Who can claim a car bought from proceeds of crime? HC to decide

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Who can claim a car purchased from stolen money but registered in the name of someone who was not involved in the theft? This is a question the Gujarat High Court will be deciding.

City resident Sharadchandra Shah moved the high court after a lower court rejected his plea. Admitting the petition on July 10, Justice R P Dholaria issued notice to the government and posted the matter for final hearing on July 30.

According to Shah, jewellery and cash worth Rs 19.5 lakh were stolen from his house in Satellite area in February.

The Crime Branch subsequently arrested Suresh Makwana, who admitted to have burgled Shah's house, the petition said.

He also told police that he bought a car worth Rs 10.5 lakh by selling the stolen booty, and gifted it to his son Sanjay Makwana when the latter got married.

Police seized the car, which is registered in Sanjay's name.

Shah approached a magistrate's court to get the car's possession, saying it had been purchased from the proceeds of the burglary at his house.

Sanjay opposed the plea, saying he was the registered owner and he should get it back.

In May, the magistrate gave the decision in Sanjay's favour, following which Shah moved the high court.

In a partial relief to Shah, the high court asked the police not to return the car to Sanjay till further orders if they had not yet executed the lower court's order.