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The Supreme Court today asked Yogesh Narayanrao Deshmukh, accused in a money laundering case pertaining to National Spot Exchange Limited (NSEL), to give an undertaking to the court stating that he would not create any third party interest without prior permission of the concerned court with regard to his immovable property attached by the Enforcement Directorate.

Deshmukh approached the Top Court in a Special Leave Petition (SLP) taking exception to the order dated March 3, 2022 of the Bombay High Court, wherein the high court had declined to grant interim protection in respect of attached immovable properties which are subject of a confirmation order of February 8, 2022.

The court, at the outset, said, " A Provisional attachment order cannot last forever".

Solicitor General Tushar Mehta responded to this saying that because of the Covid situation, the Top Court had extended the validity of its orders, therefore, an application seeking extension of provisional attachment orders was filed by the government which had not been decided as of now.

A bench of Justices AM Khanwilkar, Abhay S. Oka, and CT Ravikumar then asked the SG to show them the relevant dates. SG informed the bench that the Provisional Attachment order was from June 3, 2021, and it was confirmed on February 8, 2022 after the cut-off date.

Court then asked," Statutory period of 180 days expired when?". The SG replied that such a period had ended on November 3, 2021.

Court further clarified that its decision to extend the applicability of its interim orders due to Covid would apply on attachment orders already made, not the ones made after its order.

When the court questioned if the confirmation order had been challenged separately, Senior Advocate Amit Desai, representing Deshmukh, said that the confirmation had been challenged. "We are seeking status quo", Desai added.

Court then directed Desai to give an undertaking that Deshmukh won't create any third party interest, and they will ask the appeal court to decide.

While pronouncing the order, Court said, "The petitioner undertakes before this court that during pendency of the appeal before statutory authority, the petitioner shall mention status quo with respect to suit property and will not create any third party interest without prior permission of the concerned court. This statement is accepted. In addition, petitioner should file affidavit before High Court declaring the same undertaking. This arrangement be continued until further orders...."

Last year, Special Judge designated under the PMLA Act at Greater Bombay had granted bail to Deshmukh. 

Deshmukh was said to have received, 'proceeds of the crime', to the tune of Rs.10.5 Crores siphoned off by Aastha Group from National Spot Exchange Limited (NSEL). The said proceeds of crime were received by him through M/s. Vihang Aastha Housing Projects LLP in the name of acquisition of land parcels of 78 acres in Titwala. Although Deshmukh received a total amount of Rs.10.5 Crores against the said land parcels, the total acquisition value of the said land parcels was only Rs.1.70 Crores.

Case Title: Yogesh Narayanrao Deshmukh vs. ED