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Income Tax Act | Supreme Court Delivers Split Verdict On Timelimit For Assessments Under S.144C
The Supreme Court on Friday (Aug. 8) delivered a split verdict on the interpretation of the limitation period under Section 144C of the Income Tax Act, 1961 (“Act”), governing the timeline for passing assessment orders by the Assessing Officer in cases involving eligible assessees, such as foreign companies and transfer pricing matters.The judgment was delivered by the bench of Justices BV Nagarathna and SC Sharma.In a split verdict, Justice BV Nagarathna ruled that Section 153(3)'s...
'HC Interfered Prematurely' : Supreme Court On Delhi HC Deferring PMLA Charge Hearing Against Karti Chidambaram MP
The Supreme Court today issued notice on Enforcement Directorate's plea against a Delhi High Court order which deferred arguments on charge against Congress MP Karti Chidambaram in the PMLA proceedings related to Chinese visa and Aircel Maxis cases.A bench of Justices Surya Kant and Joymalya Bagchi passed the order, after hearing Additional Solicitor General SV Raju (for ED), who questioned why PMLA trial should await framing of charges in the predicate offense.At first, Justice Kant expressed...
Supreme Court Orders Release Of Rs.1 Crore Deposited By Lok Sabha MP Karti P Chidambaram As Pre-Condition For Foreign Travel
The Supreme Court today ordered release of Rs.1 crore amount deposited by Lok Sabha MP Karti P Chidambaram with the Court's Secretary General as a pre-condition for foreign travel in 2022.A bench of Justices Surya Kant, Ujjal Bhuyan and N Kotiswar Singh passed the order, noting that pursuant to the 2022 order, Chidambaram travelled abroad and deposited his passport with the Investigating Officer after coming back to India."Miscellaneous application is allowed and amount of Rs.1 crore...
PMLA Review Hearing : Live Updates From Supreme Court
The Supreme Court is hearing the review petitions filed against the 2022 judgment in the Vijay Madanlal Choudhary case which upheld the various provisions of the Prevention of Money Laundering Act (PMLA) relating to arrest, search & seizure, reverse burden of proof, non-supply of ECIR copy etc.A bench comprising Justice Surya Kant, Justice Ujjal Bhuyan and Justice NK Singh has decided to hear the preliminary objections raised by the Enforcement Directorate and the Union to the...
Mere Pendency Of Criminal Cases Alleging Simple Fraud No Bar To Arbitration : Supreme Court
The Supreme Court has allowed the arbitration proceedings to continue in multi-crore Bihar Public Distribution System (“PDS”) Scam, stating that mere pendency of the criminal proceedings in offences involving simple fraud like cheating, criminal breach of trust doesn't bar a dispute from being referred to an arbitration. “The mere fact that criminal proceedings can or have been instituted in respect of the same incident(s) would not per se lead to the conclusion that the dispute which is...
IBC Moratorium Doesn't Bar Voluntary Surrender Of Corporate Debtor's Leased Property To Lessor: Supreme Court
The Supreme Court on Tuesday (August 5) held that the moratorium under the Insolvency and Bankruptcy Code, 2016 (IBC), does not bar the voluntary handover of property leased by the corporate debtor to the lessors if retaining the asset is deemed unviable and the Committee of Creditors (“CoC”) endorses the decision. A bench comprising Justices Sanjay Kumar and S.C. Sharma set aside the NCLAT's ruling, which had barred the recovery of the leased property during the moratorium, observing that the...
Let GST Council Look Into Tracking Of GST Paid On Foreign OIDAR Services : Supreme Court
The Supreme Court recently disposed of a public interest litigation seeking directions for setting up a mechanism to track services provided by foreign entities in India under the Goods and Services Tax (GST) regime. A bench of Justice BV Nagarathna and Justice KV Viswanathan passed the order after briefly hearing Advocate Charu Mathur, who appeared for the petitioner.During the hearing, Advocate Mathur submitted, “If Facebook provides some services or OpenAI provides some services, there is no...
S. 18(5) MSMED Act | Supreme Court To Examine Whether Time Limit For Deciding Reference By Facilitation Council Is Mandatory
The Supreme Court has agreed to examine the issue of whether the 90-day time limit prescribed under Section 18(5) of the MSMED Act for resolving disputes by the Micro and Small Enterprises Facilitation Council (“Council”) is mandatory or merely directory. The bench comprising Justices Sanjay Kumar and SC Sharma issued a notice in a plea filed by one M/s Vast India Pvt. Ltd. challenging Bombay High Court's Division Bench's order which quashed the award passed by the Council in its favour stating...
Supreme Court Asks Ex-Chhattisgarh CM Bhupesh Baghel, Son To Approach High Court For Interim Reliefs In Liquor 'Scam' & Other Cases
The Supreme Court on Monday (August 4) asked former Chhattisgarh Chief Minister Bhupesh Baghel and his son Chaitanya Baghel to approach the Chhattisgarh High Court for interim reliefs in the Coal 'scam' cases, Liquor 'scam' cases, Mahadev betting app cases, Rice milling cases and DMF 'scam' cases lodged by the Enforcement Directorate, CBI and State Police.Briefly put, Chaitanya Baghel (who was arrested 2 weeks ago) questioned the necessity of his arrest and sought interim bail in the ED case...
MSME Framework Not A Shield Against SARFAESI Proceedings Unless Proactively Invoked : Supreme Court Clarifies 'Pro Knits' Judgment
The Supreme Court recently held that secured creditors and banks are not obligated to identify "incipient stress" in the accounts of MSMEs prior to classifying them as Non-Performing Assets (NPAs), unless the MSME borrower has explicitly invoked the 2015 RBI Framework for revival and rehabilitation. The Court clarified that MSMEs cannot belatedly rely on the Framework during the course of SARFAESI proceedings initiated by lenders following a default. Instead, it is incumbent upon the MSME to...
Supreme Court To First Hear ED's Objections To Maintainability Of Review Petitions Against Judgment Upholding PMLA Provisions
The Supreme Court on Thursday (July 3) observed that it will first hear the issue of maintainability of the review petitions filed against the Vijay Madanlal Choudhary judgement, which upheld various provisions of the Prevention of Money Laundering Act (PMLA), before going into other issues raised by the petitioners.Clarifying the above, a bench of Justices Surya Kant, Ujjal Bhuyan and N Kotiswar Singh posted the review petitions for hearing on August 6.During the brief hearing today,...