Order Confirming Attachment of Property as Proceeds of Terrorism Under Section 25(6) of UAPA Not Interlocutory; Appeals Under Section 21 of NIA Act Valid, Clarifies Bench
In a significant ruling on September 15, 2026, a Division Bench of the Delhi High Court comprising Justices Navin Chawla and Ravinder Dudeja clarified the legal position regarding appeals against orders of attachment of property under the Unlawful Activities (Prevention) Act, 1967 (UAPA). The Court held that an order passed under Section 25(6) of the UAPA confirming the attachment of property allegedly linked to terrorism is not an interlocutory order but a final adjudication of rights related to seizure or attachment. Consequently, such orders are appealable under Section 21 of the National Investigation Agency Act, 2008 (NIA Act).
The case arose from an appeal filed by Aquil Ahmed challenging the confirmation of attachment of his property located in Pune by the Designated Authority under Section 25(3) of UAPA. The Special Judge had dismissed his appeal under Section 25(6), prompting Mr. Ahmed to approach the High Court under Section 28 of UAPA read with Section 21 of the NIA Act. The National Investigation Agency (NIA) questioned the maintainability of the appeal, arguing that Section 25(6) orders are interlocutory and that the exclusive remedy lies under the UAPA's provisions.
The Court examined the statutory scheme of UAPA, particularly Sections 25, 26, 27, and 28, which separately govern attachment and forfeiture of property. It observed that attachment under Section 25(6) involves the confirmation or revocation of the seizure or attachment order and directly affects the rights of the property holder. Forfeiture under Section 26, however, is a distinct subsequent stage requiring a show cause notice under Section 27 and a separate appeal under Section 28.
The Bench relied on earlier authoritative decisions, including the Jharkhand High Court's ruling in Amit Agarwal v. Union of India (2025), which recognized the appeal under Section 21 of the NIA Act as the proper remedy against orders under Section 25(6) of UAPA. The Court rejected the NIA's contention that allowing appeals under Section 21 of the NIA Act would lead to conflicting decisions with appeals under Section 28 of UAPA, emphasizing that these appeals address different stages and issues within the legal process.
Further, the Court clarified that the order under Section 25(6) cannot be considered interlocutory because it conclusively adjudicates the rights related to attachment or seizure of property. Therefore, the statutory right to appeal under Section 21 of the NIA Act is available and should not be barred.
The Court also distinguished this case from a prior coordinate bench order in Asiya Andrabi v. NIA (2024), which refused to entertain an appeal under different factual circumstances without deciding on the maintainability issue.
Rejecting the preliminary objection raised by the NIA, the High Court held the appeal maintainable and directed the matter to be listed for final hearing in December 2026.
This judgment provides important clarity on the appellate remedies available to persons aggrieved by orders of attachment under the UAPA, reinforcing the procedural safeguards and the separation of attachment and forfeiture proceedings. It also strengthens the statutory appeal mechanism under the NIA Act for orders passed by Special Courts in terrorism-related cases.
Bottom Line:
Under the Unlawful Activities (Prevention) Act, 1967 (UAPA), an order passed under Section 25(6) of the Act confirming the attachment of property is not interlocutory in nature and adjudicates the rights of the parties with respect to the seizure or attachment. An appeal against such an order is maintainable under Section 21 of the National Investigation Agency Act, 2008 (NIA Act).
Statutory provision(s):
Unlawful Activities (Prevention) Act, 1967 Sections 25(3), 25(6), 26, 27, 28; National Investigation Agency Act, 2008 Section 21
Aquil Ahmed v. National Investigation Agency, (Delhi)(DB) : Law Finder Doc Id # 2981411
