(1) No Court, other than the Court of District and Sessions Judge of Competent Jurisdiction or the Special Court constituted under this Act shall have jurisdiction in respect of any matter to which the provisions of this Act apply.
(2) For the purpose of speedy disposal of cases under this Act, the Government may, with the concurrence of the Chief Justice of the Gauhati High Court, by notification, constitute one or more Special Courts consisting of a single Judge not below the rank of a District and Sessions Judge or Additional District and Sessions judge for such area or areas or for such class or classes of cases as may be specified in the notification.
(3) While trying cases by the Special Court under this Act, it shall exercise the powers, functions and jurisdiction as are available to a District and Sessions Judge of the competent jurisdiction.
(4) Any pending case in any other Court to which the provisions of this Act apply, shall stand transferred to the court of District and Sessions Judge of Competent Jurisdiction or the Special Court constituted under this Act.
(5) The District and Sessions judge of Competent Jurisdiction or the Special Court constituted under this Act on application by the Competent Authority shall pass such order or issue such direction as may be necessary for the equitable distribution among the depositors of the money realized from and out of the property attached.
Powers of the Court :
10.(1) Upon receipt of an application under section 6 the District and Sessions Judge of Competent Jurisdiction or the special Court constituted under this Act shall issue to the Financial Establishment or to any other person whose property is attached by the Government under section 3, a notice accompanied by an application and affidavit and the evidence, if any, recorded, calling upon him to show cause on a date to be specified in the notice as to why the order of attachment should not be made absolute.
The Arunachal Pradesh Extraordinary Gazette, October 6, 2017 7
(2) The Court of District and Sessions Judge of Competent Jurisdiction or the Special Court constituted under this Act shall also issue such Notice to all other persons representing it as having or being likely to claim any interest or title in the property of the Financial Establishment or person to whom the notice is issued calling upon such person to appear on the same date specified in the notice and make objection if he so desires to attachment of the property or any portion thereof on the ground that he has an interest in such property or portion thereof.
(3) Any person claiming an interest in the property attached or any portion thereof may, notwithstanding that no notice has been served upon him under this section, make an objection as aforesaid to the Court of District and Sessions Judge of Competent Jurisdiction or the Special Court constituted under this Act at any time before an order is passed under subsection (4) or sub -section (6).
(4) If no cause is shown and no objections are made on or before the specified date the Court of District and Sessions Judge of Competent Jurisdiction or the special Court constituted under this Act shall forthwith pass an order making the ad-interim order of attachment absolute.
(5) If cause is shown or any objection is made as aforesaid the Court of District and Sessions Judge of competent Jurisdiction or the Special Court constituted under this Act shall proceed to investigate the same and in so doing, as regards the examination of the parties and in all other respects, the Court of District and Sessions Judge of Competent Jurisdiction or the Special Court constituted under this Act shall, subject to the provisions of this Act, follow the procedure and exercise all the powers of a Court in hearing a suit under the Code of Civil procedure, 1908 and any person making an objection shall be required to adduce evidence to show that on the date of attachment he had some interest in the property attached.
(6) After investigation under sub-section (5), the District and Sessions Judge or the Special Court shall pass an order making the ad- interim order of attachment absolute or varying it by releasing a portion of the property from attachment or cancelling the ad-interim order of attachment.
Provided that the Court of District and Sessions Judge of Competent Jurisdiction or the Special Court constituted under this Act shall not release from attachment , any interest, which it is satisfied that the Financial Establishment or the person referred to in the Subsection (1) has in the property unless it is also satisfied that it will remain under attachment an amount or property of value not less than the value that is required for repayment to the depositors of such Financial Establishment.
Provided further that, the Designated Court shall on an application by the Competent Authority pass such order or issue such directions as may be necessary for the equitable distribution among the depositors of the money attached or realized out of the sale and in case the money realized from the sale of property is not enough to cover the shortfall, the Designated Court may impose fine on every person or an employee responsible for the management of or conducting of business of affairs of such Financial Establishment to cover the shortfall as may be necessary for the purpose of repayment to the depositors.
(7) Notwithstanding anything contained in section 438 of the Code of Criminal Procedure Code, 1973 (Central Act 2 of 1974), no Court shall grant anticipatory bail to any person under this Act.
Attachment of properties of malafide transferees :