transaction is alleged as a havala, what is the legal liability?


in case a transaction is alleged as a havala, what is the legal liability on the purchaser ??

Answers (1)


327 votes

Havala Transactions or parallel remittance systems are covered under the Money Laundering Act, 2002. Any kind of havala transactions are illegal in nature.

Section 3 of the Act cover the offences covered under the Act and accordingly punishment is provided under

Section 4 wherein rigorous imprisonment shall not be less than three years and may extend upto 7 years also fine may be imposed which may go upto five lakh rupees.

Also in many cases any property which may be bought from the proceeds of such transaction the same may be attached in accordance with the procedure prescribed in the Act..

The purchaser here would also be covered under Section 3 of the said Act. 


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