HC Orders ED to Pay Interest to Armed Forces Welfare Fund: A Tribute to India's Fallen Soldiers

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In a landmark ruling, the Bombay High Court has directed the Enforcement Directorate (ED) to pay half the interest accrued on ₹46 crore deposited to an armed forces welfare fund. The amount was initially seized by the ED from Shapoorji Pallonji & Co. Ltd. (SPCL) in a case linked to a disproportionate assets case involving a public servant. The High Court's decision, passed on December 23, 2025, came after it dismissed an appeal filed by the ED against a 2019 order of the Appellate Tribunal. The tribunal had set aside the attachment of assets worth ₹141.50 crore belonging to SPCL, citing that the money was paid as advance payments for a land purchase agreement. The court stayed the tribunal's order in 2019, but directed the ED to deposit ₹46.5 crore with the court. In its final order, the High Court instructed that 50% of the interest accrued on ₹46.5 crore should be paid to the Armed Forces Battle Casualties Welfare Fund. The court emphasized the need to provide for the families and widows of soldiers who have lost their lives while serving the country. "There is an urgent and pressing need to provide for the families and widows of the soldiers who have lost their lives on the battlefield and in protecting the borders of the nation," the court said. The case dates back to 2005, when SPCL made payments to Nilesh Thakur and his companies for the purchase of 900 acres of land in Alibaug and Pen. The ED claimed that these payments were linked to a disproportionate assets case against Thakur, but the tribunal and the High Court ruled in favor of SPCL, stating that the money was paid under a legitimate land purchase agreement.