In a landmark decision case Income Tax Officer vs Vikram Sujitkumar Bhatia, the Supreme Court of India held that the Assessing officer under the Income Tax Act 1961 shall be authorized to initiate proceedings under Section 153C of the Act even against person non-searched persons, and the same shall have a retrospective effect for searches were conducted before the amendment in 2015.
FACTS:
On 11.09.2012, the original writ petitioner filed his Return of Income for the Assessment Year (A.Y.) 2012-13, declaring a total income of around 44 Lakhs as business income from a partnership firm and other income. A notice dated 08.02.2018 was issued by the Income Tax Assessing Officer to begin proceedings against the assessee under Section 153C of the Act, 1961. In a letter dated 01.05.2018, the assessee submitted his response and his income tax return, and the assessed officer received it to his satisfaction. Although no evidence was found against the petitioner, the assessing officer seized a hard disc containing an Excel sheet containing data from the searched person, which included references to the petitioner’s name.
The writ petitioner objected to the actions taken following Section 153C of the Income-Tax Act of 1962, claiming that the requirement that any money, bullion, jewelry, or other valuable item or thing be “belongs or belong to” a person other than the searched child was not met. In response to a writ petition submitted by the petitioner, the Gujarat High Court ruled that Section 153C of the Act of 1961 is a mechanism for determining the assessee’s income who is on search by authorities.
The Assessment Officer was satisfied with the evidence and directed the court to summon an assessee if books of account or documents about him or containing information about him were found during the search. However, the Amendment Act of 2015 went into effect, and petitioners who were not included during the search were now sought to be included because the satisfaction notes and notices under the Income Tax Act of 1961 were issued after the amendment went into effect. The Gujarat High Court’s decision to invalidate the notice under Section 153C of the Income Tax Act 1961 was challenged by the Income Tax Department in the current set of appeals and a Special Leave petition to the Supreme Court.
ISSUES:
The primary issue for the Apex Court to address was whether the Finance Act of 2015’s amendment to Section 153C of the Income Tax Act of 1961 would apply to searches conducted according to Section 132 of the Act of 1961 before 01.06.2015, the amendment’s effective date.
CONTENTIONS:
Appellant’s Contentions:
When arguing against the current appeals, the attorney representing the assesses vehemently asserted that the point of applicability of the existing law in search cases specifically, whether Section 153C of the Income Tax Act, as amended with effect from 01.06.2015 would apply to cases where the search is initiated before that date—was the subject of contention in the current group of appeals. It is further argued on behalf of the respective assessees that the Department’s position—that Section 153C of the Act, 1961 is a procedural and machinery provision—means that the amendment, even though it took effect on June 1, 2015, is retroactive and, as a result, applies to situations in which searches were conducted before the amendment but notices under Section 153C of the Act, 1961 were issued after the amendment.
Respondent Contentions:
The Additional Solicitor General of India appearing for the respondent submitted that the concerned amendment in Section 153C was necessary given the observation made by the Delhi High Court in the case of PepsiCo India Holdings Private Limited v. Assistant Commissioner of Income Tax, wherein the High Court observed that the words “belong or belong to” should not be confused with the words “relates to or refers to,” making the former much narrower than the latter. Due to this, the court determined that the provision could only be used if the documents or other materials “belong” to a third party (other than the searched person).
JUDGEMENT:
Relying on the Delhi High Court in the case PepsiCo India Ltd. vs Assistant Commissioner of Income Tax (2014) had given a restrictive meaning to the words “belong/belongs, the Supreme Court held that Section I53C of the Finance Act of 2015 was amended to replace the words with “pertain/pertains to.” It is incorrect to claim that a document “belongs” to someone simply because copies of it were taken from them because the originals were with someone else.
The Supreme Court further observed that the amendment to Section 153C of the Act, 1961 without the inclusion of incriminating materials in the form of books of account or documents or assets relating to them from the premises of the searched person may not be subjected to the proceedings under Section153C solely on the ground that the search was conducted before the amendment is accepted. The Court must avoid any interpretation that might undermine the law’s or statute’s fundamental goals and purposes. The judgment stated that the amendment to Section 153C of the Income Tax Act would not apply to searches conducted under Section 132 of the Income Tax Act before 01.06.2015, the amendment’s effective date, which is in the revenue’s favor and against the assesses.
