Arbitration Clause In Articles Of Association Operates Independently Of Companies Act: Calcutta High Court

On Monday, 28 September, the Calcutta High Court held that an arbitration clause contained in a company's Articles of Association operates as an independent agreement and does not make disputes covered by the clause subject exclusively to the jurisdiction of the National Company Law Tribunal (NCLT). A Division Bench comprising Justices Sabyasachi Bhattacharyya and Sandip Kumar De made the observation while allowing an appeal filed by Ambica Beri against the District Judge's refusal to grant...

Supreme Court Stays NCLAT Order Reviving IL&FS Plea Over ₹1,080 Crore SREI Group Linked Transactions

The Supreme Court on Monday stayed the operation of the National Company Law Appellate Tribunal (NCLAT) order reviving Infrastructure Leasing & Financial Services Ltd. (IL&FS)'s plea seeking to unwind six alleged circuitous lending transactions worth ₹1,080 crore involving SREI Infrastructure Finance Limited (SIFL) group entities.The case arose from six lending transactions worth ₹1,080 crore undertaken between March 2017 and March 2018, which IL&FS alleged were structured to...

Karnataka High Court Upholds Award Rejecting ₹1.37 Crore Contractor Claim In Mysuru Zoo Park Project

The Karnataka High Court on 23 September dismissed contractor C. C. Kondaiah's appeal against the Commercial Court's decision not to interfere with an arbitral award rejecting his claims for additional expenditure, price escalation and idling costs against the Mysore City Corporation. A Division Bench of Justices Anu Sivaraman and T.P. Vivekananda reiterated that an appellate court cannot reappreciate evidence or substitute the reasoning of an arbitral tribunal while exercising jurisdiction...

Centre Can Use Power Under Patents Act To Make Exorbitantly Priced Drugs Affordable: Kerala High Court

The Kerala High Court on Monday held that Section 100 of the Patents Act permits the Central Government to use a patent to manufacture a medicine and sell it to a needy patient on a non-commercial basis. It further held that the provision is required to be invoked where a patented medicine is being sold at an exorbitant price.“The provisions of Section 100 impose no restriction on who the purchaser could be,” Justice Harisankar V. Menon held. “When that be so, the provisions under Section 100...

Bank's Lack Of Consent No Bar To Arbitrator Appointment Under SARFAESI: Delhi High Court

The Delhi High Court on 25 September held that a bank's lack of consent does not bar appointment of an arbitrator where an inter-se dispute between banks falls within the statutory arbitration mechanism under the SARFAESI Act. Justice Om Prakash Shukla appointed Advocate Mohit Kumar Mudgal as sole arbitrator to adjudicate Indian Bank's dispute with Bank of Baroda and others over competing claims of priority and charge over certain mortgaged properties. The Bench observed: “The absence of...

Supreme Court Questions If GST Authorities Can Decide What Material Seized From Advocate's Office Is Privileged

The Supreme Court on Monday questioned whether GST authorities investigating a case could themselves decide which material seized from an advocate was protected by advocate-client privilege while hearing a plea by advocate Puneet Batra challenging the search of his office and seizure of his computer and documents. A Division Bench of Justices Dipankar Datta and Sheel Nagu raised the question during the hearing after Additional Solicitor General S.V. Raju, appearing for the Union government,...

BREAKING | Supreme Court Refuses To Stay Charges On UPI Merchant Transactions Above ₹2,000

The Supreme Court on Monday refused to stay the Centre's decision to impose a 0.4% Merchant Discount Rate (MDR) on specified UPI merchant transactions above ₹2,000, while seeking the Union government's response to a challenge against the proposed charges. A Bench of Chief Justice Surya Kant and Justices Joymalya Bagchi and V. Mohana said it needed the relevant facts on affidavit. “We need these facts on affidavit. It's more of a technical issue,” the court ordered.The court also issued...

Delhi High Court Issues Notice To Riju Ravindran On Byju's Alpha Plea To Enforce $840K DIFC Courts Order

The Delhi High Court on Friday sought a response from Riju Ravindran, co-founder of Byju's parent Think & Learn Pvt Ltd, on an execution petition filed by Byju's Alpha Inc., a Delaware-incorporated company and Think & Learn group company. Byju's Alpha is seeking enforcement of a Dubai International Financial Centre (DIFC) Courts order directing Ravindran to pay USD 8,40,000 towards costs. Justice Manoj Jain was hearing the execution petition filed by Byju's Alpha against Ravindran...

GST Authorities Arrest Man Who Appeared On Court's Direction: Punjab & Haryana HC Orders Immediate Release

The Punjab & Haryana High Court has ordered the immediate release of a man arrested by GST authorities after he appeared before them pursuant to the court's direction to cooperate with the investigation.A Bench of Chief Justice Ashwani Kumar Mishra and Justice Rohit Kapoor observed that Goyal had appeared before the authorities with the documents sought by them. The matter was already pending before the court and was listed for September 29, when the authorities were expected to report on...

Kerala High Court Issues Notice To SEBI On Plea Alleging Financial Irregularities Against Kitex Group

The Kerala High Court on Saturday issued notice to the Securities and Exchange Board of India (SEBI) on a petition by a Kitex Garments Limited shareholder seeking consideration of his complaint alleging irregularities in the company's financial and related-party transactions.The court also issued notice to Kitex Garments Limited (KGL) and Kitex Childrenswear Limited (KCL), which have been named as respondents in the petition.Justice Bechu Kurian Thomas issued the notice. SEBI's counsel sought...

Delhi High Court Restrains Doora Express Services' Former General Manager From Using 'DURA' Mark

The Delhi High Court has restrained a former General Manager and his logistics company from using “DURA” for logistics and transportation services. The court found prima facie merit in Doora Express Services' claim that the mark is similar to its registered “DOORA” trademarks.Justice A.J. Bhambhani passed the order in a suit filed by Doora Express Services against Dura Logistics India and its director.Doora Express Services is the registered proprietor of the trademarks "DOORA," "DOORA EXPRESS...

CGST Act Permits Tax Liability To Be Determined After Death Of Person: Delhi High Court

The Delhi High Court has held that the Central Goods and Services Tax (CGST) Act permits tax, interest, or penalty liability to be determined even after the death of the person against whom the underlying liability arises.The Division Bench of Justices Anil Kshetarpal and Vimal Kumar Yadav held that Section 93 of the CGST Act does not require adjudicatory proceedings to have commenced during the lifetime of the deceased for liability to be determined after his death.“The provision preserves...