Case Laws - Income Tax

• 2025 (4) TMI 1632
  Validity of reopening of assessment - allegation of violation of the provisions of section 50C of the Income Tax Act, 1961 and due to noncompliance, assessee also failed to explain the transaction - as decided by HC [ 2024 (1) TMI 1009 - BOMBAY HIGH COURT] As petitioner states, and rightly so, that provisions of Section 50C of the Act would apply only to a seller and not the assessee in this case, who is the buyer of the property. There is nothing in the notice to explain as to how, if the transaction amount is less than the stamp duty value, there can be escapement of any income particularly in the hands of a buyer. Sanction should have also....... + More

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• 2025 (4) TMI 1631
  Enforceability of treaty - Necessary notification not issued by the Government for brining the treaty into force - Most Favoured Nation (MFN) - Indian treaties with countries that are members of the Organisation for Economic Cooperation and Development ( OECD ) - as decided by HC [ 2023 (11) TMI 1373 - DELHI HIGH COURT] notification u/s 90(1) is necessary and a mandatory condition for a court, authority, or tribunal to give effect to a DTAA, or any protocol changing its terms or conditions, which has the effect of altering the existing provisions of law. The fact that a stipulation in a DTAA or a Protocol with one nation, requires same treatm....... + More

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• 2025 (4) TMI 1630
  Validity of reopening of assessment u/s 147 - extracts of reasons for reopening are furnished and not the complete reasons recorded - petitioner s failure to file return of income within the stipulated time u/s 148 - Whether petitioner having not filed its return of income as per the notice u/s 148 today cannot raise a plea that based on the extracts of the reasons, the proceedings are bad-in-law? HELD THAT:- Admittedly, the petitioner has not complied with the directions issued in case of GKN Driveshafts (India) Ltd. [ 2002 (11) TMI 7 - SUPREME COURT] . The petitioners did not file its return of income pursuant to the Section 148 of the Act ....... + More

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• 2025 (4) TMI 1629
  Reassessment order issued without generating a DIN, without documents attached to the assessment order and the notice were also issued in the hand-writing signature of the AO - HELD THAT:- Subsequently, the AO has cured the defect and the AO issued a digitally signed letter with computer generated DIN and letter number. There is no contention of the petitioner that the online service of orders-letter present has not been served upon the petitioner. It is, therefore, evident that on the same date, the defect was cured, therefore, all issues raised in this regard by the petitioner would liable to fail. Whether revenue proceeding justified in re....... + More

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• 2025 (4) TMI 1628
  Validity of reassessment proceedings - period of limitation - excess deduction claimed by the assessee u/s 80IB - whether the date of claim of deduction u/s 80IA/IB would be proper or whether the assessments for the periods 2002-03, 2003-04 and 2004-05 required to be re-visited u/s 148? HELD THAT:- As far as the first two assessment years are concerned, reassessment proceedings have been initiated beyond the period of four years from the end of the relevant assessment year, thus attracting the application of proviso to Section 147 of the Act which we will presently advert to. For assessment year 2004-05, the re-opening is within the period of....... + More

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• 2025 (4) TMI 1627
  Addition u/s 40(a)(ia) - payments made without deduction of TDS - when the amount is payable - HELD THAT:- The Hon ble Apex Court in Palam Gas Service [ 2017 (5) TMI 242 - SUPREME COURT] has interpreted the issue namely the word payable in Section 40 (a) (i-a) which would mean only when the amount is payable and not when it is actually paid. Grammatically, it may be accepted that the two words i.e. payable and paid , denote different meanings The sole consideration taken by the forum is the judgment passed by in CIT Vs. Vector Shipping Services (P) Ltd [ 2013 (7) TMI 622 - ALLAHABAD HIGH COURT] which has been over-ruled by the Hon ble Apex Co....... + More

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• 2025 (4) TMI 1626
  Income deemed to accrue or arise in India - treatment of commission income and the amounts received by the Assessee as subscription fee - AO held that the commission income and the subscription fee received by the Assessee from entities in India were required to be construed as fees for technical services [FTS] and were chargeable to tax under the Act and passed the draft assessment orders - HELD THAT:- For any receipt to fall within the expression fees for technical services , it is necessary that the same be received as consideration for rendering services which are of technical nature. The expression rendering of managerial, technical or c....... + More

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• 2025 (4) TMI 1625
  Validity of notices issued in light of the limitation period prescribed u/s 153(3) - Transfer pricing adjustments - HELD THAT:- As the order of the Tribunal had come to be passed after 01 April 2019, and consequently the prescription of 09 months as appearing in the principal part of sub-section (3) would have to be read as 12. When 12 months are computed from the order of 21 October 2020, it is ex facie evident that the jurisdiction and authority inhering the respondents to frame an order of assessment pursuant to a direction framed by the Tribunal would have undoubtedly come to an end on 21 October 2021 and no longer exists today. We, conse....... + More

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• 2025 (4) TMI 1624
  Estimation of income - bogus purchases - addition in respect of alleged bogus purchases based on material and statements which were admittedly not provided to the appellant for rebuttal and cross examination - HELD THAT:- After considering the decision in case of Pankaj K. Chaudhary [ 2023 (3) TMI 1402 - GUJARAT HIGH COURT ] Tax Appeals filed by the revenue were dismissed as the question of addition of purchases made by the AO was restricted by the Tribunal to 6% was already confirmed by this Court. Tax Appeal are also stand answered as the assessee being aggrieved by the very same order has preferred this appeal raising the questions of law.

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• 2025 (4) TMI 1623
  Levy of penalty u/s 271(1)(c) - Disallowance of 25% of the purchase alleged of bogus and made addition after rejecting books of account u/s 145(3) - CIT(A) confirmed penalty levy . As decided by AM - It is clear from the order of the CIT(A) that he has allowed the penalty appeal of the assessee for the assessment year 2007- 08 on the same set of facts whereas for assessment years 2008-09 and 2009-10 though the facts being same should have been allowed. The doctrine of binding precedent has the merit of promoting a certainty and consistency in judicial decisions, and enables an organic development of the law, besides providing assurance to the....... + More

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• 2025 (4) TMI 1622
  Penalty levied u/s.270A - Foreign Tax credit denied for non filing Form 67 within the due date of filing of return - HELD THAT:- Cojoint reading of sub-section (2) (9) of section 270A leads to the inference that if the income is assessed greater than the income reported in the return of income or determined in the return processed u/s 143(1)(a) and the addition in the total income of the assessee is due to the reason of misrepresenting or suppressing of facts, failure to record the investment in the books of account, unsubstantiated claim of expenditure disallowed, recording false entries in the books of account, failure to record any receipt....... + More

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• 2025 (4) TMI 1621
  Levying penalty u/s 271(1)(c) - Estimation of income - bogus purchases - As alleged invalid penalty order in which the limb of levy of penalty u/s 271(1)(c) not mentioned - addition made on estimation basis - HELD THAT:- As decided in Subhash Trading Co. [ 1995 (11) TMI 37 - GUJARAT HIGH COURT ] and Whitelene Chemicals [ 2013 (8) TMI 144 - GUJARAT HIGH COURT ] and Krishi Tyre Retreading Rubber Industries [ 2014 (2) TMI 21 - RAJASTHAN HIGH COURT ] have held that penalty u/s 271(1)(c) of the Act could not be levied where addition was on estimated basis. The Co-ordinate Bench in cases of Yogendra Raj U Sanghvi [ 2023 (10) TMI 1395 - ITAT SURAT ]....... + More

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• 2025 (4) TMI 1620
  Charging the tax on the trust at the rate ordinarily applicable to total income of association of persons or maximum original rate - Liability to exemption u/s 164 - assessee has submitted there are only three beneficiaries of the said trust created by late Sakuntalla Balvantrai HELD THAT:- The brief facts of the case are that the assessee trust is a trust at will , which was created by late Smt. Sakuntalla Balvantrai, for the benefit of her daughter and children of her daughter. The only income of the trust is the interest income which is distributed to the beneficiaries. AO is directed to charge the tax on the trust at the rate ordinarily a....... + More

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• 2025 (4) TMI 1619
  Disallowance of deduction u/s. 80P - disallowance of provision on account of prize money distributed to the members and disallowance of bad debts - CIT(A) in appeal held that the assessee was entitled to deduction u/s. 80P, however, upheld the action of the AO in making disallowance for provision for prize money and bad debts - HELD THAT:- A perusal of the impugned order of the CIT(A) would reveal that the CIT(A) has already decided the issue of deduction u/s. 80P of the Income Tax Act in favour of the assessee. Once the assessee is held to be entitled to deduction u/s. 80P of the Income Tax Act, the income of the assessee will be exempt from....... + More

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• 2025 (4) TMI 1618
  Validity of reopening of assessment without serving any notice - HELD THAT:- The Revenue could not prove that there was service of notice u/s 148 of the Act before completion of the reassessment u/s 144 r.w.s. 148 of the Act. As a matter of fact the Assessing Officer in the remand proceedings admitted that notice issued u/s 148/142(1) of the Act had returned by the authorities and therefore it can be safely concluded that there was never been any service of notice to the Assessee. Thus, the reassessment made u/s 144 r.w.s. 148 of the Act is hereby quashed. Decided in favour of assessee.

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• 2025 (4) TMI 1617
  TDS u/s 194C - Disallowance u/s 40(a)(ia) - non-deduction of TDS on the foods supply bills - HELD THAT:- When the matter carried before DRP, DRP hold that the impugned transaction with the catering service provider was covered u/s 194C of the Act and hence, assessee was liable to deduct the TDS. But at the same time on the alternative plea of the assessee that the other party has paid the tax the assessee should not be treated as an assessee in default and therefore, the matter was set aside to the file of the AO. AO has not discussed that issue and directly taken a view that since the assessee has not recorded purchase and debited the said a....... + More

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• 2025 (4) TMI 1616
  Nature of receipt - Compensation in lieu of the right to sue awarded by way of damage suit by order of the Hon ble High Court - revenue of capital receipt - HELD THAT:- As relying on Shri Virendra Bhavanji Gala [ 2023 (9) TMI 746 - ITAT MUMBAI] ] and Vijay Flexi Containers [ 1989 (9) TMI 16 - BOMBAY HIGH COURT ] amount of compensation received is capital receipt is upheld and consequently, the grounds raised by the Revenue are dismissed.

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• 2025 (4) TMI 1615
  Addition u/s 69A - cash receipts as inflated to explain the cash deposits post-demonetization - HELD THAT:- It is not in dispute that the AO has accepted the books of account filed by the assessee. The turnover of the assessee was Rs. 31 crores, and during the demonetization period, cash sales amounting to Rs. 2,53,99,000/- were recorded. AO based on certain calculations, concluded that there was inflation of sales to the extent of Rs. 1.40 crores and proceeded to make an addition on the assumption that cash deposits were made out of demonetized currency. There is no material on record to show that the sales were inflated or that the deposits....... + More

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• 2025 (4) TMI 1614
  Addition u/s 69A - cash found during search operations - search and seizure operation under Section 132 was carried out at the residential premises of the assessee - Disclosures made before the Hon ble Income Tax Settlement Commission (ITSC) - HELD THAT:- The search operations were conducted simultaneously across group cases, and GTIPL had filed a petition before the Hon ble Settlement Commission admitting undisclosed income, which allegedly included the cash in question. The record shows that the Hon ble Settlement Commission duly considered the cash flow statement, the balance sheet, and other relevant documents before passing the settlemen....... + More

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• 2025 (4) TMI 1613
  Additional depreciation u/s 32(1)(iia) on computers used for the production of software - assessee explained that it was in the business of development embedded software, which amounts to the production of an article or thing, and that the computers used for software production qualify as plant and machinery, thus making them eligible for additional depreciation - AO held that computer software is not an article or thing - HELD THAT:- We note that issue on hand is covered in favour of the assessee by the order of coordinate bench of this Tribunal in the own case of the assessee for A.Y. 2012-13 [ 2024 (12) TMI 1561 - ITAT BANGALORE] wherein h....... + More

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• 2025 (4) TMI 1612
  Addition u/s 68 - unexplained cash deposits in his bank account - as alleged the assessee had submitted cash books, which had to be revised and there was a variation in the opening balance declared by the assessee in such cash book, which raised doubt as regards to the genuineness of such cash book, secondly, if the assessee was having substantial cash in hand there was no justification for further/regular cash withdrawals and the burden was on the assessee to substantiate as to why the assessee was regularly withdrawing cash from his bank account when he was having substantial cash in hand and thirdly, the assessee has shown a meagre cash ex....... + More

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• 2025 (4) TMI 1611
  Addition u/s 69 - unexplained investments - HELD THAT:- As before us, AR drew our attention to the evidences to the source of payments were raised from assessee s family members. Assessee stated the sources for payment of sale consideration. We note that from the said statement, the assessee availed loan from HDFC Bank, own fund out of earnings, LIC policy maturity and family support. There is no dispute with regard to own fund out of earning, housing loan from HDFC and LIC policy maturity. Funds availed from family members - On perusal Indian Bank statement, on examination of the same, we find that on 17.05.2014 27.05.2014, Rs..1 lakh and Rs....... + More

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• 2025 (4) TMI 1610
  Demand u/s 201 201(1A) - assessee in default for non-deduction of TDS on certain expenses/ - HELD THAT:- We note that the facts remain admitted that no expenditure incurred by the assessee as on 31.03.2015. The provision was made on the basis of estimation relating to supply of services and goods by the vendors. The facts and circumstances of the case clearly show that no invoice is received by the assessee from the vendors and no payment was made to the vendors towards services and supply of goods rendered by the vendors as on 31.03.2015. The provision was created by the assessee is only an estimation basis taking into account the quantum of....... + More

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• 2025 (4) TMI 1609
  Maintainability of appeal as per section 249(4) - assessee had not paid the tax on returned income and the particulars of payment was also not mentioned in column 8 of Form 35 - HELD THAT:- It is pertinent to note that the provisions of section 249(4)(b) of the Act is clear that appeal before the ld. CIT(A) should be admitted only when the assessee has paid an amount equal to the amount of advance tax, which was payable by him. Where the return of income has not been filed the proviso to said section also describe that the assessee will get exemption from this clause, if an application is made before the ld. CIT(A) for not paying an amount eq....... + More

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• 2025 (4) TMI 1571
  Jurisdiction of issuing notice u/s 143 (2) - omission on the part of the DCIT in not issuing notice u/s 143 (2) to the assessee - Whether the assessee can challenge the authority of the ITO, who had issued the notice u/s 143 (2) and the authority of the DCIT for issuing the assessment order u/s 143 (3) in view of the limitations prescribed under Sections 292B and 292BB of the I.T. Act? - HELD THAT:- Section 292B provides that notice as well as return of income, assessment, summons, etc., issued under the provisions of the I.T. Act cannot be treated as invalid merely by reason of any mistake, defect or omission in such notice, etc., if the sam....... + More

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Case Laws - GST

• 2025 (4) TMI 1642
  Issuance of SCN and demand against a deceased person - HELD THAT:- A perusal of the Section 93 would reveal that the same only deals with the liability to pay tax, interest or penalty in a case where the business is continued after the death, by the legal representative or where the business is discontinued, however, the provision does not deal with the fact as to whether the determination at all can take place against a deceased person and the said provision cannot and does not authorise the determination to be made against a dead person and recovery thereof from the legal representative. Once the provision deals with the liability of a lega....... + More

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• 2025 (4) TMI 1641
  Challenge to repeated issuance of SCN by the Delhi Goods and Service Tax Department and impugned order - challenge on the ground that despite a specific reply having been placed on record that the Petitioner was suffering from a stroke, the Department proceeded and passed the impugned order - HELD THAT:- Considering the overall facts, there is no doubt that the Petitioner has been continuously following up with the Department and filing replies diligently. The medical ground which was stated on 23nd December, 2024 ought to have been considered emphathetically as the same was accompanied with all the documents from Indraprastha Apollo Hospital....... + More

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• 2025 (4) TMI 1640
  Challenge to validity of N/Ns. 09/2023-Central Tax dated 31th March 2023 and 56/2023-Central Tax dated 28th December 2023 - SCN was not in the knowledge of the Petitioner, hence no reply was filed - violation of principles of natural justice - HELD THAT:- This Court is of the opinion that the delay in filing the appeal deserves to be condoned and the appeal deserves to be heard on merits. The Appeal is restored to its original number before the Appellate Authority - Petition disposed off.

