Legal Reference Library

“Reasonable cause” for the purpose of application of Section 271C in the backdrop of Section 273B has been explained by the Hon’ble Delhi High Court in the case of Woodward Governors India (P) Ltd. Vs. CIT (2002) 253 ITR 0745 to mean a probable cause, an honest belief founded on reasonable grounds, of the existence of a state of circumstances, which assuming them to be true, would reasonably lead any ordinarily prudent and cautious man, placed in the position of the person concerned to come to the conclusion that same was the right thing to do. The cause should not be found to be frivolous, without substance or foundation.

Indu Lata Rangwala vs. DCIT Whereas in a case where the initial assessment order is under Section 143 (3), and it is sought to be reopened within four years from the expiry of the relevant assessment year, the AO has to base his ‘reasons to believe’ that income has escaped assessment on some fresh tangible material that provides the nexus or link to the formation of such belief. In a case where the initial return is processed under Section 143 (1) of the Act and intimation is sent to the Assessee, the reopening of such assessment no doubt requires the AO to form reasons to believe that income has escaped assessment, but such reasons do not require any fresh tangible material

Lahoti Overseas Ltd vs. DCIT In every case of delay, there can be some lapses on the part of the litigant concern. That alone is not enough to turn down the plea and to shut the doors against him, unless and until, it makes a mala-fide or a dilatory statutory, the court must show utmost consideration to such litigant. In matters concerning the filing of appeals, in exercise of the statutory right, a refusal to condone the delay can result in a meritorious matter being thrown out at the threshold, which may lead to miscarriage of justice. Since the employee who was earlier handling the tax matters of the assessee company, while leaving the job of the assessee company, did not handover the relevant papers either to the assessee or to the next person, a fact which caused the delay, the delay was liable to be condoned by taking a lenient view. Article referred: http://itatonline.org/archives/2016/05/page/2/

Arvind Asmal Mehta vs. ITO The purchase of shares in the immediately preceding year was accepted by the Department in an order u/s 147 r.w.s 143(3) of the Act. The shares were evidenced by entries in the demat statement and consideration was received through banking channel. There was no clinching material to say that the impugned transaction was bogus. Also, the statement recorded during the search on M/s Alliance Intermediaries & Network Pvt. Ltd. does not contain any infirmity qua the impugned transaction. Therefore, the addition as income from undisclosed income was liable to be deleted. Article referred: http://itatonline.org/archives/2016/05/page/2/

For allowing / disallowing any expenditure under Section 37 of the Act, the basic thing to be seen as to whether the expenditure was incurred for furtherance of business interest of the Assessee or not. It is a fact that in this case because of the expenditure incurred no new assets came into existence. The expenditure was incurred considering the old relation with the supplier and to avoid future business complications. If an assessee makes payment which is compensatory nature, it has to be allowed. In this case, the payment was made in pursuance of an agreement and that was of compensatory nature i.e.it was not penal, hence it was to be allowed Article referred: http://itatonline.org/archives/2016/05/

In Vohra Sadikbhai Rajakbhai & Ors. Vs. State of Gujarat & Ors., the matter came up before the Hon'ble Supreme Court whether gross negligence in not maintaining particular level of water in the dam by the respondents; that has resulted into damage and destruction to the plantation of the appellants, causing loss of livelihood, could be said to be an 'Act of God'?" It so happened that the respondents had constructed and maintained a dam. 60,000 cusecs of water from this dam was released, which flooded the land of the appellants and destroyed the plantation therein. The Hon'ble court while accepting the State's argument that the water was released in public interest to avert a greater disaster as the excessively heavy rain which is an Act of God had increased water level in the dam to a dangerous level, found merit in the Appellant's argument that not keeping the level of the water low in preparation of rainy season was negligence.

