|
Advanced Search Options
Case Laws
Showing 181 to 200 of 1320 Records
-
2021 (1) TMI 1142 - CALCUTTA HIGH COURT
Applicability of Clause 2.1.2 (i) or Clause 2.1.3 of RBI Master Circular, dated July 1, 2015 - cash credit facility given to the petitioner classified as Non-Performing Asset (NPA) - Section 13(2) of the SARFAESI Act, 2002 and Section 13(4) of the 2002 Act - HELD THAT:- It is clear that the concerned bank has a discretion with regard to marking an account as NPA upon the account running overdue for 90 days. Clause 2.1.3 has to be read with the other provisions of the Master Circular.
The RBI Circular bearing DOR No. BP.BC.34/21.04.048/2019-20 dated February 11, 2020 provides for restructuring of advances in the MSME (Micro, Small and Medium Enterprises) sector. Such provision for one-time restructuring of existing loans to MSMEs only pertain to those classified as ‘standard’, which the account of the petitioner no.1 ceased to be from February 29, 2020 onwards. Moreover, Clause (i) thereof provides that the aggregate exposure, including non-fund based facilities, of banks and NBFCs to the borrower cannot exceed ₹ 25 crore as on January 1, 2020 for an MSME to be eligible for such restructuring. The petitioners, as per the annexures of the writ petition itself, had exceeded the ₹ 25 crore limit on November 30, 2019 itself, thus, rendering the petitioners ineligible for getting the benefit of the scheme contemplated by the Circular.
The petitioners have failed to prove any mala fides or arbitrariness on the part the respondents. The RBI Circulars cited by the petitioners are not attracted, since the account of the petitioner no.1 lost its status as a ‘standard’ account after February 28, 2020, when the same was classified as NPA. That apart, such classification on February 28, 2020 could not be said to be an arbitrary exercise beyond the pale of discretion of the bank and the respondent-authorities. Thus, there is no scope of finding fault with the legitimate exercise of discretion on the part of the respondents in the present case.
The acts/omissions complained of in the writ petition do not merit interference by the writ court - Appeal dismissed.
-
2021 (1) TMI 1141 - BOMBAY HIGH COURT
Whether the Petitioner would have overriding claim over the dues of the Sales Tax Department? - HELD THAT:- The prayers as framed do not address this issue. Leave to frame a proper prayer is also granted.
Amendments be carried out within a period of one week - Issue notice to the Respondents, including added Respondent, returnable in two weeks thereafter.
-
2021 (1) TMI 1140 - NATIONAL COMPANY LAW TRIBUNAL, MUMBAI
Maintainability of order where Judicial Member was transferred - HELD THAT:- In view of the order passed by the special Bench on 06.05.2020 directing petitioner company to hold meeting on 14.05.2020, in compliance of order the Applicant company has filed the compliance affidavit along with chairman’s report of the meeting of equity shareholders, which is taken on record. Therefore, nothing survives in this Application.
Application disposed off.
-
2021 (1) TMI 1139 - NATIONAL COMPANY LAW TRIBUNAL, KOCHI
Seeking approval of Resolution Plan - Section 30(6) and 31 of Insolvency and Bankruptcy Code, 2016 - HELD THAT:- The Resolution Plan is in accordance with Section 30 and 31 of the Code and also complies with the requirement of Regulations 38 and 39 of CIRP Regulations - Resolution Plan approved by the CoC with the required majority satisfies all the criteria required for approval of Resolution Plan by the Adjudicating Authority.
The Resolution Applicant, on taking control of the Corporate Debtor, shall ensure compliance of all applicable law for the time being in force - the Resolution Applicant shall take over the Corporate Debtor with all its assets and liabilities as per terms of the approved Resolution Plan. If any relief concerning any identified liability of the Corporate Debtor is required, then that needs to be specifically mentioned and sought for in the Resolution Plan.
On approval of the Resolution Plan as sought by the Resolution Professional, this Bench hereby discharges the Resolution Professional from duties of the RP by submitting all the records maintained by him to the Insolvency and Bankruptcy Board of India as provided under the Insolvency and Bankruptcy Code, 2016 and the Regulations thereunder - Resolution Applicant shall, pursuant to the Resolution Plan approved under Sub-Section (1) of Section 31, obtain necessary approval required under any law for the time being in force within a period of one year from the date of approval of the Resolution Plan by this Tribunal under Sub-Section (1) of Section 31 or within such period as provided for in such law, whichever is later.