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• 2025 (4) TMI 1639
  Challenge to order in original - the written submissions filed by the Petitioner have not been considered by the Respondent No. 1 and no personal hearing notice has been issued either - violation of principles of natural justice - HELD THAT:- The Petitioner having had no the opportunity to file its reply to the Department and no personal hearing having been effectively afforded to the Petitioner, this Court is of the opinion that the matter deserves to be remanded to the Department for fresh consideration, only insofar as the Petitioner is concerned. The Department shall make an endeavour to ensure that in terms of Section 169 of the Central ....... + More

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• 2025 (4) TMI 1638
  Cancellation of GST registration of the petitioner - non-filing of GST returns for a continuous period of six months - HELD THAT:- Having regard to the fact that the GST registration of the petitioner has been cancelled under Section 29 (2) (c) of the CGST Act, 2017 for the reason that the petitioner did not submit returns for a period of 6 (six) months and more; and the provisions contained in the proviso to sub-rule (4) of Rule 22 of the CGST Rules, 2017 and cancellation of registration entails serious civil consequences, this Court is of the considered view that in the event the petitioner approaches the officer, duly empowered, by furnish....... + More

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• 2025 (4) TMI 1637
  Dismissal of appeal filed by the petitioner has been dismissed on ground of it being time barred - failure to furnish returns for six months - HELD THAT:- The impugned order for cancellation of registration with effect from 28.02.2022 under Section 29 (2) (c) of the CGST Act, 2017 was issued on 08.07.2022 and the Petitioner had filed an appeal under Section 107 of the CGST Act, which is the appellate provision on 29.09.2023 through online and hard copy of the same was submitted in the office of the appellate authority on 06.10.2023; as such, after calculating the entire period, it appears that the appeal has been filed after one year and thre....... + More

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• 2025 (4) TMI 1636
  Challenge to SCN and N/N. 9/2023-Central Tax dated 31st March, 2023 and 56/2023-Central Tax dated 28th December, 2023 issued by the Central Board of Indirect Taxes and Customs - extension of time limits for adjudication under the GST regime - Petitioner has not been afforded an opportunity to be heard - Violation of principles of natural justice - HELD THAT:- This Court is of the opinion that since the Petitioner has not been afforded an opportunity to be heard and the said SCNs and concurrent impugned orders have been passed without hearing the Petitioner, an opportunity ought to be afforded to the Petitioner to contest the matter on merits........ + More

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• 2025 (4) TMI 1635
  Issuance of ex-parte assessment order and demand notice under Section 73 of the CGST/UPGST Act, 2017 against a corporate debtor undergoing Corporate Insolvency Resolution Process (CIRP), after the approval of the Resolution Plan by the National Company Law Tribunal (NCLT) - HELD THAT:- This Court in M/S NS Papers Limited and another Vs. Union of India through Secretary and others] [ 2024 (12) TMI 989 - ALLAHABAD HIGH COURT ], after dealing with a catena of judgments rendered by the Supreme Court and also other High Courts held as the arguments raised by the learned counsel appearing on behalf of the respondents is without any merit on two cou....... + More

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• 2025 (4) TMI 1634
  Seeking directions to the Respondents to supply the Relied Upon Documents (RUD) in the Show Cause Notice - principles of natural justice - HELD THAT:- Considering the nature of request, the Department should have supplied a complete set of RUDs to the Petitioners to enable them to file proper reply to the SCN dated 18th March 2025 - Accordingly, it is directed that all the above RUDs in full be provided to the Petitioners within one week. Petition disposed off.

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• 2025 (4) TMI 1633
  Service of SCN - SCN did not come to the knowledge of the Petitioner as the same was uploaded by the Respondent No. 1-Department on the additional notices tab - violation of principles of natural justice - HELD THAT:- In view of the fact that the Petitioner did not get an opportunity to file a reply to the SCN, this Court is of the opinion that the Petitioner ought to be afforded an opportunity to file a reply. Let the reply to the SCN be now filed within a period of 30 days. The Adjudicating Authority shall proceed and pass order with respect to the SCN after affording a hearing to the Petitioner. The demand order is set aside - petition disposed off.

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• 2025 (4) TMI 1589
  Maintainability of petition - availability of alternative remedy of appeal - Challenge to assessment order - impugned assessment order has been passed based on mismatches in ITR 26(AS), Input Tax Credit (ITC) in GSTR-2A, and ITC reversal on account of credit notes received - HELD THAT:- Recording the submissions made by the learned Government Advocate that the petitioner is having an appeal remedy before the Appellate Deputy Commissioner (ST) GST Appeal, Tiruchirappalli, under Section 107 of the TNGST Act, 2017, this writ petition is disposed of with liberty to the petitioner to approach the appellate authority and raise all the grounds raise....... + More

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• 2025 (4) TMI 1588
  Maintainability of petition - bypassing the statutory appellate remedy and invoking the writ jurisdiction under Article 226 of the Constitution of India - HELD THAT:- In the present case, the petitioner has failed to point out any extraordinary and exceptional circumstance for bypassing the statutory alternative remedy. Neither there has been a failure of principles of natural justice nor it is the case of the petitioner that proceedings were without jurisdiction, which are the grounds under which the bar of statutory remedy does not come in the way of entertaining the petitions under Article 226 of the Constitution of India. There are no rea....... + More

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• 2025 (4) TMI 1587
  Challenging an order of the Kerala Administrative Tribunal concerning the general transfer process in the State GST Department - HELD THAT:- The Tribunal proceeded to dispose of the matter in the light of the earlier interim order as well as taking note of the Government Policy (Annexure-A1) for implementing online general transfer. No doubt, the object behind Annexure-A1 is laudable but it s implementation may take time. The Tribunal or the Court cannot force the Government to implement such guidelines within a particular time frame. Petition disposed off.

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• 2025 (4) TMI 1586
  Challenge to ex-parte order - no reasonable opportunity of hearing was provided - order was not communicated to the Petitioner and therefore the challenge to the same before this Court could not be made within the reasonable time - violation of principles of natural justice - HELD THAT:- Section 146 of OGST Act, 2017 postulates that the Government on the recommendations of the Council may notify the Common Goods and Services Tax Electronic Portal to facilitate the registration, payment of tax, furnishing of returns, computation and the settlement of the integrated tax and to carry out such other functions as may be prescribed. Thus, the creat....... + More

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• 2025 (4) TMI 1585
  Violation of principles of natural justice - impugned orders passed by the first respondent, without affording an opportunity of hearing to the petitioner - HELD THAT:- In the case on hand, it is seen that all the communications/notice, which culminated in the impugned orders were uploaded in the GST Portal, that too, not under the usual column, Notices and Orders , but under the different column, i.e. Additional Notices and Orders column, which not only the petitioner but also the petitioner s Accountant was aware - it is crystal clear that the first respondent passed the impugned orders without even affording any opportunity of hearing to t....... + More

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• 2025 (4) TMI 1584
  Validity of summary order in Form GST DRC-07 - Seeking for issuance of Writ of Certiorarified Mandamus, calling for the records on the file of the respondent and quash the same as illegal, error of law and error on the face of record - denial of opportunity of being heard - violation of principles of natural justice - HELD THAT:- The impugned summary order dated 20.12.2023 was passed calling upon the petitioner to file objections on or before 28.12.2023 while the impugned order was passed under Section 73 of the Act on 30.12.2023, which is not a consequential order or speaking order to the summary of the order in Form GST DRC 07 dated 07.12.2....... + More

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• 2025 (4) TMI 1583
  Principles of natural justice - assessment order passed by the respondent without providing an opportunity of personal hearing to the petitioner - HELD THAT:- Considering the submissions made by the learned counsel for the petitioner as well as the learned Additional Government Pleader appearing for the respondent, it is evident that though the reply has been filed by the petitioner, without taking into consideration of the reply filed by the petitioner and without providing an opportunity of personal hearing, the assessment order has been passed, which is totally against the provision under Section 75(4) of the Central Goods and Services Tax....... + More

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• 2025 (4) TMI 1582
  Seeking grant of privilege of anticipatory bail - criminal breach of trust and forgery related to misappropriation of funds - HELD THAT:- Considering the serious nature of allegation against the petitioners and the requirement of their custodial interrogation during the investigation of the case, this Court is not inclined to give the privilege of anticipatory bail to the petitioners. Accordingly, the prayer for grant of privilege of anticipatory bail to the above named petitioners is rejected.

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• 2025 (4) TMI 1581
  Maintainability of petition - availability of alternative remedy - Cancellation of petitioner s registration for failing to furnish the returns - complaince with due procedure contemplated under Section 29 of the CGST Act or not - HELD THAT:- Though petitioner alleges that Exhibit-P2 order of cancellation is ambiguous, on a perusal of the same, it is noticed that the respondent has complied with due procedure contemplated under Section 29 of the CGST Act. A reading of the order of cancellation as well as the show cause notice reveals that petitioner had not furnished the final return for the period prescribed under Section 29(2)(c) of the CGS....... + More

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• 2025 (4) TMI 1579
  Voluntary cancellation of GST registration - principles of natural justice - HELD THAT:- Since none of the material which is placed on record and which is alluded to, was ever placed before the respondents, the ends of justice would merit the petitioner being accorded an opportunity to place the same before the competent authority and for the same being examined afresh. Petition allowed by way of remand.

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Case Laws - Customs

• 2025 (4) TMI 1608
  Interest payable on CVD levied under Section 3 of the CT Act or on SAD levied under Section 3A of the CT Act - Constitutional validity of the Notification No. 18/2015-Cus dated 01.04.2015 - HELD THAT:- It is not inclined to interfere with the impugned judgment; hence, the present special leave petition is dismissed.

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• 2025 (4) TMI 1607
  Personal liability of petitioner for non-fulfilment of export obligations by the Company - Petitioner was appointed as an independent non-executive director of the Company in the year 1985 and was neither a promoter nor was involved in the day-to-day affairs of the Company - time barred SCN - HELD THAT:- This Court has in Pankaj Mehra case while relying on the judgments passed in Krishan Kumar Bangur case [ 2006 (4) TMI 256 - HIGH COURT OF DELHI ] and Ved Kapoor case [ 2013 (9) TMI 706 - DELHI HIGH COURT ], and on the judgment of the Supreme Court in the Santanu Ray vs. Union of India [ 1988 (8) TMI 106 - DELHI HIGH COURT ], has held that unl....... + More

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• 2025 (4) TMI 1606
  Seeking grant of anticipatory bail - smuggling foreign origin gold and cash - applicability and scope of Section 135 of the Customs Act, 1962 - HELD THAT:- Relevant aspects have been dealt with in detail by Co-ordinate Bench of this Court in Ram Krishna Jaldhar Parai versus Union of India and others [ 2024 (10) TMI 847 - ALLAHABAD HIGH COURT ] and has recorded a prima facie satisfaction with regard to Sections 135 of the Customs Act to the effect that a person can be punished for the limited offence if ingredients of the said sections are made out which prescribe a maximum sentence of upto 7 years. The order also indicates the fact that the r....... + More

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• 2025 (4) TMI 1605
  Levy of penalty under Section 117 of the Customs Act, 1962 on the Customs House Agent (CHA) and Rajiv Sahni, who was working merely as Business Development Associate of M/s. Essar Oil Limited - alleged violations related to clearance of goods under a Project Authority Certificate (PAC) - no direct contravention by the CHA is established. Penalty on Customs broker - HELD THAT:- After going through the provision of Section 46 of the Customs Act, it is clear that under Section 46 of the Customs Act, duty has been imposed upon the importer of the goods and not upon the Custom Broker or Customs House Agent, therefore, no penalty can be imposed upo....... + More

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• 2025 (4) TMI 1604
  Revocation of customs broker licence - forfeiture of entire amount of security deposit - levy of penalty - misuse of the export promotion schemes and other fraudulent activities - HELD THAT:- Regulation 10(n) does not place an obligation on the Customs Broker to oversee and ensure the correctness of the actions by Government officers. Therefore, the verification of documents part of the obligation under Regulation 10(n) on the Customs Broker is fully satisfied as long as the Customs Broker satisfies itself that the IEC and the GSTIN were, indeed issued by the concerned officers. This can be done through online verification, comparing with the....... + More

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• 2025 (4) TMI 1580
  Anti-dumping investigation - Condonation of Delay in filing of response - technical delay of 19 minutes in submission - Imports of Plastic Processing Machines originating or exported from China and Taiwan - HELD THAT:- The Court has seen the email dated 4th November, 2024. Considering that in such matters, the investigation has to be comprehensive and the Petitioners have already been permitted to participate in the proceedings. A few minutes delay in the exporters questionnaire response cannot oust the Petitioners response from being heard and participating fully in the proceedings. In terms of the facts of the present case, the response to ....... + More

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• 2025 (4) TMI 1551
  Territorial jurisdiction of High Court to entertain the writ petition challenging the SCN - petitioner was not given reasonable opportunity of hearing - Violation of principles of natural justice - HELD THAT:- It is true that Article 226 (2) of the Constitution of India allows a High Court to exercise its power, to issue writs, even if the authority or person against whom the writ is sought is outside its territorial jurisdiction, as long as the cause of action or part of it arises within its territorial jurisdiction. It is also equally well settled that a small portion of cause of action within the High Court s jurisdiction is sufficient to ....... + More

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• 2025 (4) TMI 1550
  Smuggling of gold - detention and confiscation of the Petitioner s personal gold jewellery by the Customs Department without issuance of a Show Cause Notice (SCN) or personal hearing - Respondent has also not produced any voluntary signed waiver declaration - violation of principles of natural justice - HELD THAT:- This Court has held in several matters that signing of waiver of SCN and waiver of personal hearing by a way of preprinted waiver form would be contrary to principles of natural justice and, in any case, cannot be recognized as legally followed procedure by this Court. In the cases of Mr Makhinder Chopra vs. Commissioner of Customs....... + More

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• 2025 (4) TMI 1549
  Smuggling of gold - Detention of the one gold kada of the Petitioner - personal effect under the Baggage Rules, 2016 or not - HELD THAT:- Considering the fact that the gold kada seized is merely a personal effect of the Petitioner, in the opinion of this Court, the detention itself would be contrary to law - the detention of the gold kada is set aside. Petition disposed off.

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• 2025 (4) TMI 1548
  Seeking grant of regular bail - demand of bribe for release of shipment - HELD THAT:- The applicant is in jail for about two months. As the investigation is over, further detention of the applicant is not warranted. Considering the overall facts and circumstances of the case, the applicant is released on bail. Criminal Bail Application is allowed.

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• 2025 (4) TMI 1547
  Overvaluation of imported goods - deficiency in discharge of duties of customs - jurisdiction of adjudicating authorities and appellate bodies, to determine the value of imported goods outside the statutory framework of assessment, particularly for the purpose of confiscation under section 111(m) of the Customs Act, 1962, when no duty shortfall or prohibition exists - HELD THAT:- The scheme of valuation, as set out in the extant Rules, is for the price to be the transaction value and, thereby, the value for assessment where duties of customs are to be charged on the basis of value. The optimal description of acceptable price, in rule 3 of Cus....... + More

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• 2025 (4) TMI 1419
  Prohibiting the employment of contract labour at the Central Warehousing Corporation s Inland Clearance Depot (ICD) - Challenge to notification dated 17 November 2006 issued by the Ministry of Labour and Employment, Government of India, whereby employment of contract labour in the petitioner s establishment was prohibited - non-application of mind, as required by, and in accordance with, Section 10 (2) of Customs Act, 1962. Whether Incidental or Necessary, the Nature of Work Carried Out by Contractual Labourers at CWC s ICD, Patparganj? - HELD THAT:- From interpretation of Section 10 (2) (a), it appears that the argument of work carried out b....... + More

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• 2025 (4) TMI 1418
  Classification of imported Roasted Areca Nuts - to be classified under Chapter Heading 2008 19 20 (Chapter 20) or under Chapter Heading 080280 (Chapter 8) of the Customs Tariff Act, 1975 for the purpose of levy of Basic Customs Duty (BCD)? - HELD THAT:- Considering the submissions made by learned advocates for the respective parties, without entering into the merits of the matter, the petition is disposed of by issuing the directions in the interest of justice - The petitioner shall deposit Rs.3,25,000/- being 15% of 30% Basic Customs Duty and 10% SWS on BCD on declared value of the goods imported. Petition disposed off.

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• 2025 (4) TMI 1417
  Waiver of detention and demurrage charges on imported goods detained by Customs - respondent No. 4 is a delivery agent of the shipping line - respondent No. 4 is bound by the waiver letter issued by respondent No. 2 to deliver the Cargo to the petitioner or not - Authorized Sea Carrier or an Authorized Carrier under the SCMTR, 2018 - HELD THAT:- As per the provisions of the Regulations, 2018, the Authorized Carrier means an Authorized Sea Carrier, authorized train operator or a custodian, registered under Regulation 3 and postal authority. Respondent No. 4 is registered under sub-regulation (3) as Authorized Sea Agent which is apparent from t....... + More

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• 2025 (4) TMI 1416
  Vires of Impugned Policy Circular No. 06/2018 dated 22.05.2018 - unlawfully inserting additional conditions - benefits under the Service Export from India Scheme (SEIS) - issuance of SCN to cancel the scrips issued to the petitioner under the scheme notified as Service Export from India Scheme (SEIS) - HELD THAT:- On perusal of Section 28AAA of the Customs Act, 1962, it is clear that the impugned show cause notice is in nature of recovery of consequential proceedings to the order passed by the DGFT which still holds the field and as such the respondent authorities are required to adjudicate the show cause notice in the facts of the case and n....... + More

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• 2025 (4) TMI 1415
  Reasonable belief to seize 3998.83 grams of gold or not - evidences available on record prove that the seized gold bars were smuggled into India from Bangladesh without any legal documents - discharge of burden of presumption under section 123 of Customs Act, 1962 - failure to follow the procedure prescribed under section 138B vitiated the proceedings in the impugned case - reliability of statements of Manoj Kumar Nishad Shri Rajan Kumar Sahni, later retracted. Whether Department could establish the Reasonable belief to seize 3998.83 grams of gold valued at Rs 2,12,79,096, from Shri Manoj Kumar Nishad Shri Rajan Kumar Sahni, travelling by Bus....... + More

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• 2025 (4) TMI 1414
  Classification of imported silicon steel scraps - classifiable under Customs Tariff Heading (CTH) 7204 49 00 as claimed by the appellants or under CTH 7225 19 00 as held by the adjudicating and appellate authorities - requirement of import authorization under Para 2.17 of the Foreign Trade Policy (FTP) - redetermination of value of impugned goods from 400$ PMT to 650$ PMT - confiscation - penalty. Whether the silicon steel scraps imported by the appellants is classifiable under CTH 72044900 as declared by the appellants are under CTH 72251900 as arrived at by the impugned order and as to whether the appellants require import authorization fro....... + More

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• 2025 (4) TMI 1346
  Grant of anticipatory bail in a case for offence under Section 61 (2) of BNS and Sections 7, 7A, 8 and 12 of the Prevention of Corruption Act - prosecution alleged that the accused, a non-public servant, acted as a tout facilitating bribes to public servants for clearance of import-export consignments at the Inland Container Depot, Tughlakabad - HELD THAT:- The RC registered by CBI specifically names the accused/applicant. I have gone through the transcripts of audio recordings of conversation between the accused/applicant and some unknown person, which prima facie show his complicity in the crime. As further submitted by learned SPP, custodi....... + More