Larsen & Toubro Limited vs. UOI No officer is acting independently and following judgments of this Court, but waiting for the superiors to give them a nod. Even the superiors are reluctant given the status of the assessee and the quantum of the demand or the refund claim. We are sure that some day we would be required to step in and order action against such officers who refuse to comply with the Court judgments and which are binding on them as they fear drastic consequences or unless their superiors have given them the green signal. If there is such reluctance, then, we do not find any enthusiasm much less encouragement for business entities to do business in India or with Indian business entitles. Such negative reactions / responses hurt eventually the National pride and image. It is time that the officers inculcate in them a habit of following and implementing judicial orders which bind them and unmindful of the response of their superiors. That would generate the right suppor...

The Gujarat High Court, observing that there is no fundamental right to consume intoxicants, has upheld the Resolution by Home Department of the state by which it had prohibited and discontinued the supply of Poppy Capsules by Government authorities. Justice N.V. Anjaria also observed that the ban amounts to redemption of the Directive Principles of State Policy under Article 47 of the Constitution. Six persons, claiming to be regular users of poppy capsules, had approached the High Court challenging the ban by the Government. According to them, it violated their fundamental right under Article 21 of the Constitution of India. BAN TO IMPROVE PUBLIC HEALTH Rejecting their contention, the court observed: “Article 47 which is Directive Principle of State Policy, enjoins a duty on the State to raise the level of nutrition and the standard of living and to improve public health. It is a constitutional mandate that all policy decisions and actions by the State has to be guided and beckoned b...

In a significant judgment, the Supreme Court in Devinder Singh & Ors vs. State of Punjab through CBI, has summarized the principles governing requirement of sanction to prosecute Government servants and held that the offence committed by the Government servants must be directly and reasonably connected with official duty to require sanction. The Court also observed that Protection of sanction, which is an assurance to an honest and sincere officer to perform his duty honestly and to the best of his ability to further public duty, cannot be camouflaged by them to commit crime. Justices V. Gopala Gowda and Arun Misra made the following observations in an appeal by some police officers accused of fake encounter in Punjab. The question before the Apex Court was whether in view of the provisions contained in section 6 of Punjab Disturbed Areas Act, 1983 the prosecution or other legal proceedings relating to Police officers can be instituted without prior sanction of the Central Govern...

(i) The Assessee which was initially incorporated on 1st January, 1999 merged with M/s B. S. Infratech Pvt. Ltd. with effect from 1st April, 2008 by the order of the Court. A search took place on 20th October, 2008 in the cases of Mr B. K. Dhingra, Smt. Poonam Dhingra and M/s Madhusudan Buildcon Pvt. Ltd. On the basis that in the course of search certain documents belonging to the Assessee company were found, notice was issued to the Assessee under Section 153C (1) on 10th September, 2010. Therefore, not only on the date on which notice was issued but even on the date of the search, the Assessee had ceased to exist in the eyes of law. (ii) In identical circumstances, in cases arising out of the same search, this Court has by its order dated 19th August, 2015 in the Revenue’s appeals ITA Nos.582, 584, 431, 533, 432 & 433 of 2015 (Pr. Commissioner of Income Tax (Central-II) v. Images Credit And Portfolio Pvt. Ltd.) and order dated 29th September, 2015 in ITA Nos.745, 746,748, 749 a...

In a recent Case, Gujarat High Court has held that admission and acceptance of bribe is sine qua non for constituting offence under the Prevention of Corruption Act. The Court was hearing an Appeal filed by accused, Assistant Registrar in the office of the Registrar of Companies who was convicted by the Special Judge and was awarded sentence of one year simple imprisonment with a fine of Rs 2000/- and in default of payment of the fine, to undergo further simple imprisonment of 3 months for committing offence under section 7 of the Prevention of Corruption Act, 1988 with further sentence under section 13(2) of the Act for two years rigorous imprisonment and a fine of Rs 4000/- and in default of payment of such fine to undergo simple imprisonment for three months. Setting aside the conviction Justice S.G.Shah has held as follows; “in such cases for confirming conviction, all 3 actions are must and shall be proved by prosecution beyond reasonable doubt viz; (i) Prior demand (ii) Demand at...