Interest was granted to the petitioners in the case of ROSHANBI AZIZ MOTIWALA THROUGH POA MR. ILIYAS AZIZ MOTIWALA AND ORS. Vs THE COMPETENT AUTHORITY AND DEPUTY COLLECTOR AND ORS. Decided on 06-04-2023.
FACTS:
The properties of the petitioners in the present case were acquired by the Competent Authorities. It was contended by the petitioners that the authorities passed an order under section 3(G) of the national highways act dated 15th July 2017 that the compensation awarded to the petitioners according to their building structure will be for an amount of Rs. 1,08,92,995/-. The petitioners contended that the compensation amount which was paid had not been added with the interest on the amount determined by the Competent Authority under the Award from the date of declaration of the Award till the date of payment of the amount of compensation. A similar claim was rejected by the Competent Authority and the petitioners moved to the high court for redressal under Article 226 of the Indian constitution.
APPELLANT’S CONTENTION:
Petitioners claimed they are entitled to interest on the sum given under the Award from the date of the Award until the date of payment. They also claimed that the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation, and Resettlement (Removal of Difficulties) Order dated August 28, 2015, which went into effect on September 1, 2015, provided that the provisions of The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation, and Resettlement Act, 2013 (“the said Act of 2013”) relating to the determination of compensation. They further contended that it was the duty of the competent authority to disperse the compensation amount after passing the reward and the competent authority has failed to do the same. Petitioners also stated the case of Tarsem Singh, in which the apex court held that Sections 23(1-A) and (2) of the Land Acquisitions Act relating to Solatium and interest, as well as Section 28 in which interest is payable this provision will also apply to any acquisition made under the 1956 Act.
RESPONDENTS CONTENTION:
The respondent contended the notice to collect the reward to both the petitioner was issued and the petitioner by their will claimed the award in February/March 2015 and the amount was given to them during that time only. The competent authority also contended that after the award was issued the valuation of the property can’t be done therefore the award concerning structure was not passed. They stated that the supplementary compensation amount was deposited in the petitioner’s account as per the letter issued by NHAI dated 27, September 2017 and the notice for the same was issued on 28th September 2017. They claimed the petitioner is provided with the full compensation of their land therefore they are not liable to pay any interest.
JUDGEMENT:
The Bombay High Court in this case held that the claims made by the competent authority of issuing notices to both the petitioners are not maintainable in the court as there is no proof for the same. There was no material produced in the court to back up the claim. The court also held that the question here is not of providing the actual compensation, but rather providing the interest for the delay of providing the compensation by the competent authority. If there is a delay in the actual payment of compensation amount from the date of respective Awards in Petition, the Petitioners would, in our opinion, be entitled to interest from the date of respective Awards. Award valid till the date of payment. In light of the facts and circumstances of both Writ Petition and for the reasons stated above, it would be necessary to direct the Respondents to pay the Petitioners interest at the rate of 9% per annum from the date of award until the date of actual payment.
THE STATE OF M.P.& ORS. VS. ASHUNA SHIKSHA EVAN VIKAS SAMITY, where the plaintiff established an old age home and the collector in Bhopal was required to cover operational costs but failed to THE SAME.
FACTS:
For the benefit of the impoverished and the needy, the plaintiff founded one old age home, which was in operation until 1992. 90% of the operational costs had to be covered by the State and were paid through the Collector. The institution’s audit had to be done, and that was the responsibility of Madhya Pradesh’s Director/Commissioner of Social Welfare. The Social Welfare Department conducted an audit on 28 February 1993, and on 12 August 1994, the Collector approved the sum of Rs. 3,54,763 that should be paid to the plaintiff institution. The plaintiff was advised by defendant No. 1 that the Collector would be responsible for paying the outstanding balance. Nevertheless, the collector in Bhopal did not pay the sum.