The resolution plan is approved - moratorium declared.
-
2021 (1) TMI 1138 - RAJASTHAN HIGH COURT
Issue notice to the respondents returnable within two weeks - As an interim measure, the proceeding initiated vide the impugned show-cause notice shall remain in abeyance till the next date.
List on 25.01.2021.
-
2021 (1) TMI 1137 - NATIONAL COMPANY LAW TRIBUNAL, KOLKATA
Approval of Scheme of Amalgamation - sections 230 to 232 and other relevant provisions of the Companies Act, 2013 - HELD THAT:- Various directions regarding issuance of notices issued - Applicant Companies shall file affidavit with the Registry in compliance to the directions given in this Order have been duly complied with.
Application disposed off.
-
2021 (1) TMI 1136 - ITAT SURAT
Estimation of income on bogus purchases - CIT-A directing to make an addition of 5% of unverified purchases - HELD THAT:- As under Income Tax Act only real income can be taxed by the Revenue. We may further note that even in cases where the whole transaction is not verifiable due to various reasons, the only taxable is the taxable income component and not the entire transaction.
Hon’ble Bombay High Court in the case of “CIT vs. Hariram Bhambani” [2015 (2) TMI 907 - BOMBAY HIGH COURT] held that the Revenue is not entitled to bring the entire sales consideration to tax, but only the profit attributable on the total unrecorded sale consideration alone can be subject to income tax. In our view, wherein the allegation bogus purchases, if the assessee is failed to prove the complete transaction beyond doubt, the Assessing Officer is not entitled to make 100% disallowance of purchases without bringing sufficient material on record. In such cases only, profit element embedded in such transaction is liable to be disallowed. Therefore, we affirm the order of ld.CIT(A) - Appeal of the Revenue is dismissed.
-
2021 (1) TMI 1135 - ORISSA HIGH COURT
Recovery of service tax - non-payment of Service Tax on Taxable Services - petitioner did not reply to SCN - HELD THAT:- It is directed that the Petitioner, as undertaken before this Court by learned counsel for the Petitioner, will positively file its reply to the SCN dated 14th October, 2020 on or before 8th February, 2021. In that event, after giving the Petitioner an opportunity of hearing, the order on such SCN shall be passed by the Opposite Party not later than 15th March, 2021 and communicated to the Petitioner not later than 22nd March, 2021.
Petition disposed off.
-
2021 (1) TMI 1134 - ITAT MUMBAI
Disallowance u/s 14A r.w.r. 8D - assessee has suo-moto disallowed an amount - whether the disallowance under Rule 8D(2)(iii) is to be restricted to the extent of exempt income i.e. dividend income earned by assessee or the disallowance as suo-moto computed by assessee? - HELD THAT:- As gone through the decision of Hon’ble Supreme Court in the case of Maxopp Investments Ltd [2018 (3) TMI 805 - SUPREME COURT] wherein as categorically held that the disallowance cannot exceed the exempt income. Hence, we delete the suo-moto disallowance made by assessee at ₹ 5,86,52,973/- and restricted the disallowance to the extent of exempt income claimed by assessee at ₹ 13,17,233/-. We direct the Assessing Officer accordingly. Appeal of assessee is allowed.
-
2021 (1) TMI 1133 - NATIONAL COMPANY LAW TRIBUNAL AHMEDABAD BENCH
Approval of Resolution Plan of the Corporate Debtor as approved by Committee of Creditors - compliance with all the requirements of Section 30(2) of IBC, 2016 and r.w. relevant Regulations - Resolution Plan filed before the expiry period of CIRP - HELD THAT:- The Resolution Plan' filed with the Application meets the requirements of Section 30(2) of I&B Code, 2016 and Regulations 37, 38, 38 (1A) and 39 (4) of IBBI (CIRP) Regulations, 2016. The 'Resolution Plan' is also not in contravention of any of the provisions of Section 29A. The RP has also certified that the Resolution Plan t approved by the CoC does not contravene any of the provisions of the law for the time being in force. The Compliance Certificate is placed on record. The 'Resolution Plan' has been approved by the CoC with 100% voting share.