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• 2025 (4) TMI 1345
  Refund of IGST - barred by time limitation or not - date of IGST payment and the date of refund application filing - exclusion of limitation period as directed by the Hon ble Supreme Court in Suo Moto Writ Petition [ 2020 (5) TMI 418 - SC ORDER] , due to the COVID-19 pandemic - HELD THAT:- As the normal period of limitation was till 30.03.2022 for filing of refund, whereas the appellant filed their refund application on 12.04.2022 with a delay of 13 days. The Hon ble Supreme Court directed that the period from 15.03.2020 till 28.02.2022 shall stand excluded for the purpose of limitation as may be prescribed under any general or special laws i....... + More

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• 2025 (4) TMI 1344
  Denial of interest on seized traveller s cheques that were seized, encashed, and deposited by the Customs Department - HELD THAT:- The reason for encashing the travellers cheque and depositing the same in the Customs Department s account is not available in the case record, so as to justify disposal of the seized documents in the manner prescribed by the Central Government as contemplated in Section 110(1-A) of the Customs Act since those were not perishable or hazardous in nature and depreciation of their value with the passage of time would not even be a rare probability, as those were Dollars equivalent whose value has been consistently in....... + More

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Case Laws - Corporate

• 2025 (4) TMI 1413
  Investigation into the affairs of the respondent company - eligibility to file an application under Section 213 of the Companies Act, 2013 - Illegal allotments of convertible debentures at a discount - illegal increase in authorized share capital of company - conversion of Respondent No. 1 Company from a private to a public entity - Illegal borrowing of funds based on fraudulent documentation - HELD THAT:- Admittedly the appellant is not a member of the Respondent No.1 company, hence cannot allege the business of Respondent No.1 company is being conducted in a manner oppressive to its members; or the company is guilty of fraud, misfeasance or....... + More

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• 2025 (4) TMI 1293
  Rejection of the plaint filed by the appellant - decree of permanent injunction from transferring any tenancy right in favour of any new tenant in respect of the property described in Schedule- A of the plaint - Company and its Directors have been mismanaging the assets of the Company - locus standi and a cause of action to seek a declaration of shareholding and related rights without having the transfer of shares recorded under Section 56 of the Companies Act, 2013 - misjoinder of causes of action - HELD THAT:- As rightly enumerated in the impugned judgment and deemed decree, the plaintiff does not disclose clearly in the plaint as to how he....... + More

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• 2025 (4) TMI 1120
  Rejection of prayer for discharge of the petitioner - rejection on the ground that prayer for discharge by the petitioner cannot be entertained because Law is apposite that if any officer or employee of a company having validly obtained possession of a property of a company, wrongfully retains the same, as appears to be the case in this proceeding, it would constitute an offence contemplated in Section 452 of the Companies Act, 2013 - HELD THAT:- In the present case, the Learned Magistrate only issued summons upon the petitioner. The Learned Trial Court shall have to decide the case on its own merits on the basis of the evidence led by the pa....... + More

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• 2025 (4) TMI 1019
  Oppression and mismamangement - Maintainability of suit - wrongfully continuing as members of the Executive Committee and are illegally occupying management positions - whether this Court has the jurisdiction to entertain the suit, in light of provisions of Section 430 of the 2013 Act? - whether the plaint can be rejected at the threshold in the absence of a formal application under Order VII Rule 11 CPC? - HELD THAT:- There is merit in the contention of Defendant No. 1 that under Order VII Rule 11 (d) of CPC, a plaint shall be rejected where the suit appears from the statement in the plaint to be barred by law and Court need not wait for the....... + More

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• 2025 (4) TMI 1018
  Rectification of order - Exercise of suo motu powers under Rule 154 of the NCLT Rules, 2016, to rectify a docket order, particularly when the principal detailed order was uploaded after the rectification order was passed - vice of audi alterem partem - principles of natural justice - HELD THAT:- The provision of Rule 154 of the NCLT Rules, provides power with the Tribunal of rectification . The rectification herein would mean only making any clerical or arithmetical mistakes in the order within the scope contemplated under it, arising out of an accidental slip or omission, which could only be corrected by the Tribunal, on its own motion or on....... + More

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• 2025 (4) TMI 891
  Rightful shareholder of 100 equity shares in the respondent company or not - rectification of register of members to reflect the appellant as a shareholder holding 100 shares - time limitation - HELD THAT:- It is observed that Section 59 of the Companies Act, 2013, does not specify a limitation period. However, Section 433 makes the Limitation Act, 1963, applicable. Therefore, Article 137 prescribes a three-year period from the date of knowledge of the cause of action. In the present case the share transfer was recorded in 2016. The Appellant s failure to act until 2020, when he issued a notice, and subsequently filing the appeal in 2021, is ....... + More

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• 2025 (4) TMI 700
  Violation of principles of natural justice - opportunity of hearing of impleadment application - impleadment application was never heard before it being reserved alongwith the main Company Petition for the purposes of it to be disposed of in a single combined order - HELD THAT:- The argument of the learned senior counsel for the appellant is not convincing that as the appellant claims a right to receive shares in Respondent No.1 company hence he should be impleaded in main Company Petition filed by Respondent No.1 against Respondent No.2. Admittedly the Company Petition is not a lis between two brothers viz. Mr. Suresh Kumar Khosla and Mr. As....... + More

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• 2025 (4) TMI 640
  Grant of anticipatory bail - Avoidance of legal proceedings - no non-bailable warrant issued against the respondent - HELD THAT:- It is no more res integra that economic offences constitute a class apart, as they have deep rooted conspiracies involving huge loss of public funds, and therefore such offences need to be viewed seriously. They are considered as grave and serious offences affecting the economy of the country as a whole and thereby posing serious threats to the financial health of the country. The law aids only the abiding and certainly not its resistants. When after the investigation, a chargesheet is submitted in the court, or in....... + More

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• 2025 (4) TMI 639
  Challenge to order from the National Company Law Tribunal (NCLT), Bengaluru, which directed the Central Government to investigate the affairs of the appellant company and its directors - Violation of principels of natural justice - HELD THAT:- This Appellate Tribunal is of the view, adherence to that the principles of natural justice is an aspect, which has to be evaluated on differing yard sticks depending upon the facts and circumstances of each case. The term notice under legal connotation means imparting the knowledge to the party, of an proceedings being taken up before a court of law. In the instant case, the knowledge is attributable t....... + More

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• 2025 (4) TMI 638
  Power to grant an interim protection to the opposite parties i.e., the Respondents - directing the proceedings of the tentative Annual General Meeting (AGM), which was scheduled to be held as on 27.09.2024, has been directed to be kept on hold - whether an order which does not have a long-drawn bearing on the rights of either side of the parties or which does not have any bearing on the principal adjudication of the petition and which is an interlocutory arrangement made by the Ld. Tribunal or the courts while exercising their inherent powers, could, at all be treated as to be an order, which could be made appealable to the appellate jurisdic....... + More

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• 2025 (4) TMI 524
  Exercise of jurisdiction under Section 482 of Cr.P.C. - amounts collected by the petitioners as advances for the sale of immovable property - deposits under Section 73 of the Companies Act, 2013 - exemption under Rule 2 (1) (c) (xii) (b) of the Companies (Acceptance of Deposit) Rules, 2014. HELD THAT:- Section 482 of the Code of Criminal Procedure empowers the High Court to exercise its inherent power to prevent abuse of the process of Court. In proceedings instituted on complaint exercise of the inherent power to quash the proceedings is called for only in cases where the complaint does not disclose any offence or is frivolous, vexatious or ....... + More

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• 2025 (4) TMI 523
  Seeking recall of the order passed by the NCLT, which application has been rejected - locus standi of appellant, who was not a party to the original proceedings, to file an application seeking the recall of an order - Sections 241 242 of Companies Act - HELD THAT:- Section 44 of the Evidence Act, 1872 provides that any party to a suit or other proceeding may show that any judgment, order or decree which is relevant under Sections 40, 41 42 and which has been proved by the adverse party was delivered by a Court, not competent to deliver it or was obtained by a fraud of the collusion. The purpose of the above provision is to give right to other....... + More

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• 2025 (4) TMI 522
  Reduction of capital under Section 66 of the Companies Act, 2013 - shares got extinguished after passing special resolution by the Respondent No. 1 - selective capital reduction in terms of Section 66(1)(b)(ii) of the Code - Appellants minority shareholders could have been compelled to be ousted from the equity holding by passing resolution by majority of shareholders despite unwillingness of the minority shareholders - valuation of shares -valuation done by E Y Merchant banking division was really Independent or was biased - applicability of SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009 - 25% Discount for Liquidity of....... + More

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• 2025 (4) TMI 115
  Prayer for declaration that the sale agreement is not binding upon the office of the official liquidator - validity of sale agreement - exercise of power under Section 536 (2) of the Companies Act, 1956, to dispose of the present proceedings - obligation to pay stamp duty and registration charges - HELD THAT:- The obligation for payment of stamp duty and registration charges was clearly on the applicant, who was described as transferee in the said sale agreement dated 29th May 2017. It is an admitted position that neither was the entire stamp duty ever paid nor was the document registered and hence, the charges for registration were also neve....... + More

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• 2025 (4) TMI 18
  Money Laundering - non disclosure of transaction in the Specified Bank Notes during the period 8th November 2016 to 30th December 2016 - contravention of section 129 along with section 448 of the Companies Act 2013 - HELD THAT:- Section129 of the Companies Act 2013 deals with, obligation of the company for laying down the Financial Statement to be furnished by the company which shall give a true and fair view of the State of affairs of the company or companies as per section 133 and as the necessary forms to be filled up per schedule III . In case of contravention by the company as per section 129 (7) the Managing Director, the whole time dir....... + More

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• 2025 (3) TMI 1356
  Validity of revival of struck off company - Interpretation of statute - second proviso of Section 252 of Companies Act, 2013 - Striking off the name of a company from the register of companies - HELD THAT:- The plain reading of second proviso to Section 252, shows that where the Registrar of Companies feels that the name of the company has been struck off from the Register of Companies either inadvertently or on the basis of incorrect information furnished (as has been stated to be the case by the Respondents in the present Petition), the Registrar of Companies may within a period of three years from the date of passing of the order dissolvin....... + More

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• 2025 (3) TMI 1257
  Seeking restoration of the name of the appellant in the Register of the Companies - Section 252(3) of the Companies Act, 2013 - HELD THAT:- The appellant is right in the sense that in view of the findings recorded by the NCLT on the review petition, the time consumed in prosecuting the review petition ought to have been excluded. However, there is a delay on the part of the appellant at every stage. The application for restoration of the appellant s name in the Register of the Companies was filed after a lapse of four months from the date on which it was struck out. The review petition was filed five months after the NCLT dismissed the applic....... + More

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• 2025 (3) TMI 914
  Power of Bombay High Court to intervene u/s 9 of the Arbitration and Conciliation Act, 1996, to protect the interests of the Petitioner, Manmohan, particularly concerning the Greater Kailash Property, which is not owned by Kapani Resorts but was released using Manmohan s funds - shares were not allotted to Manmohan as per the Agreement - parties are indeed privy to an arbitration agreement contained in the Agreement - HELD THAT:- Even a plain reading of the foregoing would show that it is now a statutory obligation of Kapani Resorts to refund the monies invested by Manmohan. The allotment of shares ought to have been made within sixty days of....... + More

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• 2025 (3) TMI 785
  Validity of Foreign Arbitral Award - Enforcement of the Award would be violative of the provisions of FEMA or not - remittance of Euro 5.5 million by Minda Corporation Limited to Mercedes Benz AG pursuant to the consent award passed in the arbitration proceedings - overlap between the settlement with the Liquidator of Minda Germany and Consent Award with Minda India - benefit of double dip by virtue of the payments agreed by Minda India under the settlement - Whether the enforcement of the Award would be contrary to the public policy of India, as per Section 48(2)(b) of the A C Act? HELD THAT:- Considering in the instant case, the issue of vi....... + More

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• 2025 (3) TMI 692
  Seeking direction from this Court to the official liquidator to handover vacant and peaceful possession of the said premises, which were taken on monthly tenancy basis by the company in liquidation - HELD THAT:- The instant application has been filed under Section 446 of the Companies Act. The said provision indeed provides wide powers to the Company Court to pass appropriate orders. The Court has jurisdiction to even entertain and dispose of any suit or proceeding by or against the company, as also any claim made by or against the company in liquidation. In the case of Patel Engineering Co. Ltd. v/s. Official Liquidator [ 2004 (2) TMI 383 - ....... + More

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Case Laws - IBC

• 2025 (4) TMI 1546
  Classification of appellant as an Unsecured Financial Creditor instead of a Secured Financial Creditor by the Liquidator and the Adjudicating Authority - absence of non-registration of charge in the register of the Registrar of Companies (ROC) - breach of statutory obligation under Section 77 of the Companies Act, 2013 besides violating contractual commitments - HELD THAT:- An investment was made by BEST-Appellant in the Corporate Debtor by way of an interest free deposit amounting to Rs.30 crores. The compensation for delay on account of non-commissioning of the project was provided for in the IA in terms of the charging of the units and the....... + More

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• 2025 (4) TMI 1545
  Initiation of SARFAESI proceedings was sufficient basis to hold that the Section 94 application has been resorted to by the Appellant for putting a spanner in the recovery proceedings initiated by the Respondent No.1 or not - violation of principles of natural justice - HELD THAT:- It is an admitted fact that the Corporate Debtor had failed to discharge their repayment obligations and their account was classified as a NPA way back in 30.06.2011. The Appellant as personal guarantor had also duly acknowledged the outstanding debt as early as on 13.08.2012 and had made part payment towards the loan in 2018. The debt liability is also acknowledge....... + More

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• 2025 (4) TMI 1412
  Admission of section 7 application - initiation of CIRP against Corporate Debtor - existence of debt and default by the Corporate Debtor or not - HELD THAT:- The Adjudicating Authority in the impugned order has recorded a categorical finding of existence of debt and default . The Adjudicating Authority also noted in its order that settlement proposal submitted by the CD was rejected by the Financial Creditors - The proceedings in this Appeal also indicate that there has been acknowledgment and acceptance of debt and default and the amount deposited before this Tribunal by the Appellant is also towards the acknowledgment and acceptance of debt....... + More

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• 2025 (4) TMI 1411
  Onerous contract under Regulation 10 of the Insolvency and Bankruptcy Board of India (Liquidation Process) Regulations, 2016 (Liquidation Regulations) - Leave and License Agreement - divergence of the opinion between the parties holding the transaction as onerous under Regulation 10 of the Liquidation Regulations, 2016 - Regulation 10 of the Liquidation Regulations, 2016 is beyond the provisions of the IBC and ultra vires to IBC or not. Divergence of opinion between the two judgements delivered by the Hon ble Technical Member and Judicial Member - HELD THAT:- udicial Member after considering the submissions of the parties and noticing all rel....... + More

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• 2025 (4) TMI 1410
  Admission of Section 7 application filed by the IDBI Trusteeship Services Limited - existence of financial debt and default are sufficient to initiate the CIRP or not - requirement of Adjudicating authority to apply his mind - HELD THAT:- The facts indicate that for last more than five years, no payment towards interest or principal has been made. It was principal borrower who has issued debentures and the liability to pay the principal and interest cannot be washed of on the ground that project accounts were to be operated by IDBI Trusteeship Services Ltd. Reliance placed on the judgement of this Tribunal in Sandeep Jain Vs. IDBI Trusteeship....... + More

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• 2025 (4) TMI 1409
  Withdrawal of amount from the Corporate Debtor s bank account during the moratorium period under Section 14 of the Insolvency and Bankruptcy Code, 2016 (IBC) - continuing non-cooperation of the Appellants as well as the brazen disobedience of the Appellants - only plea that has been taken by the Appellants to rebut the allegation of abject non-cooperation is illness of the Appellants - HELD THAT:- The Appellant is hit very hard by res judicata with respect to raising the appeal to deposit of Rs.32,00,000. The matter has been well settled by the Adjudicating Authority and there are no infirmity in the order. CA 1253/2020 was preferred during t....... + More

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• 2025 (4) TMI 1408
  Validity of allotments of residential units made by the Corporate Debtor on the date of commencement of the Corporate Insolvency Resolution Process - authority of Interim Resolution Professional (IRP) to cancel such allotments made on the date of CIRP commencement without issuing any show-cause notice or adjudicatory proceedings - HELD THAT:- The present is a case where IRP who was running the CD as a going concern under orders of this Tribunal, while going through the records of the CD, came to know about the units allotted to the Appellant(s). The RP found that allotments were claimed on 19.09.2019, on which date CIRP had already commenced ....... + More

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• 2025 (4) TMI 1407
  Rejection of Section 7 application - prohibition on deduction of liquidated damages from the final invoices of the Corporate Debtor, in view of approved resolution plan - HELD THAT:- The reliance on the approved Resolution Plan regarding extinguishment of the claim has no effect on the liquidated damages which were already deducted by Hindustan Petroleum Corporation Limited from the invoices as per the terms and conditions of the Purchase Order. When the Resolution Professional was allowed to carry on the contract work after initiation of the CIRP, the said contract has to be carried out as per the terms and conditions and deduction of the li....... + More

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• 2025 (4) TMI 1406
  Transfer of flats - transfer declared as void and subject to charge - fraudulent transaction under Section 66 of the Insolvency and Bankruptcy Code (IBC), 2016 or not - HELD THAT:- The judgment, which has been relied by learned Counsel for the Respondent in Royal India Corporation Ltd. [ 2024 (5) TMI 999 - NATIONAL COMPANY LAW APPELLATE TRIBUNAL, NEW DELHI ] of this Tribunal supports the submission of Respondent that action under Section 66, sub-section (1) can be taken against any person. The judgment of this Tribunal in Tridhaatu Kirti Developers LLPi [ 2023 (1) TMI 455 - NATIONAL COMPANY LAW APPELLATE TRIBUNAL, PRINCIPAL BENCH, NEW DELHI ]....... + More