PLAINTIFF’S CONTENTION:
As a result, the plaintiff filed a writ petition before the High Court, which was dismissed with the instruction that, upon the provision of proof, the Collector, Bhopal, decide within six months. The first defendant then expressed several concerns in a letter dated August 16, 1998. As a result, a lawsuit seeking a declaration that the plaintiff is entitled to the sum specified in a letter dated 12-8- 1994 was filed, together with a court fee of Rs. 50.
DEFENDANT’S CONTENTION:
The defendants submitted their written statement and claimed that the plaintiff had operated the senior living facility with major irregularities. When an investigation was carried out by the High Court’s judgment, the old age home was ordered to be closed by order dated January 28, 1994. Hence, it was requested that the lawsuit be dismissed.
JUDGEMENT:
A determination that the Respondent/Plaintiff was entitled to payment of the amount specified in the letter dated 12-8-1994, plus interest, was sought in the lawsuit. In reality, the plaintiff had brought the lawsuit to recover Rs. 3,74,763/- but by using wordplay, he claimed that the letter from 12-8-1994 had been enforced. In actuality, the lawsuit in question involved money. As a result, the plaintiff was required to pay court fees on the sum specified in the letter dated 22-8-1994, or Rs. 3,74,763/-, by Section 7(i) of the Court Fee Act. A stipulated court charge of Rs. 50 was nonetheless paid. As a result, neither the suit’s proper value nor the appropriate court fee was paid.
The Collector, Bhopal had only said that payment of the amount of Rs. 3,74,763/- is under the proposal in the letter dated 12-8-1994, Ex. P. The Collector made no admission of culpability.
Plaintiff’s witness Dr. D.B. Saxena (P.W.1) made an appearance. He has not specified why he appeared as a witness or in what capacity. He has not made it clear whether he holds office at the suing institution. He has ‘t specifically testified as to how the plaintiff was entitled to the sum in question. Moreover, he has not provided any resolution adopted by the Society to file the lawsuit.
This Court, therefore, believes that the plaintiff has failed to establish its entitlement to the sum of Rs. 3,74,763/-.
As a result, the judgment and decree issued by the first additional district judge in Bhopal on April 28, 1999, in Civil Action No. 27-A/1998 are therefore reversed.
The appeal is granted because it is successful. Be drafted up a decree appropriately.
Mr. Katiyar practices as a lawyer in Supreme Court, High Court, and District Courts and has filed cases in Supreme Court, High Court, and District Courts. He has worked with Pragyan Pradeep Sharma Sir and, while working with him, working on a variety of matters, majorly consumer disputes, company disputes, and writs. Has worked with Lloyd and Johnson Advocates and Consultants and worked majorly on shipping law, matrimonial disputes, and other legal aspects.
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Jain & Partners are looking for Patent Associate for their law firm in Delhi.
About the Organization
JAIN & PARTNERS is an IPR & Corporate law consultancy firm. It provides services to domestic companies, start-ups and individuals for their overseas investment and also to foreign companies and individuals for their investment in India in all respects that include Corporate Law, Intellectual Property Law, Foreign Exchange Management Law, Import Export Law and Taxation Law etc. Besides a vibrant and enthusiastic team of young professionals with good academic and practice backgrounds, our team of professionals consists of persons with a diverse and rich experience like Company Secretaries, Chartered Accountants, M.B.As, B.Scs, M.Scs and Lawyers.
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Secularism is embedded in the roots of the Hindustani Soil since Ancient History. Whereas Sanatan Dharma is believed to trace its origin in the Indian Nation, Islam was prevalent in the country by the late 8th century after the invasion of Mohd Bin Qasim.
With building Muslim invasions and the Emerging Delhi Sultanate, Islam became an integral part of Indian Society. The evolution of societies took place with Khalijis, Tughlaqs, Lodhis and Mughals ruling India for over 700 years. The ethnic culture shifts and dictatorial rule of the Muslim Invaders were very prevalent reasons for the spread of Islam in the Country. Where History saw rulers like Akbar and Iltutmish stand up for secularism and give equal respect to all religions, hundreds plundered the temples and disrespected the religion.
