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Posted On: 22-08-2025
155. (SC) (Decided on: 01.08.2025)

A. Constitution of India, Article 14, 21 – Medical disability of employee -- Pre-mature retirement – Sustainability of -- Appellant was prematurely retired from service on medical grounds without any meaningful effort by the Respondent–Corporation to explore his suitability for alternate employment – Corporation’s omission to consider redeployment violates both statutory and constitutional obligations -- Duty to reasonably accommodate such employees is now part of our constitutional fabric, rooted in Articles 14 and 21 -- Respondent–Corporation directed to appoint the Appellant to a suitable post, consistent with his condition, and on the same pay grade as he held on 06.01.2016 – Appellant shall be entitled to 25% of the arrears of salary, allowances, and benefits from the date of his termination to the date of reinstatement -- Intervening period shall be reckoned as continuous service for all purposes.

(Para 40, 42)

B. Constitution of India, Article 14, 21 – Removal from service -- Pre-mature retirement of employee -- Judicial restraint guards against overreach, it must not become an excuse for disengagement from injustice -- When an employee is removed from service for a condition he did not choose, and where viable alternatives are ignored, the Court is not crossing a line by intervening, it is upholding one drawn by the Constitution itself -- The employer’s discretion ends where the employee’s dignity begins.

(Para 41)

Posted On: 22-08-2025
156. (SC) (Decided on: 08.08.2025)

A. Motor Vehicles Act, 1988 (59 of 1988), Section 166 – Compensation in motor vehicle accident case -- National of United States – Future prospects – Deceased was self-employed in U.S. -- Future prospects of a person self-employed in a foreign country like United States, compared to a person in this country, would become difficult for the simple reason that the socio-economic-political conditions in any foreign country would be different -- In order to determine the just compensation to a person who died in an accident occurred in India, the dictum of law in Pranay Sethi’s case (2017) 16 SCC 680 = (2017) Law Today Live Doc. Id. 10002 = 2018(1) L.A.R. 1 shall have to be followed and applied specially when no material evidence is offered to determine the future prospects in the foreign country -- Accordingly, the Court is inclined to extend the benefit of future prospects’ component for the compensation payable as per the principles in Pranay Sethi’s case – Total compensation comes to 1,60,15,280/- alongwith 5% interest p