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• 2025 (4) TMI 1405
  Admission of Section 7 of the Insolvency and Bankruptcy Code, 2016 (IBC) - application was barred by limitation or not - default date and the date of filing - Petition lacked threshold support or not - fraudulent claims and material suppression. Whether the appeal is time barred or not? - HELD THAT:- The limitation period under the Limitation Act, 1963, is governed by Section 22, which provides that in the case of a continuing breach, limitation runs afresh with each successive instance of default. The Corporate Debtor s failure to hand over possession of the flats and its continuing default in refunding amounts to the allottees constitute a ....... + More

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• 2025 (4) TMI 1404
  Dismissal of Section 9 Application filed before the Adjudicating Authority - initiation of CIRP - Existence of debt and default or not - quality of goods or services - breach of a representation or warranty - HELD THAT:- Upon perusal of the Purchase Orders, which form basis of the current Company Petition, annexed as ANNEXURE V-1 to V-8 , we find that all the said Purchase Orders have been signed by Mrs. Ashwini Ghodi or Mr. Gaurang Ghodi, and not a single Purchase Order bears the signature of the Intervener, Mrs. Sheetal Dahanukar. Further it is claimed by the Intervener that all the said purchase orders are post April 2021, which is after t....... + More

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• 2025 (4) TMI 1403
  Invocation of the personal guarantee by issuance of the demand notice - notice was sent to an address different from that specified in the guarantee deed - application filed under Section 95 of the Insolvency and Bankruptcy Code, 2016 (the Code) for initiating insolvency resolution process against the personal guarantor was barred by limitation or not. Notice was sent to an address different from that specified in the guarantee deed - HELD THAT:- The argument of the Appellant that it has been clearly provided in the guarantee deed that it has to be sent on the address provided in the guarantee deed and can also be sent to a different address ....... + More

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• 2025 (4) TMI 1402
  Seeking direction for payment of operational debts - Power of Committee of Creditors (CoC) was empowered under the Process Memorandum to invoke the Performance Bank Guarantee (PBG) - clear violation of letter of intent and process memorandum by Formation. Whether under the Process Memorandum (March 2018) issued by RP, the action of CoC to invoke PBG on 10.12.2018 was not covered by any of Clauses of Process Memorandum and invocation of PBG was unsustainable? - HELD THAT:- In the facts of the present case, when Resolution Plan was submitted by the SRA, which was considered and approved and the approved Resolution Plan is statutory binding on t....... + More

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• 2025 (4) TMI 1401
  Direction for replacement of the Resolution Professional (RP) prior to completion of the land survey and without deciding the pending application for replacement - HELD THAT:- The adjudicating authority itself has directed for land survey in paragraph 40 as noted above. Affidavit was also filed by the suspended director which has been noticed in the order of the adjudicating authority. In view of the facts of the case, adjudicating authority has rightly directed for land survey and in effect no grievance has been raised to the land survey by the RP or the CoC in the present case. Conclusion - The ends of justice be served by directing the adj....... + More

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• 2025 (4) TMI 1400
  Admission of Section 9 application - threshold limit of operational debt claimed by the Operational Creditor qua the Corporate Debtor in the present facts of the case has been met or otherwise - HELD THAT:- The Appellant is agreed upon that the entire payments made by them to the Operational Creditor has been suppressed by the Operational Creditor. Prima-facie, it is persuaded to infer that the Ledger Account of the Corporate Debtor as maintained by the Operational Creditor is not an updated Ledger Account and did not depict the true and correct status of payments received by them from the Corporate Debtor. If the payment of Rs 11 lakhs claim....... + More

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• 2025 (4) TMI 1399
  Admission of claim filed by the Applicant - Claim of Worker (ex-employee) - Layoff having not challenged by the Appellant - collation of claim and calculation of the salary payment till date of layoff - HELD THAT:- In the present case, the Resolution Professional has calculated the salary till the layoff period and accordingly, admitted the claim to the tune of Rs.185,62,360/-, which has been reaffirmed by the Resolution Professional. Non-computation of salary after lay off by the Resolution Professional cannot be faulted with since the Resolution Professional has no adjudicatory jurisdiction and the Adjudicating Authority has rightly observe....... + More

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• 2025 (4) TMI 1292
  Challenge to order admitting Section 95 application filed by the State Bank of India against the Personal Guarantor - Submission is that since the Resolution Plan has changed the quantum of debt, the proceedings under Section 95 ought not to have proceeded with - HELD THAT:- There can be no dispute that Resolution Plan is binding on all including the Financial Creditor. Clause 1.8 F as has been relied by the Counsel for the Appellant only provide that the financial creditors shall have the right to recover any unrecovered financial debt owed by the company to them by recourse to the personal guarantees. Thus, in event under the Resolution Pla....... + More

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• 2025 (4) TMI 1246
  Maintainability of objection to execution of the arbitral award referrable to Section 47 of the Civil Procedure Code, 1908 (CPC) - arbitral award was a nullity and hence non-executable? - Facilitation Council lost its jurisdiction to proceed and pronounce the arbitral award in view of the insolvency resolution plan of the petitioner which was duly approved under Section 31 of the IBC. HELD THAT:- As an independent arbitration agreement existed between the parties, Facilitation Council should not proceed under Section 18(3) of the MSME Act. Already arbitration process was going on as per the arbitration agreement. Facilitation Council in its p....... + More

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• 2025 (4) TMI 1196
  Admission of Section 7 application filed by the Central Bank of India against the Corporate Debtor - application barred by time limitation - whether between 28.01.2014 where corporate debtor has acknowledged and 22.11.2018 which is also another OTS submitted by corporate debtor, there are any material to indicate that there is any acknowledgment within three years from the first acknowledgment? - HELD THAT:- Acknowledgment has to be treated on 28.01.2014 as well as 07.05.2014 and we have to find out whether after 07.05.2014 within three years there are any other acknowledgment because the acknowledgment dated 22.11.2018 is beyond period of th....... + More

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• 2025 (4) TMI 1195
  Admission of claims for the reimbursement of the property tax paid, based on an unregistered agreement for sale relating to immovable commercial property - HELD THAT:- The claim for the reimbursement of the property tax paid by the Appellant (claim No. 2) for the alleged temporary office accommodation said to have been provided by the Corporate Debtor for the office purpose of the Appellant, no right would accrue in favor of the Appellant, for the reason being that if the unregistered agreement for sale, which has been placed on record and relied by the Ld. Counsel for the Appellant, before this Appellate Tribunal, as well as before the Ld. A....... + More

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Case Laws - PMLA

• 2025 (4) TMI 1602
  Money Laundering - proceeds of crime - reasons to believe - arrest of the petitioner complied with the mandatory provisions of Section 19(1) of the Prevention of Money Laundering Act, 2002 (PMLA) or not - twin conditions under Section 45 of the PMLA have been fulfilled to justify bail or not - HELD THAT:- The Hon ble Apex Court in the said judgment has further laid down that the twin conditions as to fulfil the requirement of Section 45 of the Act, 2002 before granting the benefit of bail is to be adhered to which has been dealt with by the Hon ble Apex Court in Vijay Madanlal Choudhary and Ors. Vs. Union of India and Ors.[ 2022 (7) TMI 1316 ....... + More

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• 2025 (4) TMI 1601
  Money Laundering - scheduled/predicate offence - reasons to believe - legality of search and seizure proceedings conducted under Section 17 of Prevention of Money Laundering Act, 2002 - Whether the preconditions set out in Section 17 has been complied with or not? - HELD THAT:- This Court finds it unfortunate that women officers and employees are used as shields to prevent investigations from proceeding. Courts have time and again stressed on gender equality in public service. Women are far more empowered and are more proactive nowadays especially in public service. We see women progressing across different fields. It is the duty of public of....... + More

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• 2025 (4) TMI 1542
  Money Laundering - challenge to impugned notice issued under Section 8 (4) of PMLA and Rule 5 (2) of the Rules - such a notice can be issued prior to a formal order of confiscation by the Special Court under Section 8(6) of the PMLA or not - HELD THAT:- A meaningful reading of the notice in the light of section 8 (4) of the PMLA and Rule 5 (2) of the Rules would reveal that the order dated August 22, 2022 passed by the Adjudicating Authority (whereby the Provisional Attachment Order was confirmed) forms the foundation of the impugned eviction notice. The said notice is in effect a statutory consequence of the order dated August 22, 2022 passe....... + More

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• 2025 (4) TMI 1398
  Challenge to direction issued by the Directorate of Enforcement (ED) to the HDFC Bank, by invoking sub-section (4) of Section 8 of the Prevention of Money-Laundering Act, 2002 - provisional attachment of the properties - power of Directorate of Enforcement (ED) to direct a bank to transfer the amounts held in Fixed Deposits (FDs) along with accrued interest - HELD THAT:- Since the fixed FDRs, which is a movable property and the power has been exercised by the Deputy Director, an Officer subordinate to the Director of Enforcement, who is bound by the procedure that is specifically set out in Chapter III of the PMLA in relation to the attachmen....... + More

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• 2025 (4) TMI 1342
  Money Laundering - seeking an extension of the interim Bail for a period of 60 days on the humanitarian grounds - it is held by High Court that two-week extension of interim bail was justified on humanitarian grounds, subject to existing bail conditions. HELD THAT:- It is not inclined to interfere with the impugned judgment and order. The Special Leave Petition is, accordingly, dismissed.

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• 2025 (4) TMI 1193
  Money laundering - predicate offence - possession of proceeds of crime - attachment of shares - HELD THAT:- The description of the litigation taken by the appellant has been given with operative paras as otherwise the appellant has also summarized certain parts of the order in the written argument but it is only after extracting small part of the para suitable to the appellant leaving other parts and it is without referring to the operative part of the orders. The earlier litigation resulted in the order based on facts available then and otherwise the involvement of appellants in commission of crime was revealed even in further investigation ....... + More

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• 2025 (4) TMI 889
  Money Laundering - scheduled offence - Challenge to arrest order under PMLA - territorial jurisdiction of Himachal Pradesh High Court to entertain the writ petition - reasonable grounds for arrest or not - HELD THAT:- A perusal of the complaint (Annexure P-62) would go on to show that allegations as such in the complaint are against the petitioner and various other accused, who are residents of Uttar Pradesh, including one Deepak Chaudhary, who is partner in Star Mines, one of partnership firm, apart from other accused like Bhanu Karnwal and Ravinder Kumar Malik. The allegations as such mentioned about the fact that Rs.1.60 crores was paid in....... + More

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• 2025 (4) TMI 696
  Seeking grant of bail - Money Laundering - predicate offence - proceeds of crime - offence under Sections 420, 467, 471, and 120B of the Indian Penal Code, 1860, and Sections 7 and 12 of the Prevention of Corruption Act, 1988 - HELD THAT:- As far as the prosecution under the Prevention of Money Laundering Act, 2002 (PMLA), the appellant has undergone incarceration for a period of 9 months. The case of the prosecution appears to be that the proceeds of crime were transferred in the accounts of private limited company with which the appellant is associated and thereafter, there were further transfers at his instance. There are 44 witnesses cite....... + More

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• 2025 (4) TMI 695
  Money Laundering - duration for which the order of attachment, retention, or freezing of property, passed by the Adjudicating Authority under sub-Section (3) of Section 8 of the Prevention of Money Laundering Act, 2002 (PMLA) - period for which the order of attachment or retention or freezing passed by the Adjudicating Authority under sub-Section (3) of Section 8 will continue to operate - HELD THAT:- There is no dispute that the complaint is based on ECIR dated 17th March, 2017 in which the respondent was shown as one of the accused. Moreover, clause (a) will apply during the continuation of the proceedings relating to an offence under the P....... + More

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• 2025 (4) TMI 694
  Money Laundering - Judicial interpretation and consideration - whether it is obligatory for the arresting officer / agency to produce the arrested person before the nearest Magistrate within 24 hours of his arrest or the term nearest Magistrate extends to jurisdictional Magistrate in relation to production of the accused within 24 hours of his arrest? - HELD THAT:- Before search and seizure, the authorised officer shall have the reasons to believe about the existence of clauses (i) to (iv) of Section 17(1) of the PMLA. Subsequent search and recovery of tainted money, records or documents emboldens the authorized officer to arrest the offender....... + More

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• 2025 (4) TMI 693
  Money Laundering - predicate offence - provisional attachment order - conspiracy between the accused and officials of NSE which resulted in undue gain to the appellant Company and undue loss to the NSE - whether an offence under section 420 IPC is made out or not? - HELD THAT:- In the instant case, the work assigned to the appellant was not constitutionally permissible because it effected privacy of the employees guaranteed under Article 21 of the Constitution of India. Huge amount of 4.54 crore was yet paid with dishonest intention to the benefit of the appellant Company and with wrongful loss to the NSE. Despite specific allegation to this ....... + More

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• 2025 (4) TMI 692
  Money Laundering - attachment of properties despite the moratorium imposed under Section 14 of the Insolvency and Bankruptcy Code, 2016 (IBC) - offence under Section 120-B read with Section 420 of IPC and Section 13(2) read with Section 13(1)(d) of Prevention of Corruption Act, 1988 - precedence of provisions of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) over the PMLA - HELD THAT:- Section 14 of IBC 2016 does not bar attachment of the property under the Act of 2002. It is not required to go deep on the issue because it has been settled by the Delhi High Court in the ....... + More

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• 2025 (4) TMI 668
  Money Laundering - proceeds of crime - illegal allotment of tender for supply, installation, testing and commissioning of electromagnetic flow meters and corresponding operations - admissibility of the Section 50 of PMLA - availability of benefit from the proviso to Section 45(1) of the PMLA - Whether the Petitioners are entitled to be released on the ground of delay in trial? - HELD THAT:- It is now a well-settled position in law that the right to personal liberty under Article 21 of the Constitution is not fettered by the rigours of Section 45 of the PMLA. Consequently, where a prolonged delay in trial infringes upon this fundamental right,....... + More

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• 2025 (4) TMI 633
  Money Laundering - Provisional Attachment Order of properties - proceeds of crime - scheduled offence - violation of Environment Protection Act, 1986 - Illegal construction of pipelines for wate disposal and joining to the main GIDC pipeline and without following the said measures, releasing the hazardous waste in Unn and Gabheni Creeks, in contravention of Section 25(1)(A) Water (Prevention and Control of Pollution) Act, 1974 - HELD THAT:- As is seen from the facts narrated in the impugned order, the loan against which the subject property was offered as collateral security had already been substantially repaid and was in the process of bein....... + More

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• 2025 (4) TMI 573
  Seeking grant of Regulat Bail - Money Laundering - illegal extortion on Coal Transportation - twin conditions of Section 45 of the Prevention of Money Laundering Act, 2002 (PMLA) satisfied or not - HELD THAT:- This Court has already rejected the bail application of other co-accused persons who are also senior Government Officers. This Court while rejecting their bail application has recorded prima facie involvement of the Government servants, therefore, considering the prima facie involvement of the applicant as also the role played by the applicant, the present bail application deserves to be rejected. Even otherwise, the law has been well s....... + More

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• 2025 (4) TMI 572
  Money Laundering - challenge to seizure and freezing order - generation of proceeds of crime by cheating and defrauding Indian user of Garena Free Fire by M/s Garena International with the help of M/s Coda Payments India Private Limited. - reasons to believe - HELD THAT:- Due to lack of transparency, the people were not knowing that appellant s company was an entity behind the unauthorized deductions from their accounts and hence the appellant s name may not appear in all the FIRs, but the Company has collected the money. An amount of Rs.2850 crore was collected and out of it Rs.2320 crore was transmitted out of India. The appellant company w....... + More

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• 2025 (4) TMI 511
  Money Laundering - dismissal of LR petition, and the appeal on the ground of delay in filing the LR petition - absence of any specific limitation prescribed under Section 72 of PMLA - applicability of provisions of CPC to Section 35 of the PMLA - proper opportunity not provided to the appellant to defend her case - violation of principles of natural justice - HELD THAT:- The Order 22 of C.P.C., deals with death, marriage and insolvency of parties and Order 22, Rule 2 contemplates the procedure where one of the several plaintiffs or defendants dies and right to sue survives. The said provisions which are the basis for the orders under challeng....... + More

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• 2025 (4) TMI 454
  Money Laundering - seeking an extension of the interim Bail for a period of 60 days on the humanitarian grounds - HELD THAT:- In the prevailing circumstances and on humanitarian grounds coupled with the fact that the Petitioner would be required to carry out post-cremation rituals and to support his Mother emotionally and financially, the interim Bail granted to the Petitioner is hereby extended for a further period of 2 weeks from today, as it is stated that the interim Bail granted by this Court vide Order dated 28.03.2025 is set to expire today i.e. 08.04.2025, subject to the same conditions as imposed by this Court vide Order dated 28.03.2025. The interim Bail Application is disposed of.