Hindus and Muslims, the two majorly populated religions of India have been at continuous trifle and violent upsurge throughout the years. With the British ruling India for over 200 years and implementing their ‘Divide and Rule Policy’, it never got better for the people of both communities. At some point, it was the lawmakers and the cognitive Individuals from the Indian democracy who felt the need to bring in some special laws for the Muslims, to respect their religious practices and avoid the futuristic feuds.
Muslim Personal Law (Shariat) Application Act of 1937[1], is just not another set of laws that enforce legality and order in our system, but also an identity that Muslims have owned for the past 8 decades. The detailed analysis stated below aims to bring out the various sources which have had a major role in shaping Islamic Laws. The sub-topics also feature the detailed History of Islamic Laws in India and their current situation in the Constitution.
History dating to the origin of Islamic Law in Hindustan
Islamic law has a long and rich history in India. The presence of Islam in India can be traced back to the 7th century when Arab traders started visiting the Indian subcontinent. Over time, Islam spread in India, and Muslim rulers established their kingdoms, which had a significant impact on the development of Islamic law in the country. You would have read it in the books of history or seen it in the movies about the laws like jazia, etc. Well, these were the foundations of Islamic Law.
Pre-Mughal Period
Before the arrival of the Mughals, Islamic law in India was largely based on the teachings of the Quran and the Sunnah. Islamic scholars in India studied and interpreted the Quranic principles and developed a legal system that was specific to India. This system was known as Fiqh, and it was based on the Hanafi school of Islamic jurisprudence. During this period, the Indian subcontinent was ruled by various Muslim dynasties, including the Delhi Sultanate and the Bahmani Sultanate. These dynasties had their legal systems, which were based on Islamic principles.
Mughal Period
The Mughal period in India (1526-1858) was significant in the history of Islamic law in India. The Mughal emperors were patrons of Islamic scholarship, and they encouraged the development of Islamic law in the country.
During this period, Islamic scholars in India studied and interpreted the Quranic principles and developed a legal system that was specific to India. This system was known as Fatawa Alamgiri, and it was based on the Hanafi school of Islamic jurisprudence. Fatawa Alamgiri was a compilation of legal opinions on various aspects of Islamic law, including marriage, divorce, inheritance, and succession.
British Period
The arrival of the British in India in the 18th century had a significant impact on Islamic law in the country. The British colonial government introduced secular laws that applied to all citizens, regardless of their religion. However, Muslims in India continued to follow their laws, which were based on Islamic principles.
The British government enacted the Muslim Personal Law (Shariat) Application Act in 1937, which provided for the application of Islamic law to Muslims in India. The act recognized the rights of Muslim women to seek divorce and inherit property under certain conditions.
Post-Independence Period:
After India gained independence in 1947, the Indian government continued to recognize the importance of Islamic law in the lives of Muslims in the country. The Muslim Personal Law (Shariat) Application Act continues to be in force, and Personal Laws continue to govern personal matters for Muslims in India.
In conclusion, the history of Indian Islamic laws is a long and rich one, dating back to the pre-Mughal period. Islamic law in India has been shaped by Islamic scholars over several centuries and is based on the teachings of the Quran and the Sunnah. The Mughal period was significant in the development of Islamic law in India, and the British period had a significant impact on the recognition of Islamic law in the country
Sources of The Islamic Laws Propagated All over the Nation
Islam is a comprehensive religion that guides its followers in every aspect of their lives. The sources of Islamic law, also known as Sharia, are the primary sources from which Muslims derive their religious guidance. The sources of these laws are dated back to the early 7th Century and are credible according to the followers of Islam. The apostles of this Religion have carried through these sources and a lot of them have been incarnated in the Laws that represent them. These sources include the Quran, the Sunnah, Ijma, andQiyas.
