The Suva High Court has dismissed an attempt by businessman Laukesh Sanjay Raj to halt forfeiture proceedings brought by the Fiji Independent Commission Against Corruption (FICAC) over a triple-storey property comprising 11 flats in Tacirua, Suva.
The property, located at Niuvula Crescent off Khalsa Road, is the subject of an originating summons filed by FICAC, which alleges the flats were acquired through the submission of false and/or incorrect information to the Housing Authority.
FICAC said in a statement Mr Raj had applied to strike out FICAC’s action, arguing that the originating summons failed to disclose a reasonable cause of action against him.
Puisne Judge Chaitanya Lakshman delivered the ruling yesterday morning, dismissing the application and allowing the forfeiture case to proceed.
The Court noted that FICAC had previously applied ex parte and obtained a restraining order over the 11-flat development, which the commission alleges is tainted property acquired through proceeds of crime.
However, HFC Bank, named as an interested party, filed an affidavit stating that Mr Raj had obtained financing from the bank to acquire the Tacirua property.
Justice Lakshman noted that while the respondent maintained the property was purchased using a loan facility from HFC Bank, FICAC did not dispute the existence of the bank’s financing or subsequent funding.
FICAC alleges the property was nevertheless acquired through fraudulent means, including the failure to declare jointly owned property despite Housing Authority requirements that lots be allocated to first-home owners, as well as the submission of a fraudulent payslip.
FICAC added in the statement the Court further observed that allegations of fraud and forgery currently before the Magistrates’ Court directly relate to the same 11-flat property.
Justice Lakshman stated that tainted property is broadly defined to include proceeds of crime, benefits derived from such proceeds, and property used or intended to be used in the commission of an offence.
The summons to strike out FICAC’s forfeiture action was dismissed.
FICAC State Counsel Nimisha Shankar appeared for the applicant, Mohammed Yunus represented the respondent, and Nilesh Lajendra appeared for HFC Bank.