Holding that tax orders are not meant to "add to difficulties" of taxpayers, the Delhi High Court has ruled that the IT department should not "deny" refund to an assessee whose case is being processed under scrutiny and the Assessing Officer will have "discretion" to take a final call on the issue. A bench of Justices S Muralidhar and Vibhu Bakhru, on May 11, ordered that a January, 2015 instruction issued by the policy-making body of the tax department--the Central Board of Direct Taxes-- in this regard is "unsustainable in law and it is hereby quashed." The court observed that the said instruction issued by the CBDT curtailed the "discretion of the AO by 'preventing' him from processing the return, where notice has been issued to the Assessee under Section 143(2) of the Act (Income Tax Act)." Section 143 (2) pertains to the procedure of scrutiny where the IT department calls for additional documents and details before fina...

Delhi High Court while reversing the acquittal of an Accused for an Offence U/S 354 of Indian Penal Code has held that there is no legal impediment in convicting a person on the sole testimony of a single witness. “That is the logic of Section 134 of the Evidence Act, 1872. But if there are doubts about the testimony, the courts will insist on corroboration. In fact, it is not the number, the quantity, but the quality that is material. The time-honoured principle is that evidence has to be weighed and not counted. The test is whether the evidence has a ring of truth, is cogent, credible and trustworthy or otherwise”.  Justice Sunita Gupta was hearing an appeal filed by the State against acquittal of Accused Pratap Singh @Krishna by  Metropolitan Magistrate (Mahila Court), South-East District, Saket Courts. Facts The complainant “X‟ had gone to gym where accused was an instructor. After 10.30 am, when all the girls from the gym had left, the respondent /accused came to her and ...

The Enforcement Directorate (ED) cannot act as "super investigator" and not share records with the court, Delhi High Court today observed while hearing pleas filed by Himachal Pradesh Chief Minister Virbhadra Singh and others in connection with a money laundering case. "If you do not want to share anything with the court then there is something amiss. You cannot act as if you are a super investigator. I will issue notice and you can file reply to all issues raised in the plea. "I will satisfy my conscious to the hilt. It is reluctance when you advance procedural arguments," Justice Manmohan said after which ED said it would place the records before the court. "When will you bring it?" the court asked, to which the department said records would be placed before it in a week and the judge, thereafter, listed the matter for further hearing on May 31. The court was hearing arguments on the pleas filed by Virbhadra and others in which they have sough...

Supreme Court, in Pawan Kumar Pathak vs. Mohan Prasad has reiterated that an adopted son is no less than a natural son, when it comes to claiming the right to inherit the properties of his father. Division Bench comprising of Justices A.K. Sikri and R.K. Agrawal made this observation in an appeal arising out of a suit filed by an adopted son claiming his right to inherit properties which belonged to his father, who died intestate. Another relative contested the suit claiming that the appellant is not the son and hence the latter filed an application to bring on record adoption deed registered around forty years ago. The Trial court dismissed the application holding it as an inadmissible evidence and the High Court also refused to interfere with that order. Thereafter the adopted son approached the Apex Court. The Court referred to Section 3(57) of the General Clauses Act, 1897 which says that “‘son’ in the case of any one whose personal law permits adoption, shall include an adopted so...

In a landmark verdict, the High Court of Punjab and Haryana last week ruled that the family of a terminally ill patient, who stops treatment against medical advice, cannot be denied insurance claim on that ground. Upholding the payment of Rs. 35.46 lakh in damages, Justice K. Kannan observed, “There have been instances where due to religious beliefs (for instance, Jehovah’s witnesses’ denial of blood transfusion), patients have declined to take treatment and courts have confronted these problems as well and come to decisions of hands off approach. That is precisely what has been also recorded in the discharge summary that the patient was getting discharged at his own risk and has assured that he will have no right of recourse against the doctor from the hospital. The undertaking will thus go far and no further. It will not exculpate a tort feasor or a person who is bound to indemnify to make possible a plea that the patient ought to have taken treatment. A right not to get treated is j...

