Why Madras High Court Refused To Order Probe Into Tamil Nadu CM's Financial Disclosures In Election Affidavit?

The Madras High Court has recently refused to direct the Income Tax Department to investigate the financial disclosures made by Tamil Nadu Chief Minister and Tamilaga Vettri Kazhagam chief C. Joseph Vijay in his election affidavit. It held that disputes over such disclosures can only be adjudicated through an election petition and not in writ proceedings. A Division Bench of Chief Justice Sushrut Arvind Dharmadhikari and Justice G. Arul Murugan dismissed a writ petition seeking directions to...

Madras High Court Allows Telecom Contractor To Bid In Fresh BSNL Tender Pending Arbitration

The Madras High Court has granted interim relief to Universal Tele Services by allowing it to submit a bid in a fresh Bharat Sanchar Nigam Limited (BSNL) tender for telecom operations. The dispute over the termination of its contracts will meanwhile be decided through arbitration. The court directed that BSNL should process the bid only after the arbitrator passes orders. Justice K. Kumaresh Babu passed the order. The court also clarified an earlier order appointing former High Court judge...

Mere Registration Of FIR In Scheduled Offence Does Not Require ED To Register PMLA Case: Madras High Court

The Madras High Court has refused to direct the Directorate of Enforcement (ED) to initiate proceedings under the Prevention of Money Laundering Act (PMLA) merely because a criminal case involving a scheduled offence has been registered. A Division Bench comprising Chief Justice Sushrut Arvind Dharmadhikari and Justice G. Arul Murugan held that the decision to register an Enforcement Case Information Report (ECIR) rests with the authorised officer. The decision must be based on the material...

Madras High Court Stays Release Of Dileep-Starrer 'Neekkam' Over Financial Dispute

The Madras High Court has restrained the release, distribution, and exhibition of the Malayalam film 'Neekkam', starring Dileep and directed by Jagan Shaji Kailas. The temporary order came on a plea filed by A.V. Anoop, proprietor of AVA Productions, who claimed a contractual charge over the film after alleging that its producer had failed to repay advances extended under earlier production agreements.Justice K. Kumaresh Babu granted ad-interim protection to AVA Productions. The court also...

NCLAT Appeal Not A Bar On Swiss Challenge Auction By Bank: Madras High Court

The Madras High Court on 22 June held that the pendency of an appeal before the NCLAT does not, by itself, bar a bank from proceeding with the transfer of loan exposure or auction of secured assets through the Swiss Challenge Method, reiterating that courts will not ordinarily interfere in commercial banking decisions unless they are shown to be arbitrary or illegal. A Division Bench comprising Chief Justice Sushrut Arvind Dharmadhikari and Justice G. Arul Murugan dismissed a plea challenging...

GST Proceedings Maintainable Against Heirs Even Without Action During Taxpayer's Lifetime: Madras HC

The Madurai Bench of the Madras High Court on 16 June held that Section 93 of the Central Goods and Services Tax Act, 2017 permits GST authorities to initiate proceedings against the legal heirs of a deceased taxpayer even if no proceedings were initiated during the taxpayer's lifetime. Justice D. Bharatha Chakravarthy dismissed a writ petition filed by V. Damayanti, wife of the late V. Vasudevan, proprietor of Vasu Chemicals, challenging proceedings initiated after Vasudevan's death. He held:...

Madras High Court Declines Interim Relief To Hospital In 'RIO' Trademark Row With Diagnostic Centre

The Madurai bench of the Madras High court has dismissed an appeal filed by Rio Children's Hospital against the refusal of an interim injunction restraining Tirunelveli-based Rio Scans and Labs from using the mark "RIO". The court held that the parties' rival claims over the trade name could be decided only after a full-fledged trial. Justice P. Vadamalai upheld a September 2024 order of the Principal District Judge, Madurai. The order had declined interim relief sought by the hospital in a...

Madras HC Upholds Solatium, Interest But Quashes 12% Additional Compensation In NH-47 Land Acquisition Case

The Madras High Court has recently set aside a Tiruppur district court's direction granting landowners an additional 12% compensation in a batch of land acquisition disputes arising from the six-laning of the Chengapalli-Walayar stretch of National Highway-47. A Division Bench of Justices P. Velmurugan and K. Govindarajan Thilakavadi held that landowners are entitled to solatium and interest in acquisitions under the National Highways Act. However, they cannot claim the additional 12% amount...

Madras High Court Upholds GST Proceedings Over Mismatch Between Seigniorage Fees and Reported Turnover

The Madras High Court has upheld GST proceedings against a quarry operator. It held that a mismatch between seigniorage fees paid for mineral extraction and the value of outward supplies reported in GST returns was sufficient to justify the tax department's prima facie view that turnover had been suppressed. Justice C. Saravanan dismissed writ petitions filed by KPR Enterprises for the 2018-19, 2019-20 and 2020-21 tax periods. "Since the petitioner has paid a huge amount for the seigniorage...

Madras High Court Upholds Closure Of Contempt Case After Arbitration Proceedings Were Allowed To Lapse

The Madras High Court has dismissed an appeal against the closure of a contempt petition alleging that a property was sold in violation of an interim injunction obtained under the Arbitration and Conciliation Act, 1996. A division bench of Justices Anita Sumanth and Sunder Mohan noted that while arbitral proceedings had continued until 2018, the appellant had taken no steps thereafter to revive them. In those circumstances, the Bench found no reason to interfere with the order closing the...

Cash Loan Given In Breach Of Income Tax Act Can Still Be Recovered: Madras High Court

The Madras High Court at Madurai has held that a cash loan advanced in breach of the Income Tax Act does not become illegal merely for that reason, and the lender can still seek recovery of the money. A bench of Justice G.R. Swaminathan and Justice R. Poornima was dealing with a case in which P. Palanikumar claimed to have lent ₹25 lakh in cash instead of through an instrument as contemplated under Section 269SS of the Income Tax Act. The bench held that while the Income Tax Department was...

Madras High Court Upholds Release Of Vikram-Starrer Dhruva Natchathiram, Dismisses Financiers' Appeals

The Madras High Court has recently upheld an order permitting the release of filmmaker Gautham Vasudev Menon's long-delayed Tamil spy thriller 'Dhruva Natchathiram'. The court held that a judicially supervised mechanism governing the film's revenues strikes a workable balance between enabling its release and protecting competing claims over its proceeds. A Division Bench of Justices P. Velmurugan and K. Govindarajan Thilakavadi dismissed appeals filed by film financiers K. Prem Kumar and K....