The Quran
The Quran is the primary and most important source of Islamic law. It is the holy book of Muslims that contains the teachings and guidance of Allah (SWT). The Quran is the word of God revealed to Prophet Muhammad (PBUH) through the angel Gabriel. It consists of 114 chapters or Surahs, each containing verses or Ayahs that provide guidance and direction to Muslims. The Quran covers a wide range of topics, including theology, ethics, morality, social norms, and legal matters. Muslims believe that the Quran is the final and complete revelation from God to mankind, and it is free from any error or contradiction. Quranic verses that deal with legal matters are known as Ahkam, and they provide the basis for Islamic jurisprudence.
The Sunnah
The Sunnah refers to the sayings, actions, and approvals of Prophet Muhammad (PBUH). It is the second most important source of Islamic law. The Sunnah is recorded in the Hadith, which is a collection of narrations about the life and teachings of Prophet Muhammad (PBUH). The Hadith contains the words of the Prophet (PBUH) as well as his actions and behaviour. Muslims consider the Sunnah to be a practical application of the Quranic teachings, and it provides a detailed explanation of the Quranic injunctions. The Sunnah is considered the primary source of Islamic law after the Quran.
Ijma
Ijma is the consensus of Islamic scholars on a particular issue. It refers to the collective agreement of the Muslim community on a particular matter. Ijma is considered the third most important source of Islamic law. It is based on the principle that the collective wisdom of the Muslim community is superior to that of an individual. Ijma is based on the Hadith that states: “My community will never agree on an error.” Therefore, when the Muslim community agrees on a particular issue, it becomes binding on all Muslims.
Qiyas
Qiyas refers to analogical reasoning in Islamic jurisprudence. It is the process of deducing the ruling on a particular matter based on a similar ruling in another matter. Qiyas is considered the fourth most important source of Islamic law. It is used when the Quran and Sunnah do not provide a direct ruling on a particular issue. Qiyas is based on the Hadith that states: “The likeness of things is the same as the likeness of what resembles it.“
The sources of Islamic law provide guidance and direction to Muslims in every aspect of their lives. The Quran and Sunnah are the primary sources of Islamic law, while Ijma and Qiyas are considered secondary sources. Islamic scholars use these sources to derive rulings on various issues, and they must ensure that these rulings are consistent with the teachings of Islam.
Features of The Indian Islamic Laws – The Unity in Diversity
Islamic law, also known as Sharia, is an integral part of the Indian legal system. Muslims in India are subject to Sharia laws, which govern various aspects of their lives. These laws have been shaped by Islamic scholars over several centuries and are based on the teachings of the Quran and the Sunnah. In this article, we will discuss the features of Indian Islamic laws in detail.
Personal Laws
Islamic laws in India govern personal matters such as marriage, divorce, inheritance, and succession. These laws are known as Personal Laws and apply only to Muslims. Personal laws are based on the Quran and the Sunnah and are enforced by Sharia courts. Muslims in India have the right to opt for Personal Laws over the secular laws of the country, but they cannot opt for both. Section 2 and Section 4 of The Muslim Personal Law (Sharia) Application Act, 1937 deal with the personal Laws of Islamic Natives.
Article 44 of the Indian Constitution[2] provides for a uniform civil code for all citizens, regardless of their religion. However, the Indian government has not yet implemented a uniform civil code, and Personal Laws continue to govern personal matters for Muslims.
Marriage
Marriage is an important aspect of Islamic law, and it is considered a sacred bond between a man and a woman. Islamic law recognizes marriage as a contract between the two parties, and it is subject to certain conditions. The Quran states that marriage should be based on mutual love and respect, and it should be a means of finding peace and tranquillity in life. The age of marriage for girls is fixed at 18 years, and for boys, it is 21 years. Polygamy is allowed in Islam but is subject to certain conditions.
Section 3 of the Muslim Marriages Registration Act 1981[3], governs marriage and divorce for Muslims in India. The act provides for the registration of marriages and divorces and recognizes the right of Muslim women to seek divorce under certain conditions.
Divorce
Divorce is allowed in Islam, but it is considered a last resort. Islamic law recognizes several types of divorce, including Talaq, Khula, and Mubarak. Talaq is the most common type of divorce, and it is initiated by the husband. The Quran prescribes certain conditions for the validity of Talaq, and it also provides for the reconciliation of the parties before the divorce becomes final.
