Code
(1) If as a result of the inquiry, investigation or survey under section 116, the
Court has reason to believe that all or any of such properties are proceeds of crime, it may
serve a notice upon such person (hereinafter referred to as the person affected) calling
upon him within a period of thirty days specified in the notice to indicate the source of
income, earnings or assets, out of which or by means of which he has acquired such
property, the evidence on which he relies and other relevant information and particulars,
and to show cause why all or any of such properties, as the case may be, should not be
declared to be proceeds of crime and forfeited to the Central Government.
(2) Where a notice under sub-section (1) to any person specifies any property as
being held on behalf of such person by any other person, a copy of the notice shall also be
served upon such other person.
Explanation:
This section outlines the procedure for attaching properties suspected to be proceeds of crime. It empowers the Court to issue a notice to the person suspected of acquiring such property, demanding an explanation of the source of funds used to acquire it within a 30-day timeframe. The individual must provide evidence supporting their claim and address why the property shouldn’t be declared as proceeds of crime and forfeited to the Central Government.
Illustration:
- Suppose an investigation reveals a person acquired a luxurious villa using funds disproportionate to their known income. The Court, suspecting the villa to be proceeds of crime, can issue a notice under Section 119. The individual must then demonstrate the legitimate source of the funds used to purchase the villa within 30 days.
Common Questions and Answers:
- Q: Who can issue a notice under Section 119?
A: The Court, based on an inquiry, investigation, or survey conducted under Section 116 of BNSS.
- Q: What information should be included in the notice?
A: The notice should specify the properties suspected to be proceeds of crime, the person affected, and the 30-day deadline for providing information. It should also demand the source of income, evidence supporting the claim, and any relevant particulars.
- Q: What happens if the person fails to provide the required information?
A: The Court can presume that the properties are proceeds of crime and order their forfeiture to the Central Government.