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• 2025 (4) TMI 453
  Money Laundering - confirmation of provisional attachment order - siphoning off of huge amount from the bank by opening fake staff over draft account in Maliga on branch of ICBL - no predicate offence - property attached by the respondents were acquired before the commission of offence - proceeds of crime or not - Failure to pass confirmation order within a period of 180 days from the date of provisional attachment of the properties - Predicate offence was existing not only at the time of recording of the ECIR - HELD THAT:- The facts on record show that another FIR number 10/22 was registered on 29.06.2022 by the Bureau of Investigation Econo....... + More

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• 2025 (4) TMI 375
  Seeking grant of regular bail - Money Laundering - involvement in fraudulent sale/purchase of land - predicate offence or not - whether the parameter as fixed under Section 451(i)(ii) of the PML Act 2002 is being fulfilled in order to reach to the conclusion that it is a fit case where regular bail is to be granted or not? - HELD THAT:- It is evident from the prosecution complaint that on 16.04.2024, searches were conducted at the residential premises of the present applicant and from scrutiny of the said documents and diaries revealed cash transactions with respect to several landed properties which are nonsaleable properties. During investi....... + More

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Case Laws - SEBI

• 2025 (4) TMI 460
  Offence under SEBI - misleading advertisements issued by VCL with regard to buyback of its shares, issue of bonus shares and preferential issue of shares within 30 days - SEBI s actions in reopening the case and issuing fresh orders after a final order had already been passed - HELD THAT:- It is not open to SEBI to claim that it could pass multiple final orders on the same cause of action. Having undertaken the exercise pursuant to its show-cause notices issued in 2012, SEBI passed the order dated 31.07.2014, in exercise of power under Section 11B of the Act of 1992, with certain directions which attained finality and were given full effect t....... + More

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• 2025 (3) TMI 1404
  Setting aside of the cancellation of sale of landed properties in pursuance of e-auction initiated by SEBI upon acceptance of the remaining consideration money and/or appropriate writ for refund of earnest money was dismissed HELD THAT:- Proceeding whereby e-auction of the properties, confirmation and cancellation of the auction sale was taken in accordance with relevant provisions of the Rules contained in the Second Schedule of Income Tax Act with necessary modifications. Rule 58 of the Second Schedule of Income Tax Act and the provision contained in Order XXI Rule 86 of the Civil Procedure Code has extended a discretion upon the tax recove....... + More

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• 2025 (3) TMI 1256
  Penalty u/s 15A(c) - Failure to sign and date the research reports and to maintain records of research recommendations and rationale for arriving at research recommendations - HELD THAT:- To define as a proper research report or a research recommendation the document ought to have been duly signed and dated. The allegation by the appellant that at the time of inspection, the inspecting team refused to see the rationale is unsubstantiated and vague. On the other hand, the evidence on record being the core finding on inspection clearly shows that the appellant s claim is untenable and the appellant s reliance only on pre-inspection questionnair....... + More

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• 2025 (3) TMI 1145
  Penalty u/s 15HB of the SEBI Act - delay in commencing the adjudication proceedings against the appellant - HELD THAT:- A common SCN was issued on September 28, 2021. Since all these complaints are with regard to investment advices given by the appellant, we do not find any error in issuing a common show cause notice, which reduces multiplicity of proceedings. It is settled that where no limitation is prescribed, proceedings have to initiated in a reasonable period. Further, as rightly urged by Mr. Sancheti, appellants have failed to demonstrate any prejudice caused due to the delay. Considering the avowed object of IA Regulations, we find no....... + More

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• 2025 (3) TMI 1072
  Operating schemes/plans in the nature of Collective Investment Scheme ( CIS ) without obtaining prior registration from SEBI - attachment orders - existence of an alternate statutory remedy under the SEBI Act - HELD THAT:- In the opinion of the Court, all the grounds urged in the present petition can be urged before the Appellate Authority under the SEBI Act. Thus, in view of the of the fact that an alternate statutory remedy is available to Petitioner, the Court is not inclined to entertain the present writ petition under Article 226 of the Constitution. At this juncture, it is noted that there is a limitation period to challenge the impugne....... + More

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• 2025 (3) TMI 1071
  Cancellation of IPO - misstatement in the prospectus regarding the procurement of software from a vendor with questionable credentials - Refund the subscription amounts to the successful investors and to cancel shares allotted to them pursuant to the Initial Public Offer (IPO) of the company - HELD THAT:- In our considered view, safeguarding the interests of the public shareholders particularly the retailers, is of paramount importance for all stakeholders of the capital market in a large country like India with significant asymmetry in capital and financial literacy. In view of this, adequacy and correctness of disclosure in Public Offers ca....... + More

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• 2025 (3) TMI 854
  Service of the order upon the counsel of the appellant - Tribunal had refused to condone the delay of 188 days in filing the appeal for the reason that the impugned order i.e. the order passed by the learned Adjudicating Authority had been duly served upon the appellant through his counsel, on his email - whether the service upon the counsel can be said to be a valid service in the eyes of law or not? HELD THAT:- Assuming for a moment that the present writ is maintainable, this Court is fully cognizant of the limited scope of appreciation in a writ of present nature. While entertaining any such writ, this Court cannot sit as an Appellate Cour....... + More

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• 2025 (3) TMI 340
  Funds withheld by the Bombay Stock Exchange (BSE) due to an alleged fraudulent transaction involving shares - actual ownership of the Shares/amount - whether Petitioner was involved in the alleged fraud? HELD THAT:- Petitioner had genuinely put its Shares in market for sale through Respondent No. 2. The alleged fraud has been played at the end of Respondent No. 2, by one Amit Jain from Royal International Shares Pvt. Ltd. and allegedly with some involvement of Ashish Aggarwal Jain, who is an employee of the Respondent No. 2 Company. There may have been a fraudulent call received by Respondent No. 2 placing an Order for purchase of the Shares ....... + More

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• 2025 (3) TMI 274
  Insider trading - use of Unpublished Price Sensitive Information - connected persons - restraining the appellants from dealing in the securities market and directing to disgorge an amount and to pay penalties mentioned in the order. Whether the noticees are insiders in terms of Regulation 2(1)(g) of the PIT Regulations, being connected persons ? - HELD THAT:- Undisputedly, the appellant No. 1 was in close association with KMP of Biocon and Mr. Arun Chandawarkar, CEO and joint MD of Biocon and CFO of Biocon Mr. Sidharth Mittal both were directly involved in the negotiations on the Biocon-Sandoz deal as also in CIMAB licensing deal. Appellant N....... + More

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• 2025 (3) TMI 204
  Public offer date - Determination of date on which a public announcement of an open offer, in terms of clause (1) to Regulation 20, has been made - It is the case of the appellants that the date on which the public announcement was made would be 18.01.2025 - case of the private respondents that the public offer date must be taken as 03.10.2023 and, therefore, the application filed by the appellants is belated and beyond time. HELD THAT:- Clause (9) of Regulation 20 states that, upon the public announcement of a competing offer, an acquirer who had made the preceding offer shall be entitled to revise the terms of his open offer provided the re....... + More

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• 2025 (2) TMI 750
  Allegations of violations by a SEBI registered stockbroker - violations have been alleged by the SEBI against the noticees for Misuse of clients funds, Funding the clients beyond T+2+5 days and Not issuing the contract notes. HELD THAT:- As recorded in the impugned order that during the inspection, it was noted that funds of credit balance clients were being utilized for settlement obligation of debit balance clients. In all 41 instances were checked and in 31 instances misutilization was observed ranging between Rs. 88,000 to Rs. 2.48 crores. Some of the instances have been tabulated and reproduced in paragraph No.21 of the impugned order. I....... + More

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• 2025 (2) TMI 524
  Steps to be taken for listing the shares on the nationwide stock exchange - de-recognition of MSE - whether the Company has to be granted a reasonable extension to get itself listed with the 5th respondent? - HELD THAT:- It is trite, even in cases governed by statutes where specified periods are fixed, the courts should adopt a liberal and pragmatic approach in considering requests for extension of time or to condone the delay, rather than a hyper-technical or pedantic approach. The underlying principle of the various circulars issued by SEBI to the ELCs, is to get listed on a nationwide stock exchange or provide an exit option to the shareho....... + More

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• 2025 (2) TMI 426
  Validity of Circular dated 02.09.2022 advising the trading member to refund the penalty levied on account of short/non-collection of upfront margin to clients, if the same has been passed on to the clients after 11.10.2021 - HELD THAT:- In the present case, it is the selection of the date, that is, 11.10.2021, that is the subject matter of challenge, and I am unable to find any support from the material on record as to the reason or basis for such selection. Apart from the offending date itself, there are other conditions that would have to be satisfied, for the refund of the penalty. A perusal of GRC proceedings dated 31.03.2023 would reveal....... + More

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• 2025 (1) TMI 1454
  SEBI orders against non-executive Chairman and Managing Director Chief Executive Officer - Appellant as the Non-Executive Chairman failed in his duties by not acceding to the requests of Independent Directors for legal advice and not providing necessary documentation regarding the appointment of Mr. Ratnesh - Non acceding to request for legal advice in relation to appointment of Mr. Ratnesh etc. - HELD THAT:- Appellant was appointed as the Non-Executive Chairman of PFC on November 8, 2021. The allegation is, not acceding to the request made by the independent directors for obtaining external legal advice and not providing information about ap....... + More

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• 2025 (1) TMI 1155
  Validity of Circular mandating payout of securities directly to clients demat account by clearing corporations and directed the stock exchanges and clearing corporations to implement the same - Petitioners have challenged the impugned circulars wherein Petitioner is required to obtain and hold a Depository Participant license ( DP Licence ) in order to continue with its business and Each of the Petitioners clients will be required to hold demat accounts in their respective names and the Petitioner is required to provide details of the same to Respondent Nos. 2 to 4. HELD THAT:- Petitioner has not interpreted the impugned circulars correctly. ....... + More

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• 2025 (1) TMI 853
  Compounding of offences - Order passed by Additional Sessions Judge dismissing an application filed by the Petitioner under Section 91 Cr.P.C - Petitioner had filed the said application seeking directions to SEBI to place on record all the statements/findings/documents considered by the High Powered Advisory Committee (hereinafter HPAC ) and the panel of Whole Time Members (WTC) while rejecting the request of the Petitioner herein for compounding the offence alleged in the complaint against the Petitioner herein - HELD THAT:- Regulation 29(1) of the Settlement Regulation provides that these documents cannot be given to public if the same prej....... + More

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• 2025 (1) TMI 17
  Persons/entities traded in the scrip of IAL while in possession of Unpublished Price Sensitive Information ( UPSI ) - higher price rise seen - contravention of provisions of Section 12A of the SEBI Act and PIT Regulations, 2015 - information of a stock split considered as Unpublished Price Sensitive Information (UPSI) or not? - - HELD THAT:- Splitting of stock per se is a Price sensitive information, since splitting of stock is an important decision for a company, (requiring approval of general body of shareholders under Section 61 of the companies Act, 2013), which is intended to improve the liquidity of stock and its affordability, which is....... + More

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• 2025 (1) TMI 16
  Applicability of corporate governance provisions - applicability of Regulation 23 of SEBI (LODR) Regulations Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 to appellant Company - Appellant s solitary contention is that the paid-up share capital is less than Rs.10 crores, thus entitled for exemption from compliance with the corporate governance provisions - HELD THAT:- It is settled that words of a statute are understood in their natural and ordinary sense; and sentences are construed according to their grammatical meaning. It is also settled that if the enacting portion of a Section ....... + More

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• 2024 (12) TMI 1465
  Unlawful gains by fraudulent and manipulative strategy made by Reliance Company - responsibility of noticee no. 2 i.e. the Managing Director - violating Section 12A of the SEBI Act r/w Regulations 3 and 4 of the SEBI PFUTP Regulations - vicarious liability on both criminal and civil liability for contravention of the SEBI Act, Rules and Regulations - Liability against violations committed by the company As decided in RELIANCE INDUSTRIES LIMITED, MR. MUKESH D. AMBANI, NAVI MUMBAI SEZ PVT. LTD., MUMBAI SEZ LTD. VERSUS SECURITIES AND EXCHANGE BOARD OF INDIA, [ 2023 (12) TMI 260 - SECURITIES APPELLATE TRIBUNAL MUMBAI] the word complicit means inv....... + More

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• 2024 (12) TMI 1464
  Interest levied by the SEBI on the appellant - SEBI discretion to decide interest charged on outstanding registration fees - expert committee was constituted under Shri R. S. Bhatt (Bhatt Committee) recommended turnover as a fair basis of determination of the registration fee and recommended differential rates of fee for different types of transactions. HELD THAT:- It cannot be held that this Tribunal had given any discretion to the SEBI for calculating interest deviating from the existing Regulations, which provides for mandatory charging of interest Respondent is right in his submission that in the given set of facts of this case, the word ....... + More

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Case Laws - FEMA

• 2025 (4) TMI 1603
  Hawala transaction - note book was recovered during the course of search containing the details of the business of hawala on day-to-day basis - scope of retracted statement - HELD THAT:- A note book was recovered during the course of search. It was containing the details of the business of hawala on day-to-day basis. It was then explained for the short figure mentioned therein. That was not the loose sheet but note book which otherwise said to be containing business account of the appellant, therefore the respondent rightly relied on the note-book containing the details of the accounts showing hawala transaction. The details mentioned therein....... + More

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• 2025 (4) TMI 1544
  Tribunal exercising its discretion by reducing the pre-deposit of penalty only to 20% - Tribunal has exercised its discretion in the context of second proviso to Section 19(1) of the Act or not? - HELD THAT:- Once the legislature fixes the discretion to any authority, it is to the satisfaction of that authority it should exercise such discretion. Moreover, the words used in the second proviso to Section 19(1) also states that the appellate Tribunal is of the opinion . It means, if the Tribunal forms an opinion that some discretion has to be exercised in a particular case, then only such a discretion has to be used. Therefore, with regard the ....... + More

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• 2025 (4) TMI 1543
  Applicability of provisions of FERA to the appellant, who is not a citizen of India u/s 1(3) of the Act - HELD THAT:- The bare reading of sub clause (III) covers the person other than citizen of India who come and stay in India for taking employment or carrying a business or vocation in India. It can be when he is staying with his or her spouse and spouse being a resident of India, etc. The definition of person resident of India thus covers a person not citizen of India but would fall in the definition in a given circumstances narrated under clause (III). We are unable to accept the first argument raised by the appellant because under section....... + More

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• 2025 (4) TMI 113
  Seeking compounding of the offence adjudicated by the adjudicating authority under FEMA and the subsequent demand notice issued by the Assistant Director (PRC), Government of India - HELD THAT:- Compounding cannot be claimed as a matter of right but it is always subject to the legal provisions. From the chronological sequence of events in this case it appears that the subject transactions took place between 31st February, 2011 and 8th February, 2013. Show cause notice was issued by the adjudicating authority being the Special Director (Enforcement Directorate) on 18th November, 2022. Application for compounding was filed by the petitioner on ....... + More

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• 2025 (4) TMI 16
  Offence under FERA provisions by failing to ensure that goods exported under the Repayment of State Rupee Credits scheme actually reached Russia - Appellants have failed to establish that 500 MTs of Wheat Flour actually reached Russia which was required as per Scheme of Export of Goods and Services against Repayment of State Credits granted by the erstwhile Soviet Union - Failure to fulfill the specific requirement of the Scheme of Export of goods to Russia under Repayment of State Credits granted by the erstwhile Soviet Union HELD THAT:- The arguments made by the Appellants that since they had exported the Goods on FOB basis, they had no con....... + More

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• 2025 (3) TMI 1141
  Offence under FEMA - appellant was involved and played vital role in preparing the forged documents submitted in the bank and was assisting the exporter in supplementing the goods in the consignments of M/s Prominent Exim - HELD THAT:- The facts on record does not show any material to implicate and prove a case for contravention of the provisions quoted above by the appellant Manoj Arjun Gore. He was Custom Clearance Agent and used to process papers for export of the materials. The commission for it was to be received by Vinod Chitalia to the extent of 40% of DEPB and was passing it to the appellant to the extent of 15%. The amount received f....... + More

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• 2025 (3) TMI 1140
  Contraventions of FEMA provisions - liability for the failure to realize and repatriate export proceeds under Section 7 and 8 of FEMA - Whether the appellants can be absolved of liability for the contraventions due to their retirement and the provisions of the Family Arrangement cum Compromise Deed and Indemnity? HELD THAT:- The Appellants therefore cannot escape the rigours of law with respect to their failure in realization of the pending export proceeds with respect to the 07 GRs totaling USD 3,93,094.63 as mentioned above. We observe that with respect to the 07 GRs for amount of USD 3,93,094.63, the statutory period of six months for real....... + More

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• 2025 (3) TMI 1037
  Guilty of the offence u/s 6(4), 6(5) 8(1), 9(1)(a) and 9(1)(f)(i) of Foreign Exchange Regulation Act, 1973 - fine imposed - Court [ 2014 (9) TMI 1085 - DELHI HIGH COURT] is of the view that the AO dated 24th March, 2004, and the impugned order of the AT to the extent they hold the appellant liable for contravention of Section 8(1) of FERA, cannot be sustained in law - HELD THAT:- We are not inclined to interfere with the impugned judgment and order of the High Court; hence, the special leave petition is dismissed.