Dissolution of Muslim Marriages Act, 1939[4], provides for the regulation of Talaq, Khula, and Mubarak. The act also recognizes the right of Muslim women to seek divorce under certain conditions, such as cruelty, desertion, and impotence.
Inheritance
Inheritance is governed by Islamic law, and it is based on the Quranic principles of equity and justice. Islamic law recognizes the rights of all heirs, and it provides for the distribution of property according to a fixed formula. The Quranic formula for the distribution of property is based on the concept of shares, and it ensures that each heir receives a fair and just share of the property.
The provisions of the Indian Succession Act 1925[5] provide for the regulation of inheritance for Muslims in India. The act recognizes the rights of all heirs and provides for the distribution of property according to the Quranic formula.
In conclusion, Islamic law plays an important role in the lives of Muslims in India. Personal Laws govern personal matters such as marriage, divorce, inheritance, and succession for Muslims. These laws are based on the Quranic principles of equity and justice and are enforced by Sharia courts.
The Muslim Personal Law (Sharia) Application Act, 1937, provides for the regulation of these matters and recognizes the rights of Muslim women to seek divorce and inherit property under certain conditions.
Befitting Conclusion to the Topic
Islamic Laws have been an integral part of the Indian Constitution since its very inception. The books of history have always shown us, the hostility that has prevailed between the people of the two prominent communities in India and how it has affected the Nation. The Kolkata riots of the 1930s and 1946, The Partition Riots of 1947, The Gujarat Riots of 2004 and many more have routed the Nation even after the existence of special laws for both communities. This can signify that there has been some ambiguity on the side of the public to comprehend these laws. After being drafted by the British, The Muslim Personal Law (Shariat) Application Act, of 1937has been amended time after time to bring out the necessary changes which were required. The abrogation and criminalisation of ‘Triple Talaq’ have been one of those key Legal Amendments that have proved that the Legal authorities stand for Humanity and not for the upliftment of cruel practices of any religion. Despite challenges and controversies, Islamic law continues to be an important part of the legal system in India, and it continues to evolve and adapt to changing social and cultural contexts. Overall, the sources and features of Islamic law in India reflect a complex interplay of history, tradition, and modernity.
In conclusion, this article sheds light on the diverse and complex sources and features of Islamic law in India. A comprehensive overview of the primary sources of Islamic law, their interpretation, and the role of Islamic law in the Indian legal system has been provided. The interplay of tradition and modernity in the evolution of Islamic law in India, which continues to be a significant aspect of the country’s legal system, has been analysed by this Article. All we can hope for is, a legal system that could keep a check on the disparities between the two religious communities and bring out the Unity and Integration, the world has been talking about for centuries now.
Endnotes:
Muslim Personal Law (Shariat) Application Act, 1937, Act No. 26 of 1937 (India)
Constitution of India, art. 44
Muslim Marriages Registration Act, 1981, § 3 (India)
Dissolution of Muslim Marriages Act, 1939, Act No. VIII of 1939 (India)
Indian Succession Act, 1925
This article is authored by Rishaan Gupta, a 1st year Student at National Law University, Delhi.
In Madhyamam Broadcasting v. Union of India & ors, the Supreme Court decided that the State cannot claim complete immunity from the disclosure of materials essentially by asserting the information related to national security. The idea of national security does not enable the principles of natural justice to be suspended, and the Court shall be the appropriate authority to determine whether the request for non-disclosure has a proper and suitable linkage to the claim for national security.
FACTS:
In 2011, the Ministry of Home Affairs granted the appellant Madhyamam Broadcasting Limited (MBL) “MediaOne” security clearance for 10 years of operation. However, within six years, the Ministry of Information and Broadcasting issued a notice to show cause to MBL, ordering the security clearance to be revoked. Furthermore, the respondent refused to renew the license based on national security, but the specific reasons were not disclosed.
