State Bank Of Patiala (Now State Bank Of India) v. The Special Director, Enforcement, Ministry Of Finance, Department Of Revenue
by LAXMIKANT GOPAL CHANDAN Date:
2025.07.03 19:05:43 +0530 LAXMIKANT GOPAL CHANDAN lgc
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
CIVIL APPELLATE JURISDICTION FEMA APPEAL NO.3 OF 2025 WITH INTERIM APPLICATION NO.7511 OF 2025 IN FEMA APPEAL NO.3 OF 2025 Industrial Development Bank of India (IDBI) Ltd.
(Erstwhile United Western Bank Ltd.) Unio of India Through Enforcement Directorate FEMA APPEAL (ST) NO.4112 OF 2025 WITH INTERIM APPLICATION NO.1727 OF 2025 IN FEMA APPEAL (ST) NO.4112 OF 2025 Bank of Baroda Unio of India Through Enforcement Directorate FEMA APPEAL (ST) NO.5062 OF 2025 WITH INTERIM APPLICATION NO.1832 OF 2025 IN FEMA APPEAL (ST) NO.5062 OF 2025 Doha Bank Q.P.S.C.
(Erstwhile HSBC Bank Oman S.A.O.G.)
Union of India Through Enforcement Directorate FEMA APPEAL NO.26 OF 2025 WITH INTERIM APPLICATION NO.3090 OF 2025 IN FEMA APPEAL NO.26 OF 2025 Federal Bank Ltd. Mumbai The Special Director Enforcement, Ministry of Finance Department of Revenue FEMA APPEAL NO.27 OF 2025 WITH INTERIM APPLICATION NO.3745 OF 2025 IN FEMA APPEAL NO.27 OF 2025 Indusind Bank Limited The Special Director Enforcement, Ministry of Finance Department of Revenue FEMA APPEAL NO.28 OF 2025 WITH INTERIM APPLICATION NO.3095 OF 2025 IN FEMA APPEAL NO.28 OF 2025
State Bank of Patiala (Now State Bank of India) The Special Director Enforcement, Ministry of Finance Department of Revenue FEMA APPEAL NO.29 OF 2025 T. V. Ramchandran Nair Former Chief Manager, Inspection Dept.
Federal Bank Ltd.
The Special Director Enforcement, Ministry of Finance Department of Revenue FEMA APPEAL NO.30 OF 2025 V. J. Joseph Former Manager, (ADMIN) Federal Bank Ltd.
The Special Director Enforcement, Ministry of Finance Department of Revenue FEMA APPEAL NO.31 OF 2025 K. Thomas Former Senior Manager, Federal Bank Ltd.
The Special Director Enforcement, Ministry of Finance
Department of Revenue FEMA APPEAL NO.33 OF 2025 L. R. Chandrashekharan Former Manager, Administration, Federal Bank Ltd.
The Special Director Enforcement, Ministry of Finance Department of Revenue FEMA APPEAL NO.34 OF 2025 V. K. Varghese The Special Director Enforcement, Ministry of Finance Department of Revenue FEMA APPEAL NO.35 OF 2025 WITH INTERIM APPLICATION NO.1751 OF 2025 IN FEMA APPEAL NO.35 OF 2025 Canara Bank Mumbai The Special Director Enforcement, Ministry of Finance Department of Revenue ______________________________________________________ Mr.Madhur Rai a/w Mr.Sachin Kanse i/b PRS Legal for the Appellant/Applicant in FEMA No. 3/2025 and FEMA(ST)
No.4112/2025.
Mr.Sanjeev Punalekar i/b PRS Legal for the Appellant/Applicant in FEMA(ST)/5062/2025.
Mr.Raghav Gupta a/w Ms.Tressa Benny & Ms.Rashi Savla i/b Wadia Ghandy & Co. For the Appellant/Applicant in FEMA Nos. 26/2025, 27/2025 28/2025, 29/2025, 30/2025, 31/2025, 33/2025, 34/2025 and 35/2025 Ms.Neha Bhide, SPP for the Respondent - ED in FEMA/3/2025, FEMA (ST) No. 4112/25 and FEMA (ST) No. 5062/2025. FEMA Nos. 27/2025, 29/2025, 30/2025, 31/2025, and 34/2025 Mr.Anil D.Yadav for the the respondent - ED in FEMA Nos. 26/2025, 28/2025, 33/2025 and 35/2025 ______________________________________________________ CORAM : M.S. Sonak & Jitendra Jain, JJ.
DATED : 03 JULY 2025 PC:- 1.
Heard learned counsel for the parties.
2.
We admit these Appeals on the following questions of law:- a. Whether in the facts and circumstances of the case and in law, the Adjudicating Authority was justified in Imposing liability on the Appellant on the basis of vague, unclear and unspecific charges reflected in the Show Cause Notice/ Addenda dated 20th November 2000 which was issued belatedly as an afterthought and without the Appellant being provided with specific particulars of the charge framed against it?
b. Whether in the facts and circumstances of the case and in law, the Appellate Tribunal was justified in holding that the Appellant had abetted the violation of the provisions of Section 8(3) of FERA by the entities forming part of the HAMCO Group, merely because the Appellant was, as an officer of the Bank, involved in opening L/Cs and/ or authorizing remittances thereunder, on behalf of the HAMCO Group?
c. Whether in the facts and circumstances of the case and in law, the Appellate Tribunal was correct in holding 'negligence' to be synonymous with 'abetment' particularly when the ingredients of abetment, including mens rea were not alleged, let alone proved? d. Whether in the facts and circumstances of the case and in law, the offence under Section 107 of the Indian Penal Code, 1860 is made out in the absence of allegations, let alone evidence, regarding specific mental state of the Appellant? e. Whether in the facts and circumstances of the case and in law, the Appellate Tribunal has erred in not considering that the Respondent has failed in fulfilling its duty of proving the allegations against the Appellant regarding violation of law 'beyond reasonable doubt' in the proceedings, which are quasicriminal in nature? f.
Whether the penalty imposed under Section 50 of FERA for opening L/Cs in the absence of Bill of Entry is tenable?" 3.
Ms. Bhide waives service on behalf of the Respondent in FEMA/3/2025, FEMA (ST) No. 4112/25 and FEMA (ST) No. 5062/2025. FEMA Nos. 27/2025, 29/2025, 30/2025, 31/2025, and 34/2025 and Mr. Yadav waives service on behalf of the Respondent in FEMA Nos. 26/2025, 28/2025, 33/2025 and 35/2025.
4.
Tag these Appeals along with FEMA No.5 of 2025.
5.
All Interim Applications in these Appeals as well as Interim Application No.7587 of 2025 in FEMA No.5 of 2025 will be taken up on 09 July 2025.
(Jitendra Jain, J) (M.S. Sonak, J)