Delhi High Court
SFIO Probe Against Company Citing Public Interest 'Extremely Serious Action', Due Application Of Mind Must: Delhi High Court
The Delhi High Court has observed that Serious Fraud Investigation Office (SFIO) investigation against a company citing public interest is an extremely serious statutory action and an order to that effect must reflect due application of mind. “An order under Section 212(1)(c) of the Act, 2013 directing investigation by the SFIO is not a routine administrative measure. It is in the nature of an extremely serious statutory action having grave consequences and repercussions for the subject entities...
Delhi High Court Hints At Protecting Personality Rights Of Actress Aishwarya Rai Bachchan Over Misuse Of Images, AI Content
Bollywood actress Aishwarya Rai Bachchan moved the Delhi High Court on Tuesday (September 09) against various entities to restrain them from using her image, likeness and persona, thereby infringing her 'personality rights'. During the hearing, the high court orally indicated that it will pass an ad-interim order injuncting the defendant entities. Appearing for Rai senior advocate Sandeep Sethi submitted before Justice Tejas Karia that his client was seeking enforcement of her...
CESTAT Can't Admit Appeal Without Pre-Deposit But High Court Can Waive It In 'Rare' Circumstances: Delhi High Court
The Delhi High Court has held that the provision of pre-deposit for preferring an appeal before the Central Excise and Service Tax Appellate Tribunal is mandatory and the forum has no power to admit any appeal without the same.However, a division bench of Justices Prathiba M. Singh and Shail Jain further added that the High Court may, in rare circumstances, waive off the said deposit. It observed,“CESTAT does not have the power to admit appeal without the pre-deposit, however, this Court in...
Customs Broker's Failure To Oversee Warehousing Of Re-Export Goods Leading To Sale In Local Market Is 'A Clear Infraction': Delhi HC
The Delhi High Court has held that a Customs Broker must diligently perform its responsibilities under the 2018 Licensing Regulations however, any failure thereof must be met with a proportionate punishment.While dealing with a case where the broker's license was suspended due to alleged failure to oversee warehousing of goods meant for re-export, leading to their sale in the domestic market, a division bench of Justices Prathiba M. Singh and Shail Jain observed,“There is no doubt that Customs...
Delhi High Court Orders Customs To Release Padma Bhushan Awardee's Imported Artwork Amidst Dispute Over Valuation
The Delhi High Court has ordered the Customs Department to release the artwork of Padma Bhushan awardee Late BC Sanyal, seized amid a dispute surrounding its valuation.A division bench of Justices Prathiba M. Singh and Shail Jain observed there is no conclusive proof that the artwork was made in Pakistan, as claimed by the Department.“The bill of entry itself reveals that the import is being effected from Dubai,” it observed.The Court was dealing with a petition filed by the proprietor of M/s...
Independent Panel Of Arbitrators Not Curated By Either Party Cannot Be Challenged On Grounds Of Impartiality: Delhi High Court
The Delhi High Court bench of Justice Jasmeet Singh has held that when the panel of arbitrators from which appointments are to be made is broad-based, comprising retired Supreme Court Judges and other eminent officials, and is independent, not controlled by any party, the other party cannot refuse to abide by the institutional rules it has consciously agreed to, on the ground that the panel is not impartial. The present petition has been filed under Section 11(6) of the Arbitration and...
TDS Default | Higher Compounding Fees On Second Plea Not Applicable If First Application Was Rejected: Delhi High Court
The Delhi High Court has held that the higher rate of 5% interest to be paid when an assessee moves second plea for compounding the offence of failure to pay Tax Deductible at Source (TDS), is not applicable if their first plea was simply rejected.A division bench of Justices V. Kameswar Rao and Vinod Kumar observed,“5% is only chargeable when the earlier offence has been compounded. This means that the compounding order should have been passed, and also the conditions stipulated in the said...
Passenger's Non-Appearance For Appraising Seized Goods Doesn't Stop Limitation For Issuing SCN: Delhi High Court Tells Customs
The Delhi High Court has made it clear that the Customs Department cannot exceed the limitation period prescribed for issuance of show cause notice after detention of goods, merely on the ground that the person from whom goods were seized did not appear for appraisement.A division bench of Justices Prathiba M. Singh and Shail Jain observed,“non-appearance for appraisement does not stop the limitation for the issuance of the SCN in terms of Section 110 of Customs Act, 1962.”Section 110 of the...
Arbitrator's Decision To Defer Compliance With Essential Pre-Condition In Agreement Amounted To Rewriting Contract, Vitiated It: Delhi HC
The Delhi High Court Bench of Justice Jasmeet Singh while allowing a petition under Section 34, Arbitration and Conciliation Act (“ACA”) observed that when the contract required the bidder to establish an office in India as a pre-requisite to performance, the decision by the Arbitrator holding that compliance could be deferred, amounted to rewriting the contract. Such a holding violated fundamental policy of Indian law and the award was liable to be set aside. Facts The present...
Govt Is Promoting Start-Up Culture, Customs Should Be Sensitive In Proceedings Against Them: Delhi High Court
The Delhi High Court has asked the Central Board of Indirect Taxes and Customs to consider whether some “preferential treatment” ought to be given to Start-ups and MSMEs in terms of timelines, warehousing and provisional release in cases of misdeclaration of goods, especially in case of low value consignments.A division bench of Justices Prathiba M. Singh and Shail Jain observed that considering the prevailing policy in India to encourage start-ups and MSMEs, the Customs Department also needs to...
Dismissal Of Plea U/S 8 Of A&C Act Amounts To Res Judicata; S.11 Court Cannot Refer Parties To Arbitration: Delhi High Court
The Delhi High Court bench of Justice Purushaindra Kumar Kaurav, while dismissing a Section 11 petition under the A&C Act, observed that dismissing a Section 8 application under the A&C Act amounts to res judicata. The Section 11 Court cannot refer the parties to Arbitration if the order dismissing Section 8 is not set aside or interfered with. A Collaboration Agreement dated 26.11.2018 was entered into by the parties, and the Petitioner was required to carry out the...
GST Dept Can't Probe Misuse Of GSTIN By Third Party, Power Lies With Economic Offences Wing: Delhi High Court
The Delhi High Court has made it clear that allegations of misuse of a trader's GST identification number by a third party cannot be probed by the GST Department.A division bench of Justices Prathiba M. Singh and Shail Jain observed,“Section 132 of the CGST Act, 2017 provides for certain offences which the GST Department can take cognizance of. However, the allegation here is that the GST number of the Petitioner has been misused by a third party, who is unknown. In the opinion of this Court,...