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• 2025 (3) TMI 686
  Denial of principles of natural justice - absence of cross-examination of the Departmental Officers - Special Director, Enforcement Directorate had denied the request to seek the cross-examination of Officer who recorded the statement of the Appellant under the provision of Custom Act, 1962 and Officer who recorded the statement of co-noticees under the provisions of FERA. HELD THAT:- We are unable to accept the contentions of the Appellant as the proceedings under Customs Act are factually different from the present proceedings under FERA. Appellants have been unable to prove how the cross-examination of theDepartmental Officials would have ....... + More

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• 2025 (3) TMI 336
  Breach of the principles of natural justice - denial of request to seek the cross-examination of Officer who recorded the statement of the Appellant under the provisions of Customs Act, 1962 and Officer who recorded the statement of co-noticees under the provisions of FERA. HELD THAT:- We observe that the tool of cross-examination is used so as to establish the truth, on the basis of certain reasonable grounds available with the petitioners. It does appear far-fetched that coercion while recording the statement can be established through such tool in the absence of any other reasonable ground to make a such assertion. It is unlikely that the ....... + More

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• 2025 (3) TMI 66
  Penalty imposed for contraventions u/s 8(3) and 8(4) of FERA - person guilty of offences under the FERA Act - HELD THAT:- Proceedings under the FERA Act are not criminal proceedings but are adjudicatory in nature. Appellant Tribunal for Foreign Exchange is an adjudicatory body, which performs quasi-judicial functions and act as administrators and adjudicators. They are not courts . While it is very much within their powers, to impose penalties for non-compliance of provisions of FERA, however, it does not lie within their domain to pronounce a person guilty of offences under the FERA Act. Pronouncing a person guilty has serious consequences a....... + More

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• 2025 (2) TMI 686
  Penalty imposed on the Respondent for contravention of Section 3(c) of FEMA - Order passed on the facts that the officials of Police Station Rahon, Distt. Shaheed Bhagat Singh Nagar, Punjab intimated the ED Office that they had seized an amount involved in Hawala transaction from two persons - Investigation was initiated by the Enforcement Directorate under the provisions of FEMA - Special Director (Appeals) has held that the statement was retracted by the Respondent at the first possible opportunity. HELD THAT:- In response to the notice under Section 17(4) of the FEMA Act, Sh. S.L. Chopra Sh. Ravi Chopra, Advocate and Shri Pankaj Yadav, Leg....... + More

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• 2025 (2) TMI 317
  Seizure order made under FEMA - remitting foreign exchange within a short span of few months, no import took place against those outward remittances - Commissioner set aside seizure order - HELD THAT:- We find that an elaborate order has been passed by the Commissioner/Competent Authority after considering all the issues. It not only considered legal but factual issues raised by the parties. If the case in hand is taken in chronological order, it started at the instance of M/s Sunshine Global Importers said to have been managed by one Ramash Babu Srinivasan. The bank account in the name of the company was opened along with the Certificate of ....... + More

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• 2025 (2) TMI 17
  Maintainability of the writ petition due to the availability of appeal remedy under Section 19 (1) and Section 35 of FEMA - Delay in issuance of SCN - Violation of Foreign Exchange Management Act (FEMA) and Transfer or Issue of Security by a Person Resident Outside India, Regulations 2000 - contravention of provisions of Section 6 (3) (b) r/w Section 47 of the Foreign Exchange Management Act, 1999 r/w Regulations 3, 4 and 5 and para-3 and para 9(1) (B) (i) of Schedule 1 of TISPRO Regulations 2000 and annexure B to para 2 of schedule 1 of TISPRO Regulations 2000 r/w consolidated FDI Policies dated 01.04.2010 and 01.10.2010 - violation of princ....... + More

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• 2025 (1) TMI 1451
  Validity of order of the Additional Director of Enforcement dropping charges under the Foreign Exchange Management Act, 1999 (FEMA) - case against the appellants under FEMA, 1999 was initiated based on a Show-Cause Notice issued by the DRI under the Customs Act, 1962 - in SCN, it was alleged that both the respondent companies had evaded Customs Duty by suppressing and mis-stating the actual transaction value of the export goods - HELD THAT:- We find force in the argument of the respondents that the allegations against the appellants in this case drew sustenance primarily from the allegations contained in the SCN issued by the DRI under the Cu....... + More

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• 2025 (1) TMI 947
  Contravention under FERA Act - Failure to recover the export dues within the stipulated period of six months from the date of the export therefore it contravened Section 18(2) r/w Section 18(3) of the Act, 1973 was made - Penalty imposed - HELD THAT:- Considering status of the appellant, an export proceeds agent prepared the document by charging Rs. 750 per export documents. He is not shown to be part of the M/s Sparkle Gems Industries (P) Ltd. Bombay yet penalty of Rs. 50 lakhs have been imposed on him while imposing penalty of 85 Lakhs on the company. No material to allege contravention of Section 18(2) and Section 18(3) of the Act of 1973 ....... + More

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• 2025 (1) TMI 897
  Offence under FERA - appellant company got involved in acquisition of foreign exchange and its borrowing without permission of Authorised Dealer or of the Reserve Bank of India - penalty imposed on contravention of section 8(1) - element of acquisition and transfer of the foreign exchange of US$ 28,26,433.26 coupled with the allegations of borrowing of foreign exchange amounting to US$ 3,33,025 and 7,068.38 HELD THAT:- The draft of US$ 333025 and 3270.20 and 3798.18 were utilized for payment of customs duty. However, the earlier draft was received from M/s Tata Industries USA and other two drafts from M/s Tata Ltd. London and Sh. Raj Kadan of....... + More

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• 2025 (1) TMI 852
  Review applications filed for waiver of pre-deposit of penalties under FERA - Whether the appellants failure to comply with the deposit order justifies the dismissal of their appeals? HELD THAT:- Order of this Tribunal has directed deposit of 15 percent of the penalty. The interpretation given in the Review Petition cannot be sustained, in view of the unambiguity in the Adjudication Order. We find that the two Review Petitions fail to meet the conditions of the relevant afore cited provisions of the CPC as well as do not fall within the principles which have been culled out in the Judgment relating to Kamal Sengupta [ 2008 (6) TMI 578 - SUPRE....... + More

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• 2025 (1) TMI 851
  Offence under FEMA - Applied for rebate of Central Excise Duty by producing 15 fake shipping bills, related applications for removal of excisable goods for export (ARE-1s) and other related shipping documents, and fraudulently availed rebate of Central Excise Duty - effect of immunity granted by Settlement Commission under the Customs Act, 1962 HELD THAT:- Oder of Customs and Central Excise Settlement Commission is categorical that no immunity was either sought or provided to the Appellant under FEMA,1999. The immunities so granted under other Acts won t have an impact on the proceedings under FEMA. As held in Vinod Chitalia [ 2012 (5) TMI 15....... + More

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• 2025 (1) TMI 742
  Offence u/s 8(1) and 8(2) of FERA - dealing in foreign exchange without the necessary permissions from the Reserve Bank of India (RBI) - recovery of the currency - appellant s penalized by imposing heavy penalty of Rs. 80 lakhs though the worth of the foreign currency as on the date of the recovery was not more than 8 lakhs - as argued foreign currency said to have been recovered from their sister s house HELD THAT:- We find no such argument by the appellant before the Special Director, Enforcement rather in the statements made by the appellants, they literally admitted possession of the foreign currency. It was later on qualified to be at th....... + More

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Case Laws - Service Tax

• 2025 (4) TMI 1600
  Classification of service - Business Auxiliary Service (BAS) or Business Support Service (BSS)? - export of services under the Export of Service Rules, 2005 - extended period of limitation - HELD THAT:- In the instant case, series of show cause notices has been issued on the basis of audit; it is the contention of the appellant that as held by the Hon ble Apex Court in the case of Nizam Sugar Factory [ 2006 (4) TMI 127 - SUPREME COURT] , extended period cannot be invoked in the subsequent show cause notice. In the instant case, show cause notice dated 20.10.2009 (covering the period April 2004 to March 2009) was issued to the appellant on the....... + More

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• 2025 (4) TMI 1599
  Short payment of service tax - entire SCN is based on the difference between the 26AS/ITR data and the gross value reflected by the appellant for their ST-3 returns - HELD THAT:- There is no other evidence on record to suggest that any cogent ground was taken by the department to come to the conclusion as regards the nature of the service which was being provided or whether the service tax was liable to be paid on said service. However, despite this, the appellant on their own have come forward and they have already paid the service tax due along with interest thereon - the show cause notice was issued without invoking proviso to Section 73(1....... + More

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• 2025 (4) TMI 1598
  Absolute owner of both the gas/oxygen plants - levy of service tax on lease rentals received under the taxable category of Renting of immovable property service - setting up of gas/oxygen plants by utilizing the equipment supplied by both the appellants as well as ISPAT would be considered as immovable property , in order to fall within the scope and ambit of Renting of Immovable property or not - scope of the phrase immovable property as per the Explanation 1 appended to Section 65 (105) (zzzz) of the Act of 1994 - HELD THAT:- Various individual equipment of the plant are erected, installed and commissioned within the premises of ISPAT by wa....... + More

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• 2025 (4) TMI 1541
  Classification of service - business auxiliary service or mining service? - activities of recovery of embedded iron ore, transportation to screening points, weighment, and billing - HELD THAT:- The activity undertaken by the appellant is recovery of embedded iron ore and transporting the same to screening point for screening by machines installed by the mine owner and managed by them and after screening, the appellant was making weighment of the goods and raising invoices on such quantity at the screening point. If the Revenue is of the view that the appellant has undertaken any process and the goods became of a different name and identity, t....... + More

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• 2025 (4) TMI 1540
  Non-payment of service tax on the entire charges collected from M/s Hindustan Zinc - Maintenance Repair Services - Whether the appellant is liable to pay service tax on the differential amount of consideration and actual value of spare parts for the period prior to 01.07.2012 or not? - HELD THAT:- It is a fact on record that maintenance and repair contracts as were entered between appellant and M/s Hindustan Zinc Limited are the composite contracts involving supply of goods as well as for providing the service. Such Contracts were there is a contract of supply of goods as well as of providing services, are termed as Works Contracts and the sa....... + More

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• 2025 (4) TMI 1539
  Non-compliance of the obligations imposed on the manufacturer of final products or provider of output service, in availment of CENVAT Credit, in specified situations mentioned therein, under Rule 6 of the CENVAT Credit Rules, 2004 - HELD THAT:- On plain reading of the legal provisions under Rule 6 of CCR of 2004, it transpires that while providing a comprehensive input credit scheme of the duties and taxes paid on input and input service, the Government had provided for an exception of not extending such input credit facility in respect of those inputs and input services used in or in relation to exempted goods or exempted services. The ratio....... + More

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• 2025 (4) TMI 1538
  Determination of the value of taxable services in the execution of works contracts involving both supply of goods and provision of services - whether duty paid on 15% as service component by the assessee considering 85% element of good supplied, which has been described by it as the actual value, on the basis of contract price or as per their invoices and which as per the department`s view was not actual value but a uniform notional value on which VAT was discharged and remaining 15% was treated as value for the service tax even though the percentage of abatement under service tax only could be ousted by external value of goods based on costi....... + More

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• 2025 (4) TMI 1537
  Refund of the Service Tax paid by mistake on transportation of oil cakes - principles of natural justice - HELD THAT:- Revenue has not issued any Show Cause Notice seeking to know as to why the refund claim should not be rejected on account of unjust enrichment. The Department has simply issued several letters seeking documentary evidence and calling for balance sheet copies, P L account and other payment details. All these documents have been provided by the appellant. Thus, the appellant was not even made aware as to on what grounds the refund was proposed to be dismissed. This is a case where the Service Tax has been paid on RCM basis. The....... + More

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• 2025 (4) TMI 1536
  Recovery of Service Tax on Transport Charges, Delivery Charges, Freight Charges, Commission, Supervision Charges, Service Charges, and Works Contract Service for the period 2007-08 to 2011-12 - suppressios of material facts or not - invocation of extended period of limitation - HELD THAT:- The main ground of the Revenue to deny the benefit of the said Notifications is that the ld. adjudicating authority has not examined the agreements. We have gone through the impugned order. From a perusal of the impugned order, we find that the ld. adjudicating authority has recorded the findings that the respondent has received various amounts from M/s. Ut....... + More

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• 2025 (4) TMI 1468
  Time limitation for issuance of SCN - impugned order issued after a substantive delay of approximately five years and ten months which is hit by Section 73 (4B) of the Finance Act, 1994 - HELD THAT:- In Kanak Automobiles Private Limited case [ 2024 (4) TMI 1223 - PATNA HIGH COURT] , the learned co-ordinate Bench has agreed to the said submission to the extent that the period of limitation is not absolute period stated in clause (b) of sub-section (4B) of Section 73 of the Act of 1994, but then a question arises as to whether a duty has been cast upon the Department to show that it was not possible to pass an order determining the amount withi....... + More

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• 2025 (4) TMI 1397
  Exemption from payment of Service Tax on public services rendered by the petitioners pursuant to the circular issued by KMC and the Mega exemption N/N. 25/2012-ST dated 20th June 2012 - jurisdiction and authority of service Tax authorities to impose Service Tax on the petitioners in respect of contracts with KMC - HELD THAT:- Admittedly, in this case it would transpire that initially the petitioners had individually applied before this Court challenging, inter alia, the circular issued by the KMC claiming that the KMC is exempted from paying service tax in respect of the service rendered by the petitioners, and the authority of the Service Ta....... + More

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• 2025 (4) TMI 1396
  Availment of CENVAT credit on input services under the Reverse Charge Mechanism (RCM) on the basis of invoices/bills rather than the prescribed GAR-7 challans evidencing payment of service tax - Rule 9 of the CENVAT Credit Rules, 2004 - HELD THAT:- The CENVAT Credit of the service tax on the input services is available to appellant on the receipt of invoice by the service recipient. The scheme of taxation of services provide for payment of the tax either by the service provider or the service recipient after the closure of the month in which the invoice is issued. In case of the reverse charge mechanism the scheme of taxation follows the same....... + More

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• 2025 (4) TMI 1395
  Levy of service tax - Business Auxiliary service - appellant as an individual distributor of Amway products, is liable to pay service tax on the commission received from Amway or not - cum duty benefit - invocation of extended period of limitation - HELD THAT:- The activity of the appellant is the activity of marketing or sale of the goods belonging to Amway and the commission received by the Distributor from Amway, is linked to the performance of his sales group is liable to be treated as consideration for Business Auxiliary Service of sales promotion provided to Amway. Therefore, service tax would be chargeable on the commission received by....... + More

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• 2025 (4) TMI 1394
  Levy of service tax - amounts collected by the appellant in the nature of forfeiture of security deposits/earnest money and fines/penalties etc. against delayed completion of works - Section 66E(e) of the Finance Act, 1994 - HELD THAT:- There are other series of decisions as relied on by the appellant and what emerges is that a consistent view has been taken that the amount charged has necessarily to be a consideration for the taxable service provided under the Finance Act and the amount which has no nexus with the taxable service is not a consideration for the service provided and therefore, does not become part of the value which is taxable....... + More

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• 2025 (4) TMI 1393
  Time limitation for issuance of SCN - SCN issued beyond the statutory limitation period prescribed under Section 73 of the Finance Act, 1994 - suppression of facts or not - HELD THAT:- In the case of Uniworth Textile Ltd Vs CCE, Raipur [ 2013 (1) TMI 616 - SUPREME COURT] as well as Continental Foundation Joint Venture Holding Vs CCE, Chandigarh-I [ 2007 (8) TMI 11 - SUPREME COURT] , the Hon ble Supreme Court held that the expression suppression has been used in the proviso to Section 11A of the Act accompanied by very strong words as fraud or collusion and, therefore, has to be construed strictly. Mere omission to give correct information is ....... + More

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• 2025 (4) TMI 1392
  Levy of service tax along with penalty under Section 78 and interest received against works contract executed with certain entities registered under Section 12AA of the Income Tax Act, 1961 - entities registered under Section 12AA of the ITA, 1961 are meant predominantly for religious use by general public so as to qualify for exemption under clause 13 of Notification No.25/2012-ST dated 20.06.2012, as amended - use for which the buildings were put to - HELD THAT:- The issue is no more res-integra as this Tribunal in M/S. S. KUMAR BUILDERS VERSUS COMMISSIONER OF CENTRAL GOODS SERVICE TAX CENTRAL EXCISE, JABALPUR (MADHYA PRADESH) [ 2022 (11) T....... + More

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• 2025 (4) TMI 1391
  Eligibility for exemption from payment of service tax under entry 29(g) of N/N. 25/2012 dated 20.06.2012 to the extent they have provided services to banking companies - ppellant have appropriately paid service tax on providing services to Rajcomp Info Services Ltd. or not - invocation of extended period of limitation - penalties - demand of late fee. Whether Appellant were eligible for exemption from payment of service tax under entry 29(g) of Notification No.25/2012 dated 20.06.2012 to the extent they have provided services to banking companies? - HELD THAT:- Appellant s main activity has been opening of Saving Bank Account, cash deposits c....... + More

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• 2025 (4) TMI 1390
  Levy of penalty u/s 77(1) of the Finance Act, 1994 for failure to appear before the Central Excise Officer when issued with summon for appearance to produce documents in an inquiry is sustainable or not - HELD THAT:- There is no explanation for the delay caused in submission of the records. However, the penalty in the case of delay in submission of document should be a token penalty to insure compliance with the provisions of law. This fact has been admitted in the impugned order, whereby penalty from Rs.200/day has been reduced to Rs.50/day. Still the penalty is on higher side and reduced the same to Rs.10,000/-. Appeal is partly allowed.

