FINAL ORDER  

05.12.2024

1. By these batch of appeals, a challenge has been made to the order dated 01.06.2023under section 26 of the Prevention of Money Laundering Act, 2002 (in short, „The Act of 2002‟) passed by the Adjudicating Authority confirming the provisional attachment order.

2. It is a case where on 12.07.2022 an FIR No. 129/ 22 was registered by the Kadugodi Police station Whitefield, Bengaluru. It was for the offence under section 186, 204, 353 and 120 B of IPC. The main accused Suryakant Tiwari was residing in Raipur. The allegation was made against the other accused also. The offence under section 384 IPC was thereupon added by the Karnataka State Police on 03/09/2022.

3. The Central Board of Direct Taxes (CBDT) issued an Office Memorandum (O.M.) on 13.09.2022 titled as “sharing of information with ED in the case of M/s Jai Ambey Group of Raipur (Suryakant Tiwari Group)” based on the report of DGIT, Investigation, Bhopal.

4. As per the O.M., Mr Suryakant Tiwari colluded with Chhattisgarh State Government officials to carry out the offences of large scale illegal extortion punishable under section 384 read with 120 B of IPC. The CBDT disclosed the need of Enforcement Directorate to investigate the matter for contravention of section 3 of the Act of 2002.

5. According to the FIR and the documents received by the Income Tax Department, a search and seizure operation was conducted on the premises of Suryakant Tiwari and his associates. Various evidences in the form of handwritten diaries, papers and digital evidences were collected which revealed cash transaction by a syndicateoperated and coordinated by Shri Suryakant Tiwari along with his associates and other individuals. The syndicate was collecting un-authorized cash over and above the legal amount fixed against the Coal Delivery Order issued by SECL(South Eastern Coalfields Limited) for various entities carrying out lifting and transportation of coal throughout the State of Chhattisgarh.

6. The syndicate operated by Suryakant Tiwari and his associates was involved in illegal collection of Rs. 25/- for everyton of coal transportation from mines with the active involvement of State Mining Officials/District Officials and NetworkAgents stationed in the coal belt. The syndicate operated in a well planned conspiracy, with delivery of orders only after illegal payment to the syndicate. Surya Kant Tiwari was assisted by the Government official like Smt. Saumya Chaurasia, Deputy Secretary, CMO (Chhattisgarh Administrative Officer), Sameer Vishnoi, Indian Administrative Services Officer and associates like Rajnikant Tiwari, Roshan Singh, Nikhil Chandrakar, Sheikh Moinudeen Qureshi, Hemant Jaiswal, Joginder Singh etc.

7. The collected money was to be distributed amongst the accused and even to settle the bribe money to the Government Officers and politicians to fund election expenditures. The investigation revealed that large portion of money has been channelized into layered transactions to project it as untainted money and brought into the main stream by investing in the properties, coal washeries and other assets.

8. In terms of the permission received from the learned Court of Metropolitan Magistrate, Bangalore, section 384 IPC was added in the FIR but while filingthe chargesheet on 08.06.2023, it was not for the offence under section 384 IPCand thereby cognizance of offence was taken for offence under section 204 and 353 of IPC only. The ECIR was registered on 29.09.2022 when the offence under section 384 IPC was existing with its addition in the FIR though while filing the charge sheet much later on08.06.2023, it was not filed for the offence under section 384. However it was with the endorsement that Suryakant Tiwari and its syndicate are operating in the state of Chhattisgarh.Thus,the offence under section 384 IPC be taken up by Chhattisgarh State Police. An FIR was thus registered by the Chhattisgarh State Police hon 17.01.2024 vide FIR number 03/2024 which was for the o