In a blow to the booming software industry, a Chennai court has quashed the dismissal of a software engineer and ordered HCL to reinstate him with full salary, back wages and seniority on the ground that software engineers are workmen enjoying statutory protections. "It cannot be denied that the job of an engineer in a software company involves skills and technical knowledge. Therefore, it can be easily concluded that the job of a software engineer can be termed as skilled or technical one," said first additional labour court presiding officer S Nambirajan. The case relates to an application filled by K Ramesha, who worked as a senior service programmer for HCL Technologies Limited. He had been on probation for a year and his service was confirmed on February 26, 2010. His salary was received, and he was also given certificate of appreciation in the following years. Rejecting the company's objections, the judge said the software engineer was indeed a workman. Acco...

Calcutta High Court has recently held that a person is not entitled to back wages for the period during which he was out of service due to dismissal from service by reason of his conviction under Section 498A of the Indian Penal Code and subsequent reinstatement in service upon his acquittal by the Appellate Court. In this Case the Petitioner was an employee of Food Corporation of India. FCI had dismissed him from Service on his conviction U/S 498A IPC, invoking the provision of Regulation 63(1) of the Food Corporation of India (Staff) Regulations, 1971. Subsequently, petitioner was found not guilty of the charge under Section 498A of the IPC by the Appellate Court. By an order dated 14 January, 2013, the petitioner was reinstated in service. It was stated in the said order that the period of the petitioner’s absence in service from the date of dismissal till the date of reinstatement will be treated as non-duty for all purposes and for that period he will not be entitled to any back w...

Supreme Court in UDDAR GAGAN PROPERIES LTD. VS. SANT SINGH has made some pertinent observations about Land acquisition by the State and private builder benefitting in the process. The Bench comprising of Justices Anil R. Dave and Adarsh Kumar Goel observed that land acquired for housing purpose must revert back to owner, and not to anyone else directly or indirectly. The land was proposed to be acquired for residential/commercial sector by the Haryana Urban Development Authority. The High Court had held that the High Court that there was an abuse of power in releasing the land in favour of the builder. On Appeal, the Apex Court made the following observations: There could be no objection to acquisition of land for a compelling public purpose nor to regulated development of colonies, but entertaining an application for releasing of land in favour of the builder who comes into picture after acquisition notification and release of land to such builder tantamount to acquisition for a priva...

It is the public duty of witnesses in a criminal case to give evidence whenever they receive summons from a court of law and therefore they cannot be heard to say that they shall not depose until all the accused in a case are arrested, the Madras High Court Bench here has said. Justice P.N. Prakash made the observation while closing a petition filed by a witness in a case booked by Tirupacheti police in Sivaganga district, challenging an order passed by a Sessions Court on October 4 splitting up the case into two since the police could not arrested the prime accused in the case. Not finding force in the petitioner’s plea, the judge said that the Sessions Court had split the case only because the police were unable to execute a non-bailable arrest warrant issued against the prime accused who had been hospitalised as he was suffering from a serious ailment. Report “A team of doctors too had examined A1 (the prime accused) and they have also given a report on September 15, 2015 in...

Justice Manmohan Singh of the Delhi High Court has recently passed a verdict involving Section 12(5) of the amended Arbitration & Conciliation Act of 1996. Hearing a dispute between Assignia-VIL JV and the Rail Vikas Nigam Ltd, the High Court observed that S.12(5) “mandates” that if the arbitrator and the parties involved enjoy any of the relationships mentioned in the Seventh Schedule of the Act, then that arbitrator cannot be appointed. One of these relationships is that of employer-employee, which was the case here. Of course, the provisions of the amended Act only apply to arbitrations that have commenced on or after October 23, 2015. And Section 21 of the Act further clarifies that, “Unless otherwise agreed by the parties, the arbitral proceedings, in respect of a particular dispute commence on the date on which a request for that dispute to be referred to arbitration is received by the respondent.”

