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Supreme Court of India 2017-08-17 allowed

Domnic Alex Fernandes (D) Through Lrs. & Ors vs Union of India and Ors

Bench: 2 — Adarsh Kumar Goel

In Brief

A property owner detained under smuggling laws had his property forfeited under SAFEMA. The appellants, who claimed to be bona fide tenants of the property, challenged the forfeiture, arguing their tenancy rights should survive. The Court held that a bona fide tenant's rights are not automatically terminated by forfeiture. SAFEMA only targets illegally acquired property of smugglers and their relatives/associates having a nexus to the illegal acquisition. Since mere tenancy does not create such a nexus, the appellants cannot be adversely affected without adjudication of their bona fide status by the competent authority, which must now determine whether they are genuine tenants without any connection to the smuggler's illegal activities.

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Criminal Law Administrative Law Smuggling and Foreign Exchange Forfeiture of Property Tenancy Rights Constitutional Law

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