The Resolution Plan contains various reliefs and concessions as per annexure -4 of the said Resolution Plan. Certain reliefs have been granted specifically. Hence, general exemption granted now is in addition to those reliefs. The prayers as regard to various reliefs/ concessions sought by the Resolution Applicant is approved subject to condition that such grant/ approval is in accordance with the scheme and provisions of Insolvency & Bankruptcy Code, 2016 and CIRP Regulations made there-under.
The Resolution Applicant of the corporate debtor will have all liberty to approach or may approach the concerned Statutory/ Competent Authority for any concession, waiver or exemption as per the applicable laws - the resolution plan is approved - approved 'Resolution Plan' shall become effective from the date of passing of this order - application allowed.
-
2021 (1) TMI 1132 - ALLAHABAD HIGH COURT
Maintainability of appeal - time limitation - penalty order was served on the driver of the vehicle and not on the petitioner against whom that order was passed - Section 129 of Uttar Pradesh Goods & Services Tax Act, 2017 - HELD THAT:- Reference has been made to the recital made in the appeal order itself wherein it has been clearly recorded that order dated 06.09.2018 was served on the person in-charge of the vehicle which would be the driver and not the appellant.
No useful purpose would be served in keeping the present petition pending or calling for counter affidavit at this stage, the present petition is allowed.
-
2021 (1) TMI 1131 - NATIONAL COMPANY LAW APPELLATE TRIBUNAL, NEW DELHI
Admission of application filed under Section 9 of the Insolvency and Bankruptcy Code, 2016 is set aside - CoC not constituted - rejection on the ground that a settlement has been arrived at between the Respondent No.1- Creditor and the Corporate Debtor - HELD THAT:- Keeping in view the dictum of the Hon’ble Apex Court in “Swiss Ribbons and Ors. V. Union of India & Ors [2019 (1) TMI 1508 - SUPREME COURT], the Corporate Debtor may avail the opportunity of seeking exit from Corporate Insolvency Resolution Process (CIRP) at the stage of pre-constitution of COC but whether the same takes care of interest of all the stakeholders involved and can be permitted is a decision to be taken by the Adjudicating Authority on the peculiar facts of the case. It would, therefore, be appropriate for the Appellant to approach the Adjudicating Authority to seek exit from CIRP by filing the terms of settlement and the Adjudicating Authority will have to pass the appropriate order.
Since it is submitted by learned counsel for the Appellant that the Adjudicating Authority could not be accessed due to holidays it is deemed appropriate to dispose off this appeal with direction to Appellant to approach the Adjudicating Authority for seeking exit after filing Settlement Terms before it. To enable the Appellant to seek such exit, we direct that the COC shall not be constituted for one week from today.
-
2021 (1) TMI 1130 - ITAT PUNE
Rectification of mistake u/s 254 - determination of ALP of the international transaction of Management Fees - Tribunal has restored the issue of determination of the Arm’s Length Price (ALP) of the international transaction of payment of Management Fees to the AO/TPO with a direction to select the correct method and then determine its ALP - Tribunal, in its order u/s 254(1), has rejected the selection of the Cost Plus method (CPM), the Transaction Net Marginal method (TNMM) and the Comparable Uncontrolled Price (CUP) method - HELD THAT:- Tribunal observed certain inconsistencies in the application of the methods by the assessee and the TPO, which did not properly fit into the application mechanism. Those were the raison d’etre for discarding their application. For example, the assessee wrongly considered foreign AE as a tested party or did benchmarking under the TNMM in an aggregate manner.
The Tribunal did not approve this. Both these fall in the domain of wrong application of method. Similarly, the TPO did not select any comparable uncontrolled transaction under the CUP method, which got disapproved by the Tribunal in its order u/s 254(1) of the Act. This is again an instance of wrong application of method.
Overruling the wrong application of the method doesn’t mean ruling out the selection of that Method as well. If the wrong application of a method is corrected, there can be no impediment in its selection. To put it simply, it is still open in the fresh proceedings to choose the assessee as a tested party and benchmark the transaction on segregate basis and apply the TNMM; or to find out a suitable comparable uncontrolled transaction and apply the CUP method; so on and so forth. The long and the short of the whole thing is that selection of any of the methods is open before the TPO, who can reshuffle the existing data or require the assessee to make good the deficiencies in the existing data as observed by the Tribunal in its order u/s 254(1) and proceed with the determination of the ALP of the international transaction.
