Skip to main content

A tougher law to confiscate fugitives' assets

By
Spurred by the adverse publicity over liquor baron Vijay Mallya and former cricket administrator Lalit Modi leaving the country to evade legal 
proceedings, the government announced that it will bring a new law or amend the existing ones to confiscate the assets of such individuals.


"In the recent past, there have been instances of big-time offenders, including economic offenders, fleeing the country to escape the reach of law...
The government is considering introduction of legislative changes, or even a new law, to confiscate the assets of such persons located within the 
country till they submit to the jurisdiction of the appropriate legal forum," finance minister Arun Jaitley said.

When enacted, the move to confiscate assets could lead to the government attaching the assets of fugitives like Mallya, including shares controlled
by him in companies like United Breweries Ltd and United Spirits Ltd. 

However, it's not clear what happens if third party rights are already created on these assets, like in the case of Mallya who has pledged them as 
securities to multiple lenders. The existing laws have more limitations with regard to confiscation, which may go if there's a new law. 

02ND FEBRUARY, 2017, THE TIMES OF INDIA,NEW-DELHI

Comments

Post a Comment

Popular posts from this blog

Budget: Startup sector gets new Fund of Funds, FM to allocate Rs 10K cr

By
  The Indian startup sector received a boost with Finance Minister Nirmala Sitharaman announcing the establishment of a new fund of funds (FoF) in the Budget 2025. The minister unveiled a fresh FoF with an expanded scope, allocating Rs 10,000 crore. The initial fund of funds announced by the government with an investment of Rs 10,000 crore successfully catalysed commitments worth Rs 91,000 crore, the minister said.   “The renewal of the Rs 10,000 crore commitment to the Fund of Funds for alternative investment funds (AIFs) is a significant step forward for the Indian startup and investment ecosystem. The initial Rs 10,000 crore commitment catalysed Rs 91,000 crore in investments, and I fully expect this fresh infusion to attract an additional Rs 1 lakh to Rs 1.5 lakh crore in capital,” said Anirudh Damani, managing partner, Artha Venture Funds.   Damani further added that this initiative will provide much-needed growth capital to early-stage startups, further strengthenin...
Post a Comment
Read more

GST collection for November rises by 8.5% to Rs.1.82 trillion

By
  New Delhi: Driven by festive demand, the Goods and Services Tax (GST) collections for the Union and state governments climbed to Rs.1.82 trillion in November, marking an 8.5% year-on-year growth, according to official data released on Sunday. Sequentially, however, the latest collection figures are lower than the Rs.1.87 trillion reported in October, which was the second highest reported so far since the new indirect tax regime was introduced in 2017. The highest-ever GST collection of Rs.2.1 trillion was reported in April. The consumption tax figures highlight the positive impact of the recent festive season on goods purchases, providing a much-needed boost the industry had been anticipating. The uptick in GST collections driven by festive demand had been anticipated by policymakers, who remain optimistic about sustained growth in rural consumption and an improvement in urban demand. The Ministry of Finance, in its latest monthly economic review released last week, stated that I...
Post a Comment
Read more