Supreme Court Holds Police Cannot Seize Immovable Property Under Section 102 CrPC. The expression 'any property' in Section 102(1) CrPC means only movable property, and immovable property cannot be seized by police during investigation.

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Case Note & Summary

The Supreme Court in this judgment resolved a long-standing conflict of opinion in the Bombay High Court regarding the interpretation of Section 102 of the Code of Criminal Procedure, 1973 (CrPC). The core issue was whether the expression 'any property' in Section 102(1) includes immovable property, thereby empowering a police officer investigating a criminal case to seize immovable property. The lead appeal arose from a judgment of the Bombay High Court dated November 29, 2010, where the majority held that 'any property' does not include immovable property, while the minority took a contrary view. The Supreme Court, after examining the scheme of the CrPC, particularly Chapter VII dealing with 'Process to Compel the Production of Things', and the language of Section 102, held that the power of seizure under Section 102 is limited to movable property. The court reasoned that the word 'seize' in its ordinary sense implies taking possession of something that can be physically moved, and immovable property cannot be taken into custody in the same manner. The court also noted that the CrPC provides separate mechanisms for attachment of immovable property under Sections 83 and 84, which are applicable in cases where a person is absconding. The court distinguished its earlier decision in State of Maharashtra v. Tapas D. Neogy, which had held that bank accounts are 'property' under Section 102 and can be seized or prohibited. The court clarified that Tapas D. Neogy dealt with bank accounts, which are movable property, and did not decide the question of immovable property. The court also observed that other statutes like the Prevention of Money Laundering Act, 2002 and the Criminal Law (Amendment) Ordinance, 1944 provide for attachment of immovable property in certain cases. The court concluded that the police do not have the power to seize immovable property under Section 102 CrPC, and the majority view of the Bombay High Court was correct. The appeals were accordingly disposed of, with the court setting aside any orders of seizure of immovable property passed under Section 102 CrPC.

Headnote

A) Criminal Procedure - Seizure of Property - Section 102 CrPC - Interpretation of 'any property' - The Supreme Court held that the expression 'any property' in Section 102(1) of the Code of Criminal Procedure, 1973 does not include immovable property. The power of seizure under Section 102 is limited to movable property, as the provision is part of Chapter VII dealing with 'Process to Compel the Production of Things' and the scheme of the Code provides separate mechanisms for attachment of immovable property under Sections 83 and 84. The court overruled the minority view of the Bombay High Court and affirmed the majority view that police cannot seize immovable property during investigation. (Paras 1-39)

B) Criminal Procedure - Bank Accounts - Seizure under Section 102 CrPC - The court distinguished its earlier decision in State of Maharashtra v. Tapas D. Neogy, which held that bank accounts are 'property' under Section 102 and can be seized or prohibited. The court clarified that Tapas D. Neogy dealt with bank accounts, which are movable property, and did not decide the question of immovable property. The present judgment does not overrule Tapas D. Neogy but confines it to movable property. (Paras 6-8)

C) Criminal Procedure - Attachment of Immovable Property - Alternative Provisions - The court noted that immovable property can be attached under Section 83 of the CrPC in cases where a proclamation has been issued against a person absconding, or under the Prevention of Money Laundering Act, 2002, or under the Criminal Law (Amendment) Ordinance, 1944. The absence of a provision for seizure of immovable property under Section 102 does not leave a gap in the law. (Paras 30-35)

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Issue of Consideration

Whether the expression 'any property' in Section 102(1) of the Code of Criminal Procedure, 1973 includes immovable property, thereby empowering a police officer investigating a criminal case to seize immovable property.

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Final Decision

The Supreme Court held that the expression 'any property' in Section 102(1) of the Code of Criminal Procedure, 1973 does not include immovable property. Consequently, a police officer investigating a criminal case cannot seize immovable property under Section 102 CrPC. The appeals were disposed of, and any orders of seizure of immovable property under Section 102 CrPC were set aside.

Law Points

  • Section 102 CrPC does not empower police to seize immovable property
  • 'any property' in Section 102(1) CrPC means movable property only
  • seizure of bank accounts is permissible as they are movable property
  • immovable property can be dealt with under other provisions like Section 83 CrPC
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Case Details

2019 LawText (SC) (9) 114

Criminal Appeal No. 1481 of 2019 (arising out of SLP (Crl.) No. 1513 of 2011) and connected matters

2019-08-09

Sanjiv Khanna, J.

Nevada Properties Private Limited

State of Maharashtra and Another

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Nature of Litigation

Criminal appeals challenging the Bombay High Court's judgment on the interpretation of Section 102 CrPC regarding seizure of immovable property.

Remedy Sought

The appellant sought to set aside the majority judgment of the Bombay High Court which held that police cannot seize immovable property under Section 102 CrPC.

Filing Reason

The appellant challenged the High Court's majority view that 'any property' in Section 102(1) CrPC does not include immovable property.

Previous Decisions

The Bombay High Court in Kishore Shankar Signapurkar v. State of Maharashtra held that Section 102 CrPC does not apply to immovable property, while in M/s. Bombay Science and Research Education Institute v. State of Maharashtra it held the contrary. The majority in the impugned judgment affirmed Kishore Shankar Signapurkar.

Issues

Whether the expression 'any property' in Section 102(1) CrPC includes immovable property? Whether a police officer investigating a criminal case can seize immovable property under Section 102 CrPC?

Submissions/Arguments

Appellant argued that 'any property' is wide enough to include immovable property, relying on the decision in Tapas D. Neogy and the minority view of the Bombay High Court. Respondent argued that Section 102 CrPC is part of Chapter VII dealing with production of things, and seizure implies taking physical custody, which is impossible for immovable property. They relied on the majority view and the scheme of the CrPC.

Ratio Decidendi

The word 'seize' in Section 102 CrPC implies taking physical custody of property that can be moved. Immovable property cannot be seized in this sense. The scheme of the CrPC provides separate provisions for attachment of immovable property under Sections 83 and 84. The decision in Tapas D. Neogy regarding bank accounts is confined to movable property and does not extend to immovable property.

Judgment Excerpts

the majority judgment has held that the expression ‘any property’ used in sub-section (1) of Section 102 of the Code of Criminal Procedure, 1973 does not include immovable property We are, therefore, persuaded to take the view that the bank account of the accused or any of his relations is “property” within the meaning of Section 102 of the Criminal Procedure Code Decision of this Court in Tapas D. Neogy (supra) was in respect of the bank accounts and it did not examine and answer the question whether the expression ‘any property’ would include immovable property.

Procedural History

The lead appeal arose from a judgment of the Bombay High Court dated November 29, 2010, where the majority held that Section 102 CrPC does not apply to immovable property. The appellant filed a Special Leave Petition before the Supreme Court. A Division Bench of the Supreme Court on November 18, 2014 referred the matter to a three-Judge Bench due to the far-reaching consequences. The appeals were then heard by the present Bench.

Acts & Sections

  • Code of Criminal Procedure, 1973: 102, 83, 84, 2(y)
  • Indian Penal Code, 1860: 22, 120-B, 467, 468, 471, 420
  • Prevention of Corruption Act, 1988: 13(2), 13(1)(d), 16
  • Sales of Goods Act, 1930: 2(7)
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