Section 38: Custody of seized property.

(1) Where any movable property is seized under this Act, the seizure shall be effected by removing the movable property from the custody or control of the person from whom it is seized and placing it under the custody of such person or authority and at such place as an officer of the Commission may determine.
(2) Where it is not practicable, or it is otherwise not desirable, to effect removal of any property under subsection (1), the officer referred to in that subsection may leave it at the premises in which it is seized under the custody of such persons as he may detail for the purpose.
(3) Notwithstanding subsection (1), when any movable property, including any movable property referred to in subsection (6), has been seized under this Act, an officer of the Commission other than the officer who effected the seizure, may in his discretion-
(a) temporarily return the movable property to the owner thereof, or to the person from whose possession, custody or control it was seized, or to such person as may be entitled thereto, subject to such terms and conditions as may be imposed, and subject, in any case, to sufficient security being furnished to ensure that the movable property shall be surrendered on demand being made by the officer who authorised the release or any other officer of the Commission and that such terms and conditions, if any shall be complied with; or
(b) return the movable property to the owner thereof, or to the person from whose possession, custody or control it was seized, or to such person as may be entitled thereto, with liberty for the person to whom the movable property is so returned to dispose of the property, such return being subject to security being furnished in an amount not less than an amount which represents the open market value of such property on the date on which it is returned.
(4) Where any person to whom movable property is temporarily returned under subsection (3) (a) fails to surrender such property on demand or to comply with any term or condition imposed under that subsection.
(a) the security furnished in respect of such property shall be forfeited; and
(b) that person shall be guilty of an offence and shall on conviction be liable to a fine of not less than two times the amount of the security furnished by him, and to imprisonment for a term not exceeding two years.
(5) Where an order of forfeiture is made by the court in respect of property returned under subsection (3) (b), such forfeiture shall be effected by forfeiting the security furnished by the person to whom the property was returned in lieu of the property.
(6) When any movable property seized under the Act consists of money, shares, securities, stocks, debentures or any chose-in-action, in the possession or under the custody or control of any person other than the person against whom the prosecution is intended to be taken, the seizure shall be effected by an officer of the Commission serving an order on such person-
(a) prohibiting him from using, transferring, or dealing with such property; or
(b) requiring him to surrender the property to an officer of the Commission in the manner and within the time specified in the order.
(7) Where any movable property seized is liable to decay or deterioration, or is property which cannot be maintained without difficulty, or which it is not practicable to maintain, and which cannot be dealt with under subsection (3), an officer of the Commission may sell or cause such property to be sold at the prevailing market value and shall hold the proceeds of the sale, after deducting therefrom the costs and expenses of the maintenance and of the sale of the property, to abide the result of any proceedings under this Act.