Once the matter has been sent back to the TPO for a fresh determination of the ALP of the international transaction of the payment of Management services, we do not wish to clip his wings by directing to adopt a particular method only. Now it is within his domain to find out the most appropriate method in the facts and circumstances and proceed accordingly.
-
2021 (1) TMI 1129 - NATIONAL COMPANY LAW TRIBUNAL, KOCHI BENCH
Seeking sanction of Scheme of Amalgamation and Arrangement - Section 230-232 of the Companies Act, 2013 - HELD THAT:- Directions regarding passing of resolutions by transferor and transferee company is issued - various directions regarding holding and dispensation of various meetings issued - directions regarding issuance of various notices issued.
The scheme is approved - application allowed.
-
2021 (1) TMI 1128 - SUPREME COURT
Condonation of delay of 545 qua the order in Writ Appeal - Writ Appeal itself was preferred after a delay of 783 days - proper explanation for delay not provided - certificate cases - HELD THAT:- In the present case, the State Government has not even taken the trouble of citing any reason or excuse nor any dates given in respect of the period for which condonation is sought. The objective of such an exercise has also been elucidated by us in the aforesaid judgment where we have categorized such cases as “certificate cases” - The object of such cases appears to be to obtain a certificate of dismissal from the Supreme Court to put a quietus to the issue and thus, say nothing could done because the highest Court has dismissed the appeal. It is mere completion of formality to give a quietus to the litigation and save the skin of the officers who may be at fault by not taking action in prescribed time. If the state government feels that they have suffered losses, then it must fix responsibility on concerned officers for their inaction but that ironically never happens. These matters are preferred on a presumption as if this Court will condone the delay in every case, if the State Government is able to say something on merits.
SLP dismissed as time barred.
-
2021 (1) TMI 1127 - ITAT KOLKATA
Revision u/s 263 - Addition u/s 14A - selection of the case for limited scrutiny - HELD THAT:- PCIT could not have exercised his revisional jurisdiction on the issue on which he found fault with the action/omission on the part of AO because in the first place the AO could not have been faulted for not conducting any enquiry on the issue of Section 14A of the Act in respect of exempt income, since the assessee’s case was selected for scrutiny only for limited purpose under CASS and the issue of disallowance u/s 14A read with Rule 8D in respect of exempt income was not the reason for selection of the case for limited scrutiny.
Therefore, as per the CBDT circular (supra) the AO could not have initiated enquiry on the issue of section 14A of the Act and it is settled that CBDT circulars are binding on income tax authorities. Therefore in such a scenario, the Ld. PCIT could not have invoked jurisdiction u/s 263 of the Act because he could not have held the AO’s order to be erroneous because the AO was justified in not enquiring in to the issue of disallowance u/s 14A read with Rule 8D in respect of exempt income, since the AO has gone as per the dictum of CBDT circular on the subject. Therefore, the AO’s action/ omission of not looking into the issue of 14A of the Act cannot be a ground for the Ld. PCIT to exercise his jurisdiction since he cannot hold the AO’s omission to be erroneous as well as prejudicial to Revenue and the impugned action of Ld. PCIT is akin to do indirectly what the AO could not have done directly.
PCIT has ventured to exercise his revisional jurisdiction by issuing SCN without even satisfying the condition precedent to invoke the jurisdiction u/s 263 - Therefore the SCN itself is bad in law and therefore it is quashed - Decided in favour of assessee.
-
2021 (1) TMI 1126 - SUPREME COURT
Reopening of assessment u/s 148 - whether documents furnished by the Petitioner that an assessment order under Section 143(3)? - HELD THAT:- The special leave petition is dismissed. We have not entered into the merits of the questions involve in this petition.