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• 2025 (4) TMI 1341
  Refund of the wrongly paid service tax - rejection of claim for refund by applying Section 11B (1) of the Central Excise Act, 1944 - HELD THAT:- A perusal of the above provision shows that it deals with the claims for refund of service tax paid based on the exemptions provided under the Act of 1944. It does not deal with a situation where an assessee has paid the service tax under a mistaken impression of law or without realizing that a particular activity is exempted from service tax. In this regard, it is apposite to refer to the judgment of the Hon ble Supreme Court in the case of Mafatlal Industries Limited vs. Union of India [ 1996 (12) ....... + More

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• 2025 (4) TMI 1340
  Classification of services - Tour Operators Service - Short-term accommodation service - activities undertaken by the appellant, a statutory authority managing the Anamalai Tiger Reserve - HELD THAT:- The fact remains that the activities of the appellant are clearly in terms of the provisions of WPA which is the governing Statute insofar as the Appellant-forest department is concerned. There is also a categorical finding that the appellant is charging fees as prescribed by the Government, which is also apparently accepted without there being any specific denial, by the First Appellate Authority or the Revenue in its grounds of appeal before t....... + More

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Case Laws - Central Excise

• 2025 (4) TMI 1597
  Validity of duty demand based on re-classification of the products Benzene and Toluene from chapter 29 to chapter 27 - re-classification is based on test reports dated 29.01.1991 on samples drawn in October, 1990 of which only a gist was provided to the appellant by the respondent vide letter dated 29.01.1991 - test reports can legally form the basis for re-classification of the above products manufactured and cleared during 1991 and 1992 - treating the assessments provisional for the two products Benzene and Toluene for the months of January and February, 1993 in the absence of any order passed under Rule 9B of the Central Excise Rules, 1944....... + More

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• 2025 (4) TMI 1596
  Rejection of rebate claim - entitlement to claim rebate of excise duty paid on exported goods, while simultaneously claiming duty drawback on inputs under the Customs Central Excise Duties and Service Tax Drawback Rules, 1995 - double benefit - HELD THAT:- A double benefit would arise in a case where, for a single incidence, relief is availed more than once i.e. if relief is claimed more than once on the output side or if relief is claimed more than once on the input side. If relief is claimed only once on the output side and once on the input side then the same would not amount to a double benefit to the manufacturer/exporter. The benefits o....... + More

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• 2025 (4) TMI 1595
  Entitlement to CENVAT credit by a manufacturing unit on inputs, capital goods, and input services that were physically received and used by a separate, though related, manufacturing unit - HELD THAT:- There is no denial to the fact that both the entities though are run by same management but both being separately registered under Excise Laws. However, it is also not disputed that the Karwahi Mines got registered after the coal was made excisable w.e.f 01.03.2011. This observation coupled with the admitted fact the Karwahi Mines are engaged in manufacture of coal is sufficient to hold that there was no need for Karwahi Mines to take Central Ex....... + More

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• 2025 (4) TMI 1594
  CENVAT Credit - inputs or capital goods - M.S. Plates, M.S. Channels, HR Coils, Chequered Plates, Linear Slide Rail, HR Sheets, RS Joists, MS Beams and MS Square Mesh which have been used as components and accessories of the capital goods which were used for manufacturing the final products - HELD THAT:- M.S. Plates, M.S. Channels, HR Coils, Chequered Plates, Linear Slide Rail, HR Sheets, RS Joists, MS Beems and MS Square Mesh are classified under Chapter 72/73 of Central Excise Tariff Act 1985 which are not covered under definition of capital goods under clause (i) of Rule 2(a)(A) of the Cenvat Credit Rules 2004. As defined above only goods ....... + More

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• 2025 (4) TMI 1578
  Refund claim - amount paid under protest is in the nature of revenue deposit and hence, it will not be covered by section 11B of CEA or not - principles of unjust enricment - HELD THAT:- The amount of deposit made under protest, except to the extent of amount which has been appropriated towards requirement of making pre-deposit under section 35F, would be in the nature of revenue deposit and therefore, it will not be covered by the provisions of section 11B of the Act, as held by Commissioner (Appeals) in his impugned order while upholding the order of the RSA. The reliance placed by the Revenue on the judgment of Hon ble Supreme Court in the....... + More

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• 2025 (4) TMI 1577
  Time limitation - refund of excise duty paid on investment subsidy adjusted against VAT and CST returns - amount was paid under protest - applicability of principles of unjust enrichment - HELD THAT:- From the grounds of appeal taken by the Revenue before the Commissioner (Appeals) and the appeal decided thereon is basically on the point that since the amount shown as expenses is not towards amount as receivable , it cannot be established that the assessee have passed the test of unjust enrichment. The said issue has been considered by the Tribunal in the case of M/s. Chambal Fertilizers and Chemical Vs. Commissioner of Central Excise and CGS....... + More

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• 2025 (4) TMI 1576
  Taxable service or negative listed services - activity undertaken by the appellant-sale and purchase of postal stamps through a franking machine - suppression of facts or not - invocation of extended period of limitation. Taxability of service - HELD THAT:- The franking machine is a stamp vending machine or stamping machine. These can be used subject to getting license from Postal Authorities. The license gets issued by the head of the Postal Division or the independent gazetted Postmaster of the office of Director Posts, Mumbai, Kolkata or New Delhi GPO or by officer commuting postal/SDS unit/SBPO within whose jurisdiction the machine is loc....... + More

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• 2025 (4) TMI 1535
  Recovery of Central Excise duty with interest and penalty - alleged default in payment of duty beyond the stipulated due dates by violating Rule 8(3A) of the Central Excise Rules, 2002 - HELD THAT:- The issue is similar to the relevant findings of the jurisdiction High Court of Punjab Haryana in the case of Sandley Industries [ 2015 (10) TMI 2455 - PUNJAB HARYANA HIGH COURT] , wherein the jurisdiction High Court of Punjab Haryana has held that Rule 8(3A) of the 2002 Rules to the extent it contains the words without utilizing the Cenvat credit is held to be arbitrary and unreasonable and is struck down. In other words, the unamended Rule 8(3A)....... + More

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• 2025 (4) TMI 1534
  Evasion of Central Excise duty - non-inclusion of the amount of VAT/Sales Tax collected and retained by them in the assessable value in violation of Section 4 of the Central Excise Act, 1944 - HELD THAT:- The facts are not in dispute. The appellant was eligible for remission under the State VAT scheme. Therefore, while the appellant were charging 100% VAT on their customers, they were retaining 99% of the VAT and paying only the balance 1% VAT to the State Govt. There is nothing on record that this 99% was required to be paid subsequently in instalments. Thus, it gets clarified that this amount is simply retained by the appellant. This very i....... + More

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• 2025 (4) TMI 1533
  Evasion of Central Excise Duty by resorting to undervaluation - clearance of finished products through related unit viz., M/s. H.D. Consortium India Ltd. at a price which was lower than the price at which the said product was subsequently sold by M/s. H.D. Consortium India Ltd. to unrelated buyers - revenue neutrality - HELD THAT:- In the appellant s own case [ 2024 (6) TMI 1320 - CESTAT KOLKATA] , this Tribunal has examined the very same issue and observed that the Appellant has adopted a higher value addition and duty was paid at a higher side. Thus, we find that there is no evidence available on record to substantiate the allegation that t....... + More

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• 2025 (4) TMI 1532
  Irregular availment of CENVAT Credit - denial of credit on the ground that the process undertaken does not amount to manufacture - HELD THAT:- he appellant has been availing CENVAT Credit of duty paid on inputs viz. PP/HDPE/LLDPE Granules, Calcium Compound, Master Batch and PP/HDPE Woven Fabrics. The said inputs were used in the manufacture of their final products. The appellant was clearing their finished goods on payment of duty and was submitting their Returns regularly. The Department has not raised any dispute against availment of credit by the appellant. It is also observed that when the appellant paid duty on the finished goods, the De....... + More

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• 2025 (4) TMI 1531
  Irregular availment of Cenvat Credit - violation of the provision of Rule 11 of Central Excise Rules, 2002 and Rule 10 of Cenvat Credit Rules, 2004 - HELD THAT:- It is quite clear that in the instant matter there is no aspect of unutilized credit in consideration, as evident from the language of the letter dated 12.01.2010 issued by M/s Henkel India Ltd., referred to in para-4 above. The impugned matter, therefore cannot be construed to be a case within ambit of Rule 10 of the said Rules. Thus, we are of the view that the Revenue has misdirected themselves by referencing the present issue within the ambit of Rule 10 on Cenvat Credit Rules, 20....... + More

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• 2025 (4) TMI 1324
  Exemption /effective rate for goods falling under Chapter Heading Nos.84 to 98 of of the Central Excise Tariff Act, 1985 under N/N. 6/2006-CE dated 01.03.2006 - Clearance of goods without payment of duty to M/s.Nagarjuna Thermal Power Project, Udipi, Karnataka for setting up of a Mega Power Project - Condonation of delay of 309 days in filing the appeal which has not been satisfactorily explained - It was held by CESTAT that Thus, the denial of exemption is without any legal or factual basis. The appellant is eligible for exemption under Notification No.6/2006-CE dated 01.03.2006. HELD THAT:- There are no good reason to interfere with the imp....... + More

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• 2025 (4) TMI 1323
  Condonation of gross delay of 246 days in filing the petition which has not been satisfactorily explained - release of fixed deposits seized from the petitioner and the company - it was held by High Court that such goods and assets be released in favour of the petitioner forthwith along with statutory interest - HELD THAT:- There is a gross delay of 246 days in filing the petition which has not been satisfactorily explained. There are no reason to interfere with the impugned order passed by the High Court - SLP dismissed.

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• 2025 (4) TMI 1322
  Prayer for a declaration to the effect Rule 8(4) of the Central Excise Rules, 2002 and 2001 respectively are inconsistent with Rules 3 and 4 of Cenvat Credit Rules, 2001 - HELD THAT:- Since there is no dispute on the position that the above reasoning would apply on all fours to the challenge in the present case as well, Rules 8(4) of 2001 and 2002 Central Excise Rules also, as a consequence, will be liable to be set aside. A portion of the demand thereunder would stand covered by the decision that are taken in the Writs of Declaration that have been allowed. To this extent, the demand under order-in-original dated 16.05.2005 and recovery noti....... + More

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• 2025 (4) TMI 1321
  Refund of Education Cess, Secondary Higher Education Cess and Krishi Kalyan Cess - transitional provisions of the CGST Act, 2017 - applicability of amendment to Section 140(1) of the CGST Act, 2017, which excludes cesses from the definition of eligible duties and taxes for transitional credit - HELD THAT:- Definition of eligible duties and taxes as per the explanation 3 under Section 140 of the CGST Act was amended with retrospective effect from 01.07.2017 whereby it is specified that Cesses are excluded from the definition of eligible duties and taxes. Thus, the credit is ab initio not available for utilization for GST. In view of the above,....... + More

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• 2025 (4) TMI 1320
  Refund of Education Cess, Secondary Higher Education Cess and Krishi Kalyan Cess - transitional provisions of the CGST Act, 2017 - applicability of amendment to Section 140(1) of the CGST Act, 2017, which excludes cesses from the definition of eligible duties and taxes for transitional credit - HELD THAT:- Definition of eligible duties and taxes as per the explanation 3 under Section 140 of the CGST Act was amended with retrospective effect from 01.07.2017 whereby it is specified that Cesses are excluded from the definition of eligible duties and taxes. Thus, the credit is ab initio not available for utilization for GST. In view of the above,....... + More

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• 2025 (4) TMI 1319
  Excisability - classification of Refined Bleached Deodorized Palm Stearin (RBD) and Hydrogenated Palm Stearin (HPS) - to be classified under Subheading Nos. 1511 9090 and 1516 2099 respectively or under Sub-heading Nos. 3823 1112 and 3823 1190 respectively? - Extended period of limitation - HELD THAT:- The CBEC in the Circular No. 81/2002-Customs dated 03.12.2002 has classified Palm Stearin under Chapter heading 15.11, when the same is obtained through fractionation process and classified the same under Chapter heading 38.23, when obtained through the Hydrolytic splitting process. Since, the by-products were obtained by the appellants through....... + More

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• 2025 (4) TMI 1318
  Denial of CENVAT Credit - duty paying documents were not available with the Appellant - invocation of extended period of limitation - HELD THAT:- There is nothing coming on record that the Appellant has contravened the provisions of Rule 57AE of the Central Excise Rules, 1944 or Rule 7 of Cenvat Credit Rules, 2002. Similar issue has been decided by this Bench in the case of Exide Industries Ltd. vs. Commissioner of C.Ex., Haldia, [ 2008 (1) TMI 190 - CESTAT, KOLKATA] . This Bench has held that There is no doubt that Notification No. 13/03, dated 1-3-2003 has substituted the word procured for the word purchase in sub-rule (4) of Rule 7 of CENV....... + More

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• 2025 (4) TMI 1288
  Inadmissible CENVAT Credit - short payment of service tax on the commission received in advance - taxability - debit card income - Banking and financial services rendered in Jammu and Kashmir - renting of immovable property. HELD THAT:- It appears that the Tribunal looked into the issue as regards the CENVAT credit in detail - there is no discussion as regards the other four issues which were raised by the Revenue. All that has been stated as regards those four issues is that they are covered by case laws. To a certain extent, the learned counsel appearing for the Revenue is right that although there is a finding recorded with regard to the C....... + More

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Case Laws - Vat / CST

• 2025 (4) TMI 1593
  Recovery of arrears of sales tax - priority of claims of secured creditor bank s equitable mortgage created in 1991 over the claims of the Commercial Taxes Department arising from sales tax arrears under the Tamil Nadu General Sales Tax Act, 1959 - interpretation and applicability of Section 26E of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) - HELD THAT:- The records make it clear that this arrangement has been on-going since December 1991. The impugned notices/communications have been issued only in December 2002 and hence, the arrangement between the bank and the de....... + More

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• 2025 (4) TMI 1389
  Entitlement for concessional central sales tax - respondent despite falling in the negative list would still be entitled to the tax rebate as set out in the notification dated 01.04.2013, that too, for the period 2015-16, especially, when it was not disputed before the authorities below that the industrial unit of the respondent falls in the negative list - failure to take into consideration the judgment of the Hon ble Supreme Court in Lloyd Electric and Engineering Limited vs. State of Himachal Pradesh Ors, [ 2015 (9) TMI 370 - SUPREME COURT ], wherein the Hon ble Supreme Court has held that the State Government cannot speak in two voices - ....... + More

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• 2025 (4) TMI 1388
  Dismissal of Second Appeal for non-payment of pre-deposit, especially when the Appellant has already made pre-deposit in the First Appeal - Tribunal exceeded the pre-deposit amount to an extent of the entire tax demand - increasing the pre-deposit amount in Second Appeal in comparison with the pre-deposit amount of first appeal, when the tax demand has been reduced in comparison of the first appeal. HELD THAT:- The appellant submitted that total demand disputed by the appellant in the Second Appeal before the Tribunal is around Rs. 4,50,000/- whereas the appellant has already deposited Rs. 1,80,000/- (Rs. 1,30,000/- before the First Appellate....... + More

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• 2025 (4) TMI 1317
  Validity of assessment orders - variation of 317.64 Cubic meters of granite - appeal dismissed on the ground that the said appeals are beyond the period of limitation permissible under the provisions of the A.P. Value Added Tax Act, 2005 - HELD THAT:- The orders of assessment passed by the Commercial Tax Officer state that the petitioners had not produced any material before the Commercial Tax Officer to demonstrate that there was no variation in the quantity of granite quarried and the quantity of granite sold by the petitioners. On that basis, the Assessing Officer had passed the orders of assessment. The petitioners do not choose to file a....... + More

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• 2025 (4) TMI 1316
  Interest on delayed refunds - entitlement for enhanced rate of interest - relevant date for calculation of interest - HELD THAT:- As per the provisions of the JVAT Act, 2005, the amount of interest starts accruing automatically after 90 days from the date of submission of application of refund, which was submitted by the petitioner on 16.09.2020 and 90 days therefrom expired on 15.12.2020, hence interest will start accruing w.e.f. 16.12.2020. In the instant case the interest is calculated as per Rule-19 (2) (a) of the Jharkhand Value Added Tax Rules, 2006. However, taking a clue from the order of Alok Shankar Pandey [ 2007 (2) TMI 329 - SUPRE....... + More

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• 2025 (4) TMI 1284
  Classifiation of goods - revision in the rate of tax - liquid carbon dioxide - taxable at 5% or 14.5%? - to be classified within Entry-100 (190) in Schedule-IV of the VAT Act or under Entry 100(190)? - time limitation for passing revisional order - revision order was passed after about six years from the date of service of the assessment order. Time limitation for passing revisional order - HELD THAT:- In S. Kasi vs. State through the Inspector of Police, Samaynallur Police Station, Madurai District [ 2020 (6) TMI 727 - SUPREME COURT] , the petitioner had sought statutory bail, available under Section 167 (2) of the Code of Criminal Procedure....... + More

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• 2025 (4) TMI 1181
  Challenge to assessment order - invocation of extended period of limitation - absence of willful evasion of tax by the petitioner - Section 21 (5) of the A.P VAT Act - Penalty order - HELD THAT:- A best judgment order, of assessment, in the case of willful evasion of tax, by the dealer, would mean that the period of assessment, of six years, for every month would commence from the 20th day of the succeeding month, where returns have been filed in time. As there is no dispute that the returns have been filed, by the petitioner, within the prescribed time, the limitation of every month would have to be taken into account. In such circumstances,....... + More

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• 2025 (4) TMI 1180
  Refund of excess tax credit - applicability of provisions of Rule 18(3)(b) of the Andhra Pradesh VAT Rules, 2005, read with Section 22 of the A.P. Value Added Tax Act, 2005 (the VAT Act) - HELD THAT:- While Section 22 (3) would be applicable to the Central Government, the State Government and the organizations mentioned in Section 22 (3), the provisions of Section 22 (3-A) would be applicable only to the Government of A.P., or any local authority. It would not be applicable to the Central Government - The State is relying upon the provisions of Rule 18 (3) (b) to contend that any payments made in excess of tax liability of the dealer, by a Go....... + More

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• 2025 (4) TMI 1108
  Rejection of second Restoration Application filed by the petitioner seeking restoration of Restoration Application No. 1 of 2023, which in turn sought restoration of Second Appeal No. 1172 of 2018 - non-appearance of the petitioner s advocate before the Tribunal due to being occupied in High Court proceedings and other work commitments - HELD THAT:- It appears that the Tribunal ought not to have rejected the Restoration Application No. 12 of 2023 on the ground that the matter is pending for ten years and the applicant has not paid any amount towards tax demand. The Tribunal should have considered the facts of the case to grant the relief to t....... + More

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• 2025 (4) TMI 1062
  Recovery of amount on account of the defendant s failure to furnish Form-C for availing concessional Central Sales Tax (CST) rates - non-compliance with the mandatory pre-institution mediation requirement under Section 12A of the Commercial Courts Act, 2015 - HELD THAT:- The plaintiff had, unequivocally, denied receiving copies of Form-C in question. Thus, the onus to prove that copies of Form-C had been provided to the plaintiff was required to be discharged by the defendant. The defendant had not produced any document on record to show that it had forwarded Form-C in question to the plaintiff. Although the defendant has now sought to produc....... + More