Justice MS Ramachandra Rao of the Hyderabad High Court has ruled that the officials of survey department are bound to conduct survey of private land if anyone makes such a request after paying the required charges. Authorities cannot deny this facility to people citing provisions of the AP Survey and Boundaries Act, 1923, he said, in his judgement pronounced in a case filed by M Padmavathy of East Godavari district. The petitioner challenged the denial of the survey officials in conducting survey of her land and also to demarcate the boundaries. The officials were citing the provisions of the Survey Act which did not ask them anywhere to conduct survey of private land. The judge in his order pointed out that the Act, at the same time, did not say anywhere that they should not do it. Just as experts in DNA analysis, ballistics and handwriting are extending their expertise to private persons even when they are working with the government, the experts of survey wing too must extend th...

Recently Punjab and Haryana High Court has examined the question whether name of a step-father, on the asking of his step-son, can be entered in the Birth Certificate, replacing the name of the biological father, in terms of Section 15 of the Registration of Births and Deaths Act, 1969? The word “biological father” is defined in the Black’s Law Dictionary as “the man whose sperm impregnated the child’s biological mother”. Even otherwise, in the same dictionary, “biological parents” is provided as “the woman who provide the egg or the man who provides the sperm to form the zygote that grows into an embryo” which is also termed as “genetic parents”. On the other hand, the step- father is defined in the Concise Oxford English Dictionary as “a man who is married to one’s mother after the divorce of one’s parents or the death of one’s father”. Justice Rakesh Kumar Jain examined the question is as to whether Section 15 of the Act can be invoked by the petitioner for correction of the entry i...

The Supreme Court, in State of Rajasthan vs. Firoz Khan @ Arif Khan, has reiterated that a High Court, while passing orders rejecting the application for leave to appeal before it under Section 378 (3) of the Code of Criminal Procedure, should assign reasons for such rejection. Allowing the appeal by State of Rajasthan against an High Court order refusing to grant leave to file appeal before it against an acquittal by Trial Courtin a murder case, the Apex court bench comprising of Justices Abhay Manohar Sapre and Ashok Bhushan observed that the instant case is a clear case of total non-application of mind to the case by High Court. The High Court had passed the following order ““Heard. No case for grant of leave is made out. Accordingly, the leave to appeal stands dismissed.” ASSIGN REASONS WHILE REFUSING LEAVE TO APPEAL Referring to State of Maharashtra vs. Sujay Mangesh Poyarekar, the Court said: We are constrained to observe that the High Court grossly erred in passing the impugned ...

The Supreme Court in EITZEN BULK A/S VS. ASHAPURA MINECHEM LTD. has reiterated that held that mere choosing of the juridical seat of Arbitration attracts the law applicable to such location and it would not be necessary to specify which law would apply to the Arbitration proceedings, since the law of the particular country would apply ipso jure. Apex Court bench comprising of Justices Fakkir Mohamed Ibrahim Kalifulla and S.A. Bobde also reiterated that where the parties choose a juridical seat of Arbitration outside India and provide that the law which governs Arbitration will be a law other than Indian law, Part I of the Arbitration and Conciliation Act, 1996 would not have any application and, therefore, the award debtor would not be entitled to challenge the award by raising objections under Section 34 before a Court in India. The court disposed of appeals arising out of Gujarat and Bombay High Courts, which had taken a contradictory view on the issue whether Part I of the Arbitrati...

