Section 11O: Seizure, freeze and detention

3[11O. Seizure, freeze and detention.__ (1) On proscription made under section 11B or, as the case may be, section 11EE,__ (a) the money or other property owned or controlled, wholly or 1[jointly], directly or indirectly, by a proscribed organization or proscribed person, shall be frozen or seized, as the case may be 1[, without any prior notice and without delay]; (b) the money or other property derived or generated from any property referred in clause (a) shall be frozen or seized, as the case may be 1[, without any prior notice and without delay]; (c) no person shall use, transfer, convert, dispose of or remove such money or other property with effect from proscription; 1[*] 1[ (d) within forty-eight hours of any freeze or seizure, the person carrying out the freeze or seizure or any action under clause (c) shall set out the steps taken to ensure that no money, property or services are made available, directly or indirectly, wholly or jointly for the benefit of the proscribed organization or person and shall submit a report containing details of the property and the persons affected by the freeze or seizure to such office of the Federal Government as may be notified in the official Gazette; and] 1[(e) the money or other property of any person acting on behalf of, or at the direction of, proscribed persons or organizations shall be frozen or seized, as the case may be, without any prior notice and without delay;] 2[(2) Any natural person not connected with a legal person or body corporate, who violates any provision of sub-section (1) shall be liable, on conviction to imprisonment for a term not exceeding ten years or with fine not exceeding twenty-five million rupees or with both.] (3) If a legal person violates any provision of sub-section (1), such person shall be liable 2[on conviction to fine not exceeding fifty million rupees and every director, officer or employee of such person found guilty of the violation shall be liable on conviction to imprisonment for a term not exceeding ten years or with fine not exceeding twenty five million rupees or with both]. 2[(3A) Notwithstanding anything contained in sub-section (2), if any public servant is found negligent in complying with the provision of sub-section (1) such public servant shall be proceeded against under respective service rules for administrative action.] (4) On an application made by any affected person, the Federal Government shall inquire into the ownership and control of any money or other property that has been frozen or seized and, if it is satisfied that the money or other property has 1[wrongly] been frozen or seized, the same shall be ordered to be released immediately. (5) No prosecution, suit or other proceedings shall lie against the government or any other person complying or purporting to comply with sub-section (1) for anything done in good faith to effect freeze or seizure.]

Effective date: 1997-08-16

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