Amendment status not verified — confirm the current text below against the official source.
Powers of Designated Court regarding attachment: (1) Upon receipt of an application under section 5, the Designated Court shall issue to the Financial Establishment or to any other person whose property is attached and vested in the Competent Authority by the Government under section 4, a notice accompanied by copy of the application arid of affidavits and the evidence, if any recorded, calling upon the said Establishment and the said person to show cause on a date to be specified in the notice, why the order of attachment should not be made absolute. (2) The Designated Court shall also issue such notice to all other persons represented to is as having or being likely to claim any Interest or title in the property of the Financial Establishment of the person to whom the notice is issued under sub-section (i), calling upon all such persons to appear on the same date as that specified in the notice and make objection if they so desire to the attachment of the property or any portion thereof, on the ground that they have interest in such property of portion thereof. (3) Any person claiming an interest in the property attached or any portion thereof may, notwithstanding that no notice has been served upon him under this section, make an objection an order is passed under sub-section (4) or sub- section (6). 36 (4) The Designated Court shall, if no cause is shown and no objective is received under sub-section (3), forthwith pass an order making the order of attachment absolute, and isuue any direction as may be necessary for realization of the assets attached and for the equitable distribution among the depositors of the money realized from out of the property attached. (5) If cause is shown or any objection is made as aforesaid, the Designated Court shall proceed to investigate the, same and in so doing, as regards the examination of the parties and in all other respect, the Designated Court shall, subject to the provisions of this Act, follow the summary procedure as contemplated under order 37 of the Civil Procedure Code, 1908 and exercise all the powers of a court in hearing a suit under the said Code and any person making on objection shall be required to adduse evidence to show that at the date of the attachment he had some interest in the property attached. (6) After investigation under sub-section (5), the Designated Court shall pass an order either making the order of attachment passed under sub-section (1) of section 4 absolute or varying it by releasing a portion of the property from attachment or cancelling the order of attachment: 37 Provided that the Designated Court shall not release from attachment any interest, which it is satisfied that the Financial Establishment or the person referred to in sub-section (1) has in the property, unless it is also satisfied that there will remain under attachment an amount or property of value not less than the value that is required for repayment of the deposits of the Financial Establishment. (7) Where an application is made by any person duly authorized or constituted or specified by any other State Government under similar enactment empowering him to exercise control over any money or the property attached by that Government, the Designated Court shall exercise all its powers as if application is made under this Act and pass appropriate orders or directions on such application.