(1) Where the assets available for attachment of a Financial Establishment or other person referred to in section 3 are found to be less than the amount or value which the Financial Establishment is required to repay to the depositors and where the Court of District and Sessions Judge of Competent Jurisdiction or the Special Court constituted under this Act is satisfied by affidavit or otherwise that the said Financial Establishment has transferred (whether after the commencement of this Act or not ) any of the property otherwise than in good faith and for consideration the Court of District and Sessions Judge of Competent Jurisdiction or the Special Court constituted under this Act may, by notice, require any transferee of such property (whether or not he received the properly directly from the said Financial Establishment) to appear on date to be specified in the notice and show cause why so much of the transferee’s property as is equivalent to the proper value of the property so transferred should not be attached.
(2) Where the said transferee does not appear and show cause on the specified date or where after investigation in the manner provided in sub-section (5) of section10, and the Court of District and Sessions Judge of Competent Jurisdiction or the Special Court constituted under this Act is satisfied that the transfer of the property to the said transferee was not in good faith and for consideration, the Court of District and Sessions Judge of Competent Jurisdiction or the Special Court constituted under this Act shall order the attachment of so much of the said transferee’s property as is in the opinion of the Court of District and Sessions Judge of Competent Jurisdiction or the Special Court constituted under this Act is equivalent to the proper value of the property transferred.
8 The Arunachal Pradesh Extraordinary Gazette, October 6, 2017 Security in lieu of attachment :
12. Any Financial Establishment or person whose property has been or is about to be attached under this Act, may, at any time, apply to the District and Sessions Judge of Competent jurisdiction or the Special Court constituted under this Act for permission to give security in lieu of such attachment and where the security offered and given is in the opinion of the Court, of District and Sessions Judge of Competent jurisdiction or the Special Court constituted under this Act satisfactory and sufficient, it may cancel the ad-interim order of attachment or as the case may be, refrain from passing the order of attachment.
Administration of property attached :
13. The Court of District and Sessions Judge of Competent Jurisdiction or the Special Court constituted under this Act may on the application of any person interested in any property, attached under this Act and after giving the competent authority an opportunity of being heard, make such orders as the District and Sessions Judge of competent Jurisdiction or the special Court constituted under this Act considers just and reaonable for providing of such property attached as the applicant claims an interest in, such sums, as may be reasonably necessary for the maintenance of the applicant and his family and for expenses connected with the defense of the applicant where criminal proceedings have been instituted against him in the Court of District and Sessions Judge of Competent Jurisdiction or the Special Court.
Appeal :
14. Any person including the competent authority, if aggrieved by an order of the Court of District and Session Judge of Competent Jurisdiction or the Special Court constituted under this Act, may appeal to the High Court within thirty days from the date of the order.
Special Public Prosecutor :
15. Government shall by notification, appoint an Advocate having not less than 7 years; standing as a Special Public Prosecutor for the purpose of conducting the cases falling under this Act in the Court of District and Session Judge or Special Court.
Procedure and powers of the Court of District and Sessions Judge regarding offences :