Enterprises offering loans against gold jewellery always run the risk of accepting stolen articles and therefore they cannot question the power of police to seize jewels in appropriate cases, the Madras High Court Bench here has said. Justice P.N. Prakash made the observation while disposing of a writ petition filed by the manager of Muthoot Finance, Bazzar Branch, Kovilpatti, Thoothukudi district, to forbear Kovilpatti West police from seizing certain jewels pledged with the company. Claiming that his company thoroughly ascertained ownership of jewels before offering loans, the petitioner accused the police of collecting details of jewels pledged with it frequently and connecting them with theft cases by recording false confession statements from the accused. Replying to it, the judge said: “This is indeed a very grey area in which it is dangerous for this court to give any finding this way or that way. All over the world, enterprises that give jewel loans run the risk by accept...

GOVERNMENT OF WEST BENGAL Land and Land Reforms Department Land Policy Branch NABANNA (6th Floor) 325, Sarat Chatterjee Road, Howrah-711 102. No. 756-LP/1A-03/14(Pt-II) Date: 25.02.2016 MEMORANDUM It has been observed that often important infrastructure projects like food godowns, roads, bridges etc. are not fully commissioned for want of small parcels of land. To ensure the optimal utilization of public funds and early implementation of such projects, direct land purchase from land owners may become necessary. 2. The State Government has considered the immediate need of land for such projects. 3. Now, therefore, the Governor is hereby pleased to allow the various departments of the State Government and also the Central Government department(s) or its organization(s) based on merit of its project to go in for the direct purchase of land for public purpose mainly involving the early commissioning of infrastructure projects like roads, railways, bridges, food godowns, drinking...

The Supreme Court has refused to interfere with a Sessions Court Order which had taken cognizance of new offences and added new Accused under section 193 of Code of Criminal Procedure, though the Magistrate rejected the prayer at Committal Stage. Appellants are parents of a person who was accused of instigating his wife to suicide and was charge sheeted under Section 306 IPC. The complainants had filed an application before the Magistrate Court for taking cognizance against the appellants and their son under Sections 304-B and 498-A IPC. The Magistrate Court rejected their applications and committed the case to Sessions Court, where they again preferred the application. This application was allowed by the Sessions Court, and the High Court upon revision, refused to interfere. The appellants hence approached the Apex Court. Referring to Dharam Pal & Ors. v. State of Haryana, the court observed that , since the Court of Session is acting as the Court of original jurisdiction under Se...

The Delhi High Court has directed the traffic police and transport department not to suspend driving licences without giving alleged violators an opportunity to defend their case. In a significant verdict aimed at preventing harassment of motorist and drivers at the hands of traffic officers, Justice JR Midha directed the traffic police and transport department to “follow due process of law” while prosecuting traffic violators. The court said the transport department has to give particulars of the violation such as date, time and place, and reference to relevant provision violated while issuing ‘show cause notice’ to alleged traffic violators. It said the Motor Licensing Officers will give an opportunity to violators to put up their cases. If it is decided that the licence is to be suspended, the order has to contain reason, the court said. Generally, the traffic police take possession of the driving licence of the violator and forward it to the transport department who take a deci...

The Supreme Court, in CHAMOLI DISTRICT CO-OPERATIVE BANK LTD. VS. RAGHUNATH SINGH RANA has reiterated that the compliance of principles of natural justice by the Employers in Disciplinary proceedings is not a mere formality, especially when the statutory provisions specifically provides that disciplinary proceedings shall be conducted with due observations of the principles of natural justice. Dismissing an appeal against the High Court judgment which had quashed the Dismissal order against a bank employee, the bench comprising of Justices Abhay Manohar Sapre and Ashok Bhushan observed that, imposing of any penalty on an employee of the bank that too major penalty of dismissal from service can only be done after following the statutory provisions governing the disciplinary proceedings. In a reported judgment penned by Justice Ashok Bhushan, the bench observed: “When the Inquiry Officer was appointed, conducting of the inquiry was mandatory and without conducting of an inquiry and witho...

