(1) Where the Lokayukta or any investigating oHicer authorized by it in this behalf. has reasons to believe, which shall be recorded in writing, on the basis of material in his possession, that -
(a) any person is in possession of any proceeds of corruption;
(b) such person is accused of having committed an offence relating to corruption; and
(c) such proceeds of offence are likely to be concealed, transferred or dealt with in any manner which may result in frustrating any proceedings relating to confiscation of such proceeds of offence, the Lokayukta or the investigating officer, may, by order in writing, provisionally attach such property for a period not exceeding ninety days from the date of the order, in the manner as provided in the Second Schedule to the Income-tax Act, 1961 and the Lokayukta and the officer shall be deemed to be an officer under subrule (e) of rule 1 of that Schedule.
(2) The Lokayukta shall, immediately after attachment under sub-section
(1). forward a copy of the order, along with the material in his pos.session. referred to-in that sub-section. to the Special Court, in a sealed envelope, In the manner as 11 may be prescribed and such Court may extend the order of attachment and keep such material for such period as the Court may deem fit.
(3) Every order of attachment made under sub-section (1) shall cease to have effect after the expiry of the period specified in that sub-section or after the expiry of the period as directed by the Special Court under sub-section (2).
(4) Nothing in this section shall prevent the person interested in the enjoyment of the immovable property attached under sub-section (1) or sub-section
(2), from such enjoyment.
Explanation. - For the purpose of this. sub-section, "person interested", in relation to any immovable property, includes all persons claiming or entitled to claim any interest in the property.
Confirmation 24. (1) The Lokayukta, when it provisionally attaches any property under subof attachment section (1) of section 23 shall, within a period of thirty days of such attachment, of assets direct its prosecution wing to file an application stating the facts of such attachment before the Special Court and make a prayer for confirmation' of attachment of the property till completion of the proceedings against the public servant in the Special Court.
Confiscation of assets, proceeds, receipts a n d benefits a ris e n or procured by means of corruption in special circumstances
(2) The Special Court may, if it is of the opinion that the property provisionally attached had been acquired through corrupt means, make an order for confirmation of attachment of such property till the completion of the proceedings against the public servant in the Special Court.
(3) If the public servant is subsequently acquitted of the charges framed against him, the property, subject to the orders of the Special Court, shall be restored to the concerned public servant along with benefits from such property as might have accrued during the period of attachment.
(4) If the public servant is subsequently convicted of the charges of corruption, the proceeds relatable to the offence under the Prevention of Corruption Act, 1988 shall be confiscated and vest in the Government free from any encumbrance or leasehold interest excluding any debt due to any bank or financial institution.
Explanation. - For the purposes of this sub-section, the expressions "Bank", "debt" and "financial institution" shall have the meanings respectively assigned to them in clauses (d), (g) and (h) of section 2 of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993.