To contest the MIB’s order “revoking” Media One’s permission to uplink and downlink the decisions of the Division Bench of the High Court, the appellants brought an action under Article 136 of the Constitution. Based on the information provided to the court in a sealed cover by the Union Ministry of Home Affairs, the High Court of Kerala dismissed the petitions filed by MBL and other respondents, stating that license revocation may be necessary when constitutional considerations are prevalent. Following this, the appellants filed an appeal with India’s Supreme Court.
CONTENTIONS:
Appellant’s Contention
The appellant’s counsel asserted that MIB’s revocation of the permission granted to uplink and downlink the channel, Media One, was unconstitutional. Only the granting of permission to operate a channel and not the renewal of existing permission are subject to the requirement of security clearance. Even if it goes beyond the logical limitations on press freedom outlined in Article 19(2) of the Constitution, it cannot be denied. The restrictions outlined in Article H(2) must be read in conjunction with Section 4(6) of the Republications Act of 1995 and the Cable Television Networks (Regulations) Act of 1995 to determine whether or not security clearance will be granted or denied.
The security clearance was not revoked between 2011 and 2022, but the renewal should have been granted if the show cause notice did not allege any violation of the terms of the agreement. By providing information in a “sealed cover,” the Union of India violated the principles of an open court and party fairness. The respondent only stated that the material was sensitive and that the denial was made in the interests of national security and no reason was disclosed for the reasons for such denial by the respondents.
Respondent’s Arguments
Mr. K. M. Nataraj, Additional Solicitor General, representing each of the respondents, argued that MIB was justified in revoking the permission given to Media One because security clearance is a prerequisite for license renewal. The Centre asserted that judgments in the case Ex-Army Men’s Protection Services Private Limited v. Union of India and Others (2014) and Digi Cable and Network (India) Private Limited v. Union of India and Others (2019) have already established that the natural justice principle shall not be applicable in case of natural security.
ISSUES:
Whether security clearance is one of the conditions required for renewal of permission under the Uplinking and Downlinking Guidelines;
Whether rejecting a license renewal and the decisions made by the Division Bench of the High Court infringed the appellants’ procedural rights under the Constitution.
Whether the order refusing renewal of license was an arbitrary restriction on the appellant’s right to freedom of speech and expression.
JUDGEMENT:
Justices CJI D.Y. ChandraChud and Justice Hima Kohli made up the two-judge panel that delivered the decision. Granting blanket immunity to the reports of all the investigative agencies from disclosure is negating to a transparent and accountable system, and these reports have a deeper impact on decisions affecting the life, liberty, and profession of individuals and entities.
Thus, it is possible to obstruct the release of any investigative reports in any way. Even when national security concerns are used to justify the withholding of information, the courts should still take a less rigorous course of action.
To fairly exclude materials after a successful public interest immunity claim, courts should take the recourse of redacting confidential portions of the sealed cover document and providing a summary of the document’s contents.
The Court continued by saying that it can still examine whether the State’s refusal to disclose has any connection to national security although it is acknowledged that confidentiality and national security are both respectable objectives. Referring to the Pegasus case (ML Sharma v. Union of India), it was stated that the courts would not take a “hands-off” stance simply because national security claims were made.
In the case of “The Chairman & Managing Director City Union Bank Ltd. & Anr. V. R, Chandramohan“, the apex court held that the burden of proving the deficiency in service is on the aggrieved party, and in the present case, the respondent-aggrieved was not able to prove that there was any deficiency in service.
FACTS:
The present appeal was from the order dated 01.02.2007 passed by National Consumer Disputes Redressal Commission, Circuit Bench at Chennai hereinafter “National Commission.” The National Commission confirmed the judgment and order dated 23.12.2004 of the State Consumer Disputes Redressal Commission, Chennai “State Commission.” The facts behind the case are that the respondent here was a complainant against the appellants before the State Commission for a deficiency in service on the side of banks. The respondent is a Managing Director of “D-Cube Constructions (P) Ltd” and has its office in Chennai. Shri R. Thulasiram and Shri R. Murali were the other directors of the same company. An NRI named Ravindra sent two drafts one for 5 lakhs and another one for 3 lakhs INR. On checking out, the respondent found that the drafts have not been credited to his account. Later the respondent came to know that appellant No. 2 was presented and the same was paid to the City Union Bank, Ram Nagar Branch. The respondent requested that appellant No. 2 to re-credit the amount to his account. Respondent found that another account in the name of “D-Cube Construction” is being operated and the drafts were credited into that account. He thereafter filed a complaint in the State Commission and was decided in the favour of the complainant by granting him rupees 8 lakhs along with one lakh as compensation. Being aggrieved by the order of the State Commission, the appeal was filed in the National Commission and was dismissed by the National Commission.
