Delhi High Court: Ancestral Property Can Be Attached Under PMLA

The Delhi High Court has determined that ancestral property is subject to attachment in proceedings under the Prevention of Money Laundering Act (PMLA). Justices Navin Chawla and Ravinder Dudeja emphasized that the law lacks provisions exempting inherited properties from attachment in money laundering cases.

This decision comes after an appellant challenged a 2025 tribunal order affirming the provisional attachment of his Sainik Vihar property by the Enforcement Directorate. He argued the property's ancestral nature warranted immunity. However, the court found this claim contrary to the PMLA's framework, underscoring that the property's value corresponded to 'proceeds of crime'.

The court's February 16 ruling highlighted that ancestral status alone does not protect property from PMLA attachment, refuting the notion that only 'tainted properties' linked to crime can be attached. The agency noted the equivalent value in foreign exchange remitted abroad reached this conclusion.