( 1) Notwithstanding anything contained in any other law for the time being in force,—
(a) where upon complaints received from the depositors or otherwise, the State Government is satisfied that any financial establishment has failed—
(i) to return the deposit after a specified period or on demand by the depositor, or
(ii) to pay interest or other assured benefit accrued on such deposit, or
(iii) to provide the services promised against such deposit; or
(b) where the State Government has reason to believe as recorded in writing that any financial establishment is acting in a manner detrimental to the interest of the depositors with an intention to defraud them; or
(c) where the State Government is satisfied that any financial establishment is not likely—
(i) to return the deposit, or
(ii) to make payment of interest accrued on such deposit, or
(iii) to provide benefits assured on such deposit, or
(iv) to provide the services against which the deposit is received,
(d) where the State Government is satisfied that any financial establishment committing a default in repayment of deposit fraudulently, has transferred (whether after the commencement of the Act or not) any of the property otherwise than in good faith and for consideration, it may, in order to protect the interest of the depositors of such financial establishment, by an order to be published in the Official Gazette and after recording reasons in writing, attach the money or other property acquired either in the name of such financial establishment or in the name of any other person on behalf of such financial establishment:
Provided that if it is found that such money or other property as referred to above is not available for attachment or is not sufficient for repayment of the deposits, the State Government may attach—
(a) firstly, such other property believed to have been acquired with the money collected by way of deposits by such financial establishment; and
(b) secondly, the personal assets of the promoter, partner, director, manager, member, employee or any other person responsible for the management of the said financial establishment; and
(c) thirdly, the personal property of a person who has borrowed money from such financial establishment to the extent of his default.
PART IV] THE KOLKATA GAZE! IL, EXTRAORDINARY, MAY 14, 2015 7 The West Bengal Protection of Interest of Depositors in Financial Establishments Act, 2013.
(Sections 6, 7.)
(2) On the publication of the order under sub-section (1), all the properties and assets of the financial establishment and the persons mentioned therein, shall forthwith vest in the Competent Authority appointed by the State Government and shall remain vested pending further order from the Designated Court.
(3) Save as otherwise specially provided in any other law, the attachment shall be made in the manner provided for attachment of property in execution of decree under Order XXI, Rules 43, 43A, 46, 47, 49, 50, 51 and 54 of the Code of Civil Procedure,
1908.
5 of 1908.
Power to enter premises and inspect certain documents.
Search, seizure and confiscation of property and its management.
(4) The Competent Authority shall, within thirty days from the date of the publication of an order under sub-section (1), make an application, supported by an affidavit stating the grounds on which the State Government has issued the said order under that sub-section and the amount of money or other property believed to have been acquired out of the deposits and the details, if any, of persons in whose name such property is believed to have been invested or acquired and any other property attached under this section, to the Designated Court of making the ad interim order of attachment absolute and for a direction to sell the property so attached by public auction and realized the sale proceeds and may also apply for such further order or orders as the Competent Authority may find necessary.
(5) The Competent Authority may also make an application to any Special Court or Designated Court or any other judicial forum established or constituted or entrusted with the powers by any other Government under any similar enactment for adjudicating any issue or subject-matter pertaining to money or property or assets belonging to or ostensibly belonging to a financial establishment or any person mentioned in the order under sub-section (I), situated within the territorial jurisdiction of that Special Court or Designated Court or any judicial forum, as the case may be, for passing appropriate orders to give effect to the provisions of this Act .
6. (I) The State Government may, by notification, authorize the Competent Authority or any authority under the Competent Authority to carry out the purposes of this Act to enter and search any premises, where it has reason to believe that any register, book, record, paper, application, information in electronic storage and retrieval device or medium, instrument or proceedings are kept and to inspect them and to take such notes and extracts as it may deem necessary.
(2) Every person having in his custody or maintaining such register, book, record, paper, application, instrument or proceedings shall at all reasonable times produce or permit the Competent Authority or any other authority authorized by the Competent Authority to inspect them to take notes and extracts as it may deem necessary and if necessary seize and impound them:
Provided that no residential accommodation (not being a place of business cum residence) shall be so entered into and searched except on the authority of a search warrant issued by a Magistrate having jurisdiction over the area, and all searches under this section shall, so far as may be made in accordance with the provisions of the Code of Criminal Procedure, 1973.