CONTENTIONS:
Appellants:
The counsel for the appellants contended that both the Commissions had erred while giving Judgement and Order in this case as there was no fault or imperfection from the side of the Bank and there was no deficiency in service under section 2(1)(g) of Consumer Protection Act, 1986. He relied on cases “Ravneet Singh Bagga V. KLM Royal Dutch Airlines and Anr. ” and “Branch Manager, Indigo Airlines Kolkata and Anr. V. Kalpana Rani Debbarma and Ors” that the complaint was not even maintainable before the State Commission and the respondent had failed to prove any deficiency in service on the part of the appellants. He also contended that drafts were issued in the name of “D-Cube Construction” only.
Respondent:
The counsel for the respondent contended that two forums had consistently held the appellants liable for the deficiency in service. He further added that the banks are vicariously liable for the actions of their employees. He further relied on the cases “Kerala State Cooperative Marketing Federation V. State Bank of India and Ors.” and “Indian Overseas Bank V. Industrial Chain Concern.”
JUDGEMENT:
In the current case, the main issue was that was there any deficiency in service as required by the provisions of the Consumer Protection Act, 1986 and in answer to this question the Court held that there was any willful neglect in deficiency in service or imperfection or shortcoming. The Court relied on the appellants’ case of Bagga. The court said that since some disputes were among the director, therefore, the bank cannot hold them liable if they acted bona fide and followed the due procedure. The Court further added that the burden to prove is on the aggrieved party and here the respondent was unable to prove that there was any deficiency in service on the part of the bank. Hence the order of the National Commission and State Commission was set aside.
Yellow Wire Consulting is looking for professionals with CS + LL.B. qualifications in Delhi. The candidate should have 7–10 years of experience.
About the Organization
YELLOW WIRE CONSULTING (YWC) derives its inspiration from the concept of “Yellow Wire,” which provides a protective path for a successful circuit’s electric current. Likewise, YWC offers to provide strategic advice and support services exclusively to legal organizations that enable them to achieve their business goals. With a cumulative team experience of more than two decades in the Indian legal industry, we have assisted our clients in developing performing teams, high-quality leadership and building organizational development strategies to achieve business objectives.
Roles and Responsibilities
Knowledge of general corporate laws, including the Companies Act, 2013; Foreign Exchange Management Act, 1999; Competition Act, 2002, Indian Contracts Act, 1872, Societies Act, FCRA, etc
Knowledge of laws, including Securities Exchange Board of India (SEBI) laws, Reserve Bank of India (RBI) regulations, Industrial and Labour Law(s)
Good drafting skills and ability to independently formulate opinions
Experience in conducting due diligence, audits, and drafting agreements
Experience in handling matters under I & B Code 2016
Experience in representing clients in negotiation meetings, etc.
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Panda Law is a full-service law firm. Our practice encompasses the full gamut of commercial laws including transaction advisory, intellectual property, technology law advisory, regulatory and licensing, litigation and alternate dispute resolution. Panda Law has offices in New Delhi, Noida and Guwahati.
Internship Period
April, May, and June
Area of Practice
IP Prosecution and Litigation team in Delhi.
Requirements
Knowledge and interest in IP laws would be preferred.
Must have fluency in English.
The candidate, if selected, will have to start work from July 2023 with a probation period of three (3) months after such selection.
The candidate must be comfortable staying in Delhi-NCR. Our office is in Noida.
Disclaimer: All information posted by us on Lexpeeps is true to our knowledge. But still, it is suggested that you check and confirm things on your level.
For regular updates on more opportunities, we can catch up at-
