Under section 9 of the Prevention of Money-laundering Act, 2002, an encumbrance created bona fide-
The first proviso to s.9 allows an encumbrance or lease-hold interest to be declared void only where the Special Court or the Adjudicating Authority, after hearing the…
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Under section 9 of the Prevention of Money-laundering Act, 2002, an encumbrance created bona fide-
Answer and explanation
Correct answer C
The first proviso to s.9 allows an encumbrance or lease-hold interest to be declared void only where the Special Court or the Adjudicating Authority, after hearing the interested person, "is of the opinion" that it was "created with a view to defeat the provisions of this Chapter". Neither attachment nor the date of creation makes it void by itself, and a hearing is required.