-
2021 (1) TMI 1125 - NATIONAL COMPANY LAW TRIBUNAL, HYDERABAD
Maintainability of application - initiation of CIRP - Corporate Debtor failed to make repayment of its dues - Financial Creditors - existence of debt and dispute or not - HELD THAT:- There is no dispute that the Corporate Debtor has availed various financial facilities from the Financial Creditor and its former associate Banks, now merged into the SBI. Having availed such financial facilities from public sector banks, the Corporate Debtor cannot avoid repayment merely relying on technicalities. While harping on the provisions of Limitation Act, the Corporate Debtor itself has filed Counter only on 27.02.2020, in a petition filed on 06.09.2019. Time for filing Counter was sought on different occasions, viz. 05.12.2019, 23.01.2020 and 07.02.2020.
Apart from the technical issues raised, the Corporate Debtor did not dispute existence of debt and default, albeit it may differ dates of default and so on. Public money cannot be squandered away by the Corporate Debtor by finding loopholes.
Time Limitation - HELD THAT:- It is observed that the OTS proposal was also submitted by the Corporate Debtor and the Financial Creditors have met on 07.02.2020 to discuss about such OTS proposal. The above correspondence and the decrees passed by the DRT in the instant case amply prove that there is financial debt which was due. Thus, by accepting liability vide their letter dated 29.01.2020, agreeing to repay the debt, the Corporate Debtor now cannot take a stand that the debt is barred by limitation. Acknowledgement of debt and agreeing to repay the same amounts to liability and it automatically extends the limitation period.
It is not in dispute that the Financial Creditor disbursed various types of loans from time to time and there is default. Other contentions raised by the learned counsel for the Corporate Debtor cannot be entertained since the Financial Creditor is able to establish the debt and default. Therefore, the petition is to be admitted against the Corporate Debtor. After going through the documents filed by the petitioner we are of the view that the petition is liable to be admitted against the Corporate Debtor. The petition is accordingly admitted.
Petition admitted - moratorium declared.
-
2021 (1) TMI 1124 - BOMBAY HIGH COURT
Recovery proceedings - Challenge order rejecting the application of the petitioner for complete stay of demand arising out of the order passed by the assessing officer under section 115Q read with section 115O of the Income Tax Act, 1961 for the assessment year 2017-18 till disposal of appeal before the Commissioner of Income Tax (Appeals) - interim protection granted to petitioner - HELD THAT:- Tribunal itself has decided to hear the appeal out of turn, the hearing should be expedited. Further, we feel that if the assessing officer initiates any recovery measure, he should give at least two weeks' prior notice to the petitioner to avail its legal remedy.
We issue the following directions:
(i) Let the Tribunal decide the appeal of the petitioner within three months from today;
(ii) If the assessing officer resorts to any coercive measure for recovery of dues in the meanwhile, he shall give at least two weeks' prior notice to the petitioner to avail its legal remedy;
(iii) All contentions are kept open.
-
2021 (1) TMI 1123 - SUPREME COURT
Claim for compensation on death of dependency - Re-computation is sought of compensation for loss of dependency - HELD THAT:- The United Nations Committee on the Elimination of Discrimination against Women adopted General Recommendation No. 17 on the "Measurement and quantification of the unremunerated domestic activities of women and their recognition in the gross national product' in 1991. The General Recommendation affirmed that "the measurement and quantification of the unremunerated domestic activities of women, which contribute to development in each country, will help to reveal the de facto economic role of women" - It is worth noting that the above General Recommendation is passed in furtherance of Article 11 of the Convention on the Elimination of All Forms of Discrimination against Women which relates to ending discrimination against women in the field of employment, a Convention that India has ratified.
The issue of fixing notional income for a homemaker, therefore, serves extremely important functions. It is a recognition of the multitude of women who are engaged in this activity, whether by choice or as a result of social/cultural norms - Returning to the question of how such notional income of a homemaker is to be calculated, there can be no fixed approach.
Grant of compensation, on a pecuniary basis, with respect to a homemaker, is a settled proposition of law - Taking into account the gendered nature of housework, with an overwhelming percentage of women being engaged in the same as compared to men, the fixing of notional income of a homemaker attains special significance. It becomes a recognition of the work, labour and sacrifices of homemakers and a reflection of changing attitudes. It is also in furtherance of our nation's international law obligations and our constitutional vision of social equality and ensuring dignity to all - The granting of future prospects, on the notional income calculated in such cases, is a component of just compensation.
............
|
