YAQOOB KHAN and anothers vs The STATE
The petitioners sought post-arrest bail in case FIR No. 36 dated 10-6-2015 registered under sections 5 and 23 of the Foreign Exchange Regulation Act, 1947, sections 3 and 4 of the Anti-Money Laundering Act, 2010, and section 6 of the Passport Act, 1974 at Police Station FIA/CBC, Peshawar, after their bail application was dismissed by the lower court. The core legal question was whether the petitioners were entitled to bail given the non-compliance with mandatory search procedures and the tentative nature of the recovery of Pakistani currency allegedly connected to Hundi/Hawala business. The Peshawar High Court held that the failure to associate respectables of the locality during the raid as required by section 103 of the Code of Criminal Procedure, 1898, combined with the question of whether the recovered Pakistani currency actually belonged to the petitioners or constituted proceeds of illegal business, rendered the case one of further inquiry. The court laid down the principle that procedural lapses in raids under section 103 of the Code of Criminal Procedure, 1898 and the tentative nature of recovery of national currency in Hundi/Hawala cases make out a prima facie case for further probe, entitling the accused to bail.
- Does failure to associate respectable witnesses from the locality during a raid under section 103 of the Code of Criminal Procedure, 1898 entitle the accused to post-arrest bail?
- Whether the recovery of Pakistani currency in connection with an alleged Hundi/Hawala business warrants further inquiry when ownership of the money is disputed?
- Is an accused charged under the Foreign Exchange Regulation Act, 1947 and Anti-Money Laundering Act, 2010 entitled to bail when the case against him is based on tentative assessments requiring trial evidence?
- Section 5, Foreign Exchange Regulation Act 1947
- Section 23, Foreign Exchange Regulation Act 1947
- Section 3, Anti-Money Laundering Act 2010
- Section 4, Anti-Money Laundering Act 2010
- Section 6, Passport Act 1974
- Section 103, Code of Criminal Procedure 1898
' QAISER RASHID KHAN, J.---Petitioners; seek bail in case FIR No,36 dated 10-6-2015 under sections 5/23 Foreign Exchange Regulation Act, 1947, 3/4 Anti-Money Laundering Act, 2010 and section 6 of the Passport Act, 1974, Police Station FIA/CBC, Peshawar after having been refused the said relief by the learned court below.
2. Allegations against the accused-petitioners are that they were found dealing in the illegal business of Hundi/Hawala at Shop No, A-5 1st Floor, City Centre, Naz Cinema Road Peshawar City whereby Pakistani currency of Rs,12923000 along with certain documents, registers, cheque books and deposit slips etc, were recovered from them on 10-6-2015, hence the FIR ibid. Arguments heard and record perused.
3. As per the FIR, it was on prior information that Hundi/Hawala business was being carried out at Shop No, A-5 Naz Cinema Road Peshawar when a raid was conducted by the FIR raiding party and the accused- petitioners were found in the shop along with the Pakistani currency and the documents etc. As mentioned above. Despite prior information the raid was conducted without complying with the mandatory provisions of section. 103, Cr.P.C. As no respectables of the locality were associated to confirm the seizure of the money, documents and registers etc. From the accused-petitioners. Moreover, the amount so recovered from the accused-petitioners is Pakistani currency and as to whether the said money belongs to the accused- petitioners or is indeed the amount involved in the business of Hundi/Hawala is a question which can only be thrashed out during the course of trial after recording evidence. Taking' all these factors in juxtaposition, the case of the accused-petitioners is prima facie one of further probe, entitling them to the concession of bail.
Accordingly, this bail petition is allowed and the accused-petitioners namely, Yaqoob Khan and Rehman Shah are granted bail provided each of them furnishes bail bonds in the sum of Rs,500000 (five lac) with two sureties, each in the like amount, to the satisfaction of Illaqa/Judicial Magistrate who shall ensure that the sureties are local, reliable and men of means.
Before parting with this order, it is directed that any observations recorded in this order, being purely tentative in nature, should in no way prejudice the proceedings before the learned trial Court where the case be decided on its own merits after recording evidence.
These are the reasons for my short order of the even date.
Cited by 2 cases
- (1) Jumma Khan & 1 another (2) Zeeshan vs The State 2018 PHC 1424
- JUMMA KHAN Versus State 2018 PCrLJN 135