi Narayana S/o. Anjaneyulu under registered sale deed bearing document No.6093 of 2021 dated 24.09.2021. While so, petitioner came to know through his tenant that impugned order vide G.O. Rt.No.443 dated 24.02.2023 is served on them attaching the subject property under Section 3 of the Telangana Protection of Depositors of Financial Establishments Act 1999 (for short ‘Act

1999’).

3. It is the contention of the learned counsel for the petitioner that impugned order of attachment is illegal and ultravires of Section 3 of the Act 1999, which allows the attachment of properties of a Financial Establishment or its Promoter or Manager or Member of the said Financial Establishment and not third parties. Petitioner is the owner of the subject property and complete stranger to the Financial Establishment, and Section 3 of the Act 1999 cannot be invoked against him.

4. Learned Government Pleader for Home filed counter and submitted that a case in Crime No.158 of 2022 dated 01.08.2022 was registered with Central Crime Station, Detective Department, Hyderabad against one Mr. Boodati Laxminarayana, Managing Director of M/s. Sahiti Infratec Ventures India Private Limited, and others for the offences punishable under Sections 406 and 420 read with Section 34 of the Indian Penal Code 1860 (IPC) and during the investigation Section 5 of the Act 1999 was added to the above crime. It was found during the course of investigation that M/s. Sahiti Infratec Ventures India Private Limited and its directors have induced about 1700 customers in the guise of raising high raise apartments, despite not having any land. The accused have collected about Rs.504,00,00,000/- (Rupees five hundred and four crores only) and cheated the customers. As such, the Investigating Officer has addressed a letter to respondent No.2 with a request to address a letter to the Principal Secretary, Home Department, Government of Telangana, for issuing ad-interim attachment orders under Section 3 of the Act 1999 in respect of the subject property to protect the interest of the depositors and for taking further action. The accused - Mr. Boodati Laxminarayana purchased the subject property under registered sale deed bearing document No.4540 of 2018 dated 02.07.2018 from previous owners Smt. Kalpana Rao W/o. G. Nanda Kishore by obtaining hand loans from Mr. Vinod Kumar Kedia and others. The accused - vendor of the petitioner repaid the hand loans and constructed four (4) floors in the subject property by using the crim