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Ancestral Property Not Safe From PMLA Attachment
20 Feb
Summary
- Delhi High Court ruled ancestral property can be attached.
- Law offers no exception for inherited assets under PMLA.
- Attachment upheld for property representing proceeds of crime.
The Delhi High Court has definitively stated that ancestral property is not exempt from attachment in cases involving the Prevention of Money Laundering Act (PMLA). A bench comprising Justices Navin Chawla and Ravinder Dudeja dismissed an appeal against a 2025 order of the appellate tribunal.
The appellant had argued that his inherited property, purchased by his father in 1991, should not be attached. However, the court found this stance to be misconceived. The bench clarified that the PMLA does not carve out any exceptions for ancestral or inherited properties.
The court noted that the adjudicating authority had found the property's value equivalent to 'proceeds of crime' from scheduled offenses. The appellate tribunal's decision also reflected a thorough review of the evidence, leading to the dismissal of the appeal on February 16.
