Prevention of Money-laundering (Forms, Search and Seizure and the Manner of Forwarding the Reasons and Material to the Adjudicating Authority, Impounding and Custody of Records and the Period of Reten

Prevention of Money-laundering (Forms, Search and Seizure and the Manner of Forwarding the Reasons and Material to the Adjudicating Authority, Impounding and Custody of Records and the Period of Retention) Amendment Rules, 2009. – Amendment in rules 2, 3 and form 1

NOTIFICATION NO. G.S.R. 19(E)

DATED 7-1-2009

In exercise of the powers conferred by sub-sections (1) and (2) of section 17, sub-section (2) of section 18, sub-section (5) of section 50 read with clauses (a), (m), (n), (o) and (w) of sub-section (2) of section 73 of the Prevention of Money-laundering Act, 2002 (15 of 2003), the Central Government hereby makes the following rules to amend the Prevention of Money-laundering (Forms, Search and Seizure and the Manner of Forwarding the Reasons and Material to the Adjudicating Authority, Impounding and Custody of Records and the Period of Retention) Rules, 2005, namely:

1 (1) These rules may be called the Prevention of Money-laundering (Forms, Search and Seizure and the Manner of Forwarding the Reasons and Material to the Adjudicating Authority, Impounding and Custody of Records and the Period of Retention) Amendment Rules, 2009.

(2)      They shall come into force on the date of their publication in the Official Gazette.

2. In the Prevention of Money-laundering (Forms, Search and Seizure and the Manner of Forwarding the Reasons and Material to the Adjudicating Authority, Impounding and Custody of Records and the Period of Retention) Rules, 2005, -

(a)      in rule 2, in sub-rule (1), -

(i)                  for clause (j), the following clause shall be substituted, namely:-

(j) "material for the purpose of sub-section (2) of section 17 of the Act" means the material in possession of the authority, referred to in clause (c) of sub-rule (1) of rule 2, after search and seizure under sub-section (1) of section 17 of the Act, including a report forwarded to a Magistrate under section 157 of the Code of Criminal Procedure, 1973 (2 of 1974) or a complaint filed before a Magistrate or a court by a person authorized to investigate the scheduled offence for taking cognizance of such scheduled offence;";

(ii)       for clause (k), the following clause shall be substituted, namely :-

"(k) "material for the purposes of sub-section (2) of section 18 of the Act" means the material in possession of the authority referred to in clause (d) of sub-rule (1) of rule 2, after search and seizure under sub-section (1) of section 18 of the Act including a report forwarded to a Magistrate under section 173 of the Code of Criminal Procedure, 1973 (2 of 1974) or a complaint filed before a Magistrate or a court by a person authorized to investigate the scheduled offence for taking cognizance of such scheduled offence;";

(b)      in rule 3, -

(i)        for sub-rule (1), the following sub-rule shall be substituted, namely:-

"(1) The Director or any other officer authorised by him may, for the purposes of the sub-section (1) of section 17 of the Act, further authorize any officer subordinate to him and such authorization shall be in the Form 1 .";

(ii) in sub-rule (2), in clause (f), for the proviso, the following proviso shall be substituted, namely;-

"Provided that no search under sub-section (1) of section 17 of the Act shall be conducted unless a report has been forwarded to a Magistrate under section 157 of the Code of Criminal Procedure, 1973 (2 of 1974) or a complaint has been filed before a Magistrate or a court by a person authorized to investigate the scheduled offence for taking cognizance of such scheduled offence;";

(c)       in   form   1,   for   the   word   "Director"   at   both   places   it   occurs,   the   words "Director/Additional Director/Joint Director/Deputy Director" shall be substituted.