Cops find ‘safe, profitable’ way to store seized cash
According to the rules, the seized money is transferred to the government’s treasury after the disposal of the case by the court concerned, and the arrested persons are convicted by the court.
In order to ensure that cash seized from different crime spots remains safe from termites, rats and potential theft from the maalkhana (store room where case property is kept) at police stations, the Delhi Police are considering to put the money in a fixed deposit account, officers aware of the matter said.
The officials said that a circular with directions detailing the measures to the city’s police stations and other investigation units such as the special cell and the crime branch for putting seized money into fixed deposit accounts in nationalised banks is likely to be issued this week.
Apart from cash, jewellery may also be deposited in the banks, a senior police officer privy to the development said.
The proposed move follows the order of a local court that accepted the application by an investigating officer (IO) and station house officer (SHO) of the Palam Village police station, and allowed them to transfer ₹96,340 in cash from the maalkhana to a fixed deposit account to be opened in the name of the police station. The money was seized during a raid on a gambling racket.
In its order, the court appreciated the suggestion, and said, “…considering that substantial interest can be accrued on the monies if deposited in FDRs during the pendency of the case, and even until the District Nazir takes up the case property for disposal. The said monies would stand its worth if circulated in the economy rather than being sealed and kept in maalkhana. And further, the interest accrued can be used to enrich government treasury or reward the informer as the provision of Act (Delhi Police Gambling Act, 1955) suggests.”
Buoyed by the court’s appreciation, the police station has now decided to approach the concerned courts, seeking permission for putting in bank around ₹8 lakh that were seized in nearly 40 different cases, mostly of gambling, and have been kept in the police station’s maalkhana for the past several years.
“Once the circular is issued, officers of the other police stations may also approach the courts for saving the seized currency notes into fixed deposit, and the receipts can be produced during the court proceedings instead of the cash. Transporting cash between courts and police stations is also risky,” the officer added.
Although data regarding the exact amount in cash and jewellery items kept in the maalkhanas at 210 police stations and other investigation unit across the city was not readily available with the city police, senior officers said that it could be in crores. Keeping such case property secure and intact for the perusal of the courts is the responsibility of the maalkhana in-charge.
“There have been instances where seized cash property, including cash and documents, were misappropriated or were nibbled away by rats or termites in the maalkhanas. Being the custodian of the case property, the some maalkhana in-charge have even faced departmental action for such misappropriation. Keeping such money in a fixed deposit account would help address these problems,” said a second police officer, who asked not be named.
In April-May 2008, smuggled gold biscuits worth lakhs of rupees that were seized and kept in the maalkhana at the Karol Bagh police station went missing, prompting the then police chief YS Dadwal issue an order, directing all police stations to divide the space in the maalkhana for miscellaneous property and costly items.
“A similar misappropriation of seized cash property was reported from a police station in outer Delhi and brought to the notice of the top brass, That’s also a reason that the decision to deposit the seized cash as fixed deposit in banks is being taken,” said a second police officer, requesting anonymity.
According to the rules, the seized money is transferred to the government’s treasury after the disposal of the case by the court concerned, and the arrested persons are convicted by the court.
In case the alleged accused are acquitted and they claim the money, the amount is returned to them following the court’s directions.
Since the disposal of the cases takes time, the seized currency notes are kept in the maalkhanas of the police stations until the court issues order for their disposal through the district Nazirs, the officer added.
Nazir refers to a court official who is in-charge of the treasury, stamps and processes the goods, evidences and vehicles collected from the police investigators. Nazirs also issues summons on court orders.