A two Judge Bench of the Supreme Court held that previous proceedings would operate as res judicata only in respect of issues of facts and not on issues of pure questions of law when the subsequent suit or proceeding is based upon a different cause of action and in respect of different property though between the same parties. The Bench comprising of Justices Dipak Misra and Shiva Kirti Singh has held as follows; “The distinction drawn by the High Court in the impugned judgment that an erroneous determination of a pure question of law in a previous judgment will not operate as res judicata in the subsequent proceeding for different property, though between the same parties, is clearly in accord with Section 11 of the CPC. Strictly speaking, when the cause of action as well as the subject matter i.e, the property in issue in the subsequent suit are entirely different, res judicata is not attracted and the competent Court is therefore not debarred from trying the subsequent suit which ma...

The Supreme Court remarked that it was "quite shocking" that a bank auctioned a mortgaged property with a floor price of Rs 42 lakh for Rs 5.5 lakh. Since the sale was full of irregularities, the bank was directed to return the money to the auction purchaser with eight per cent interest from the sale in 1998. In this case, Olinda Femandis versus Goa State Cooperative Bank Ltd, the property belonged to seven members of a family. Three of them signed a mortgage deed for Rs 2 lakh, while others did not consent. The bank, nevertheless, sanctioned the loan. It was not returned, leading to the auction. The court set aside the auction and made arrangement to help one of the owners, who had opposed the mortgage.

A Division Bench of Bombay High Court has held that the expression “suit or other proceedings” in Section 446(1) under chapter II of Part VII of Companies Act, 1956, does not include criminal complaints filed under Section 138 of the Negotiable Instruments Act, 1881 The Bench comprising of Justices Dr.Shalini Phansalkar Joshi and Dharmadhikari was answering a reference from a Single Judge to resolve a conflict between two views recorded in two Single Judges’ Judgments of Bombay High Court. Before the Single Judge, two decisions of Coordinate Benches of High Court were placed taking divergent views on the application of Section 446(1) of the Act to the proceedings under Section 138 of the N.I. Act, viz. (i) in the matter of Firth (India) Vs. Steel Co. Ltd. (In Liqn.), decided on 4th September 1998 [Coram : F.I. Rebello, J.], reported in AIR 1999 Bombay 75, taking a view that Section 446(1) of the Companies Act is not applicable to proceeding under Section 138 of N.I. Act; and (ii) unrep...

The Madurai Bench of the Madras High Court has refused to entertain a petition seeking a direction to the police to arrest the accused in a criminal case with an observation that court cannot coerce the police to arrest someone since it was the prerogative of the investigating officer concerned. Refusing to pass such a direction to Koodal Pudur police here in a cheating case, Justice P.N. Prakash said: “In the considered opinion of this Court, such a direction cannot be issued inasmuch as it is the discretion of the Investigating Officer to either arrest or not to arrest the accused.” He recalled that in 1994 itself, a three-judge Bench of the Supreme Court, led by the then Chief Justice M.N. Venkatachaliah, had said: “No arrest can be made because it is lawful for the police officer to do so. The existence of the power to arrest is one thing. The justification for the exercise of it is quite another. “The police officer must be able to justify the arrest apart from his power to ...

A Constitution Bench of the Supreme Court of India Today upheld the constitutional Validity of M.P. Niji Vyavasayik Shikshan Sanstha (Pravesh Ka Viniyaman Avam Shulk Ka Nirdharan) Adhiniyam, 2007 (M.P. Act No.21 of 2007) and various Rules enacted by the Madhya Pradesh Government primarily to regulate the admission of students, fixation of fee and reservation in Post Graduate Courses in Private Professional Educational Institutions in the State.  The Constitution Bench comprising of Justices AR Dave, AK.Sikri, RK.Agarwal, AK Goel and Banumati has dismissed the Appeals filed against the MP High Court Judgment holding  that the occupation of education cannot be treated at par with other economic activities. In this field, State cannot remain a mute spectator and has to necessarily step in in order to prevent exploitation, privatization and commercialisation by the private sector. It would be pertinent to mention that even in respect of those economic activities which are undertak...