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• 2025 (4) TMI 1061
  Challenge to revisional show-cause notices - power of Revisional Authority, under Section 32 of the Telangana Value Added Tax Act, 2005, to issue revisional show-cause notices challenging the appellate order passed in favor of the petitioner - HELD THAT:- A plain reading of Section 32 (1) of VAT Act makes it clear that the Revisional Authority is competent to initiate proceedings to revise, modify or set aside the order. Pertinently, the learned counsel for the petitioners has not assailed the show-cause notices on the ground of competence. The provision in no uncertain terms makes it clear that the Revisional Authority is indeed competent to....... + More

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• 2025 (4) TMI 1060
  Legality of remanding the matter while recording the finding in favour of the revisionist - HELD THAT:- It is not in dispute that against the assessment order, first appeal was filed by the revisionist, which was partly allowed. Against the first appellate order, both the revisionist and revenue preferred second appeals out of which, the appeal filed by the revisionist was allowed and the appeal filed by the revenue was dismissed by remanding the matter back for fresh innings to the assessing officer to adjudicate the case as fresh while fresh material was available on record before the Tribunal to take the decision. This Court in the case of....... + More

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• 2025 (4) TMI 952
  Challenge to validity of subrule (20) of rule 17 of the Central Sales Tax (Rajasthan) Rules, 1957 - misrepresentation of fact or by fraud or in contravention of the provisions of the Central Sales Tax Act, 1956 - HELD THAT:- Coming back to sub-sections (3) and (4) of Section 13, the rule-making power conferred on the State Government under sub-section (4) is for any or all of the specific purposes laid down in clauses (a) to (j). As stated earlier, none of these clauses provide for making a rule to enable the authorities to cancel a declaration in Form C. It is true that under sub-section (3) of Section 13, the State Government has power to f....... + More

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• 2025 (4) TMI 951
  Levy of penalty u/s 10-A of the CST Act - inter-State purchase of Xray, Xan 250, hp CPU, which commodity was not permitted to purchase or sales against Form C under the Central Sales Tax Act, 1956 - HELD THAT:- Under the C Form issued, certain declarations have to be made. On asking counsel to produce copies of the C Forms, the same were not available. Counsel stated that his instructions are the C Forms have been given to the dealer who sold the goods and, hence, petitioner does not have copies of the C Forms. In the matter at hand, the Tribunal has only remanded the matter for fresh consideration. The grievance of petitioner is that the rem....... + More

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• 2025 (4) TMI 751
  Failure to appreciate the entries made in the Schedules of the HP VAT Act, 2005 in respect of goods / articles / commodities/items to be taxed as per the rates prescribed in the Schedules appended to the H.P. VAT Act, 2005 - failure to interpret the contents of the judgment in Nokia India Pvt. Ltd. [ 2014 (12) TMI 836 - SUPREME COURT] case by the Hon ble Supreme Court and the orders passed by the Authorities below without adhering to the legal proposition settled down by the Hon ble Supreme Court - wrongful treatment of mobile battery charger - entry No. 60 (f) (vii) of part-II A of schedule-A of the HP VAT Act., 2005 - cell phone charger is ....... + More

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• 2025 (4) TMI 750
  Disallowance of claim of deduction towards sub-contractors for the lack of producing certificates mandated under Rule 3(2)(i-1) of KVAT Rules, 2005 - absence of particulars of tax collected - invocation of powers of suo moto revision under section 64 of the Act - levy of tax on receipt for land cost i.e., immovable property, which does not constitute consideration for works contract under Composition Scheme of KVAT - reopening of assessment proceedings by invoking revisional powers under section 64 of the Act - HELD THAT:- With respect to exemption claimed on sub-contractor payment of Rs. 75,63,738/-, the reassessment order itself had disallo....... + More

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• 2025 (4) TMI 687
  Dismissal of the appeal against the levy of VAT @ 13.75%, as against the claim of 5% - Capital goods or not - failure to appreciate that mechanical bodies and pre-fab shelters, sheets, metals, parts etc. is capital goods and taxable @ 5% - applicability of residual entry when once good falls under any of Harmonized System of Nomenclature (HSN) classification - levy of penalty is totally against the basic principles of interpretation of provision of Act and law - HELD THAT:- It would be noticed that the goods manufactured by the petitioner do not fall within the definition of capital goods, therefore, these goods cannot be charged @5% under Pa....... + More

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• 2025 (4) TMI 630
  Maintainability of writ petitions - whether this Court should entertain these petitions despite there being alternative remedy or direct the petitioners to approach the competent authority as per Section 49 (4) of the Act of 2005? - substratum of arguments of the Counsel for the petitioners is based on the premise that once a writ petition was entertained, the petitioner cannot be relegated to avail alternative remedy - HELD THAT:- The petitioners cannot take a plea that the respondent authority has not provided any opportunity of hearing before passing the impugned order. While deciding these petitions earlier, this court has found that the ....... + More

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• 2025 (4) TMI 564
  Disallowance of the input tax credit for the purchase tax paid on sales turnover made to a manufacturer-exporter - Applicability of exemption provisions under Section 7(c) and the restrictions under Section 13(7) of the Act - HELD THAT:- Plainly interpreting and applying section 7(c) provides that no tax under the Act shall be levied and paid on the turnover of sale or purchase of such goods by such class of dealers as may be specified in the notification. The said exemption applies to the goods and also to the class of dealers who satisfy the conditions and fall within the notification issued under section 7(c) of the Act. The controversy is....... + More

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• 2025 (4) TMI 563
  Rejection of account books of the applicant - legality of accepting survey report which is inadmissible in the eyes of law in view of the law laid down by this Hon ble Court in the case of M/s Girja Ispat Pvt. Ltd. Vs. Commissioner of Trade Tax U.P. Lucknow [ 2013 (5) TMI 1014 - ALLAHABAD HIGH COURT] - justification in relying on the stock noted by surveying authority on estimate basis without actual weighment ignoring the law laid down by this Hon ble Court in the case of M/s Girja Ispat Pvt. Ltd. - HELD THAT:- Perusal of the order impugned reveals that the books of account as produced by the petitioner at the time of survey were disbelieved....... + More

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Case Laws - Indian Laws

• 2025 (4) TMI 1592
  Nature and scope of administrative actions initiated in pursuance of the Master Directions vis- -vis criminal proceedings initiated, against the respondents - requirement of adherence to the principles of natural justice (audi alteram partem rule) - HELD THAT:- The principles of natural justice are not applicable at the stage of reporting a criminal offence. It has further been clarified that providing an opportunity of being heard prior to the commencement of a criminal action (i.e. registration of an FIR), would frustrate the very purpose of initiating a criminal proceeding, which is to meet the ends of justice. More specifically, para 98.1....... + More

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• 2025 (4) TMI 1591
  Quashing of FIR - Seeking investigation against alleged dishonest and fraudulent acts of Respondent No. 1/Company and its concerned Directors/Decision makers including Respondent No. 2 - HELD THAT:- No discussion is complete on the use of inherent powers of the High Court under Section 482 of CrPC without referring to the decision of this court in State of Haryana v. Bhajan Lal [ 1990 (11) TMI 386 - SUPREME COURT ] wherein this Court had enumerated certain circumstances where the powers under Section 482 of the CrPC can be exercised to prevent abuse of the process of the court or to secure the ends of justice. Though the High Court has unfett....... + More

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• 2025 (4) TMI 1590
  Cognizance of an offence under Section 174-A of the Indian Penal Code (IPC) can be taken by the Court without a complaint in writing by the concerned public servant, as mandated by Section 195(1)(a)(i) of the Code of Criminal Procedure (Cr.P.C.) - gravamen of the petitioners challenge to the charges framed under section 174-A IPC was that cognizance of offence under the same could only be taken on a complaint in writing by the public servant concerned and the bar under Section 195(1)(a)(i) Cr.P.C. would apply - HELD THAT:- For offences under Section 188 IPC, the Supreme Court in in C. Muniappan [ 2010 (8) TMI 1091 - SUPREME COURT ] reiterated....... + More

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• 2025 (4) TMI 1575
  Deduction of liquidated damages by the respondent from the appellant s contractual dues, in view of the extensions of time granted for completion of the contract work - seeking to set aside the arbitral award, upholding such deduction - HELD THAT:- Respondent had established that the loss suffered by it indeed occurred due to delay in handing over the new premises. Clause 26 of the contract agreement permitted the respondent to levy liquidated damages. It also provided as to how the quantum of liquidated damages should be arrived at. According to the arbitral tribunal, the quantum was at the rate of 0.5% per week of delay. Delay in this case ....... + More

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• 2025 (4) TMI 1530
  Contempt of Court - Non-payment of arrears of use and occupation charges for period between 20.09.2021 and 31.11.2022 in six monthly instalments - Respondent-Contemnor s plea of financial incapacity to comply with the Court s order is a valid defense against the charge of contempt or not - HELD THAT:- All throughout, the Respondent-Contemnor had been in possession of the said Property and had been utilising the income generated from running of the said resort. Acceptance on the part of the Respondent-Contemnor with regard to the viability of the project is apparent from the Order dated 07.11.2022 and his conduct. This would not permit the Res....... + More

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• 2025 (4) TMI 1529
  Dismissal of appellant s petition under Section 482 of the Code of Criminal Procedure - appellant, who was not the authorized officer at the relevant time of the auction and issuance of sale certificate under the SARFAESI Act, can be held criminally liable for the alleged cheating and forgery in relation to the sale of mortgaged property or not - HELD THAT:- It is evident that the sale certificate was issued by the appellant s predecessor and, at the relevant time, the appellant was not the authorized officer empowered to issue the certificate. In fact, right from the initiation of the auction process to the issuance of sale certificate, no d....... + More

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• 2025 (4) TMI 1528
  Rejection of Interim Application filed by the petitioner herein under Section 5 of the Limitation Act, 1963 - declination to condone the delay of 301 days in filing the main appeal under Section 13(1-A) of the Commercial Courts Act, 2015 - HELD THAT:- One of the avowed objects of the provisions of the Commercial Courts Act read with amended provisions of CPC applicable to the Commercial Courts is to ensure that there is no unnecessary delay in disposal of the commercial suit. Once specific time lines are fixed and there is a strict procedure provided in terms of the Commercial Courts Act, parties are by the statute put to notice that they hav....... + More

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• 2025 (4) TMI 1527
  Demolition of the appellants residential structures by the Prayagraj Development Authority (PDA) under Section 27 of the Uttar Pradesh Urban Planning and Development Act, 1973 - HELD THAT:- As noted by this Court in the order issuing notice, against an order of demolition made under sub-section (1) of Section 27 of the 1973 Act, an appeal has been provided under sub-section (2) of Section 27. The demolition order passed on 8th January, 2021, was not served upon the appellants. It was allegedly served by affixing only. What was served was a subsequent communication dated 1st March, 2021. Within 24 hours of the service of the said communication....... + More

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• 2025 (4) TMI 1526
  Seeking quashing/setting aside of order of cognizance as well as summoning order - Criminal conspiracy - Whether a public servant against whom sanction for prosecution under the Prevention of Corruption Act, 1988 has been expressly declined by the competent authority, where the denial of sanction has not even been challenged by the prosecuting agency and who is not charged with any independent or substantive offence under the Indian Penal Code can nonetheless be prosecuted solely for criminal conspiracy u/s 120-B IPC, when the sole object of that conspiracy is the commission of an offence under the PC Act? HELD THAT:- In the present case, the....... + More

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• 2025 (4) TMI 1525
  Constitution of the Selection Committee for appointment of the Vice-Chancellor of the Himachal Pradesh Krishi Vishwavidalaya (HPKV) - compliance with the mandatory provisions of Section 24 of the Himachal Pradesh University of Agriculture, Horticulture and Forestry Act, 1986 - HELD THAT:- The nomination can only be made by the Chancellor and the Chairman, University Grants Commission, whereas the Director General, ICAR, is mandatorily required to be one of the members of the Selection Committee, to be constituted by the Chancellor. The constitution of the Selection Committee is clearly in contravention and breach of the provisions as containe....... + More

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• 2025 (4) TMI 1387
  Setting aside of arbitral award - binding nature of Development Agreement dated 10.03.1998 entered into between the Respondent and the Claimants - coercion and economic duress on the claimants - breaches of the fundamental terms of the Development Agreement - downsizing/ exit of the business of real estate development and not to pay EDC or commence development work - non provisions of security of the development site and unprovoked unilateral abandonment of the site by L T - termination of development agreement for the reasons stated in the letter of termination - obligation to commence construction in phase I - termination of the contract by....... + More

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• 2025 (4) TMI 1386
  Maintainability of suit - issue as regards the maintainability of the suit, raised on the ground that a partner of an unregistered partnership firm could not have filed the Suit for recovery of money, being hit by Section 69 of the Indian Partnership Act, 1932 - HELD THAT:- It is evident from a reading of sub-sections (1) and (2) of Section 69 that it assumes a mandatory character. Section 69(1) prohibits a suit amongst the partners of an unregistered partnership firm, for the enforcement of a right either arising from a contract or conferred by the Act, unless the suit amongst the partners is in the nature of dissolution of the partnership f....... + More

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• 2025 (4) TMI 1385
  Maintainability of petition - survival of terms of the allotment letter after the execution of the lease deed - cancellation of the allotment letter has the consequent effect of cancelling the lease deed, in absence of specific reference to the lease deed - petitioner s prior writ petition challenging proportionate cancellation disentitles it from challenging the present cancellation on proportionality grounds - cancellation of the entire allotment for non- payment of some dues is excessive administrative action and hit by the doctrine of proportionality - cancellation of the entire allotment was only on account of non-payment of dues or also....... + More

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• 2025 (4) TMI 1315
  Dismissal of contempt petition filed by the Appellants - failure to discharge his obligation under the MoU inasmuch as the Respondent has started operating another entity from the premises of the company, is siphoning off plant and machinery which was owned by the company and is defaulting in paying instalments of the term loan - HELD THAT:- The learned Single Judge of the High Court while passing the impugned judgment and final order dated 3rd July 2024 has reviewed the entire order of the learned Single Judge dated 5th December 2023. After the order was passed on 5th December 2023, another learned Single Judge could have only considered whe....... + More

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• 2025 (4) TMI 1314
  Dishonour of Cheque - discharge of burden by accused u/s 118 (a) and 139 of the N.I. Act - rebuttal of presumption - whether the High Court was justified in overturning the order of acquittal passed by the Trial Court? - HELD THAT:- Section 118 (a) assumes that every negotiable instrument is made or drawn for consideration, while Section 139 creates a presumption that the holder of a cheque has received the cheque in discharge of a debt or liability. Presumptions under both are rebuttable, meaning they can be rebutted by the accused by raising a probable defence. This Court through various pronouncements, has consistently clarified the nature....... + More

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• 2025 (4) TMI 1313
  Rejection of application filed under Order VII Rule 11(a) and (d) of the Code of Civil Procedure - plaint filed based on an agreement to sell discloses a cause of action under Order VII Rule 11(a) of the Code of Civil Procedure, 1908 (CPC) or not - interest in the suit schedule property as per Section 54 of the Transfer of Property Act, 1882 - HELD THAT:- Order VII Rule 11 CPC serves as a crucial filter in civil litigation, enabling courts to terminate proceedings at the threshold where the plaintiff s case, even if accepted in its entirety, fails to disclose any cause of action or is barred by law, either express or by implication. The scope....... + More

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• 2025 (4) TMI 1312
  Dishonour of Cheque - maintainability of prosecution of the appellant for offences u/s 420 IPC, without arraigning the company as an accused, given the business dealings were between companies - applicability of principles of res-judictata - vicarious liability. non-application of mind. Maintainability of prosecution of the appellant for offences u/s 420 IPC, without arraigning the company as an accused - HELD THAT:- It is to be noted that in 138 NI Act proceedings against Tyagi, he raised a specific defence that there is no outstanding debt qua 07 cheques as the amount involved therein has already been paid by separate demand drafts. Learned....... + More

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• 2025 (4) TMI 1311
  Breach of reciprocal contractual obligations - Forfeiture of the Appellant s payments by Respondent No. 1, namely the Housing and Urban Development Corporation Limited (HUDCO) - entitlement of interest on refund of the forfeited amount. Whether Respondent No. 1/HUDCO was in breach of its reciprocal contractual obligations qua the Appellant? - HELD THAT:- Respondent No. 1, even after the receipt of the first instalment, did not take any tangible steps to secure the necessary statutory approvals. It is obvious that the said failure led to breach of Clause 5(viii) and (ix) also, as admittedly, no agreement to sublease was executed in favour of t....... + More

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• 2025 (4) TMI 1310
  Building Tax - Seeking for a direction to quash Ext.P3 - seeking also for a direction to reconsider Ext.P2 and assess building tax on petitioner s building as per the plinth area in the plan approved by the local authority - HELD THAT:- The Kerala Building Tax Act, 1975 provides for assessment of building tax. Once an order of assessment is passed, the assessing authority becomes practically functus officio for the purpose of building tax. The remedy of a person aggrieved by an order of assessment is to prefer statutory appeal and revision as provided under the Act. In the absence of any statutory remedy invoked by the petitioner, the assessm....... + More

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• 2025 (4) TMI 1309
  Smuggling of Ganja of commercial quantity - contraband item - offences punishable under Section 8(c), 20(b)(ii)(c), 22 and 29 of the Narcotic Drugs and Psychotropic Substances Act, 1985 - HELD THAT:- There is no dispute that commercial quantity in relation to NDPS Act for ganja means any quantity greater than 20 kg. The Section 2(iii) (b) and (c) defines Ganja as the flowering or fruiting tops of the cannabis plant (excluding the seeds and leaves when not accompanied by the tops), by whatever, name they may be known or designated, and any mixture, with or without any neutral material, of any of the above forms of cannabis or any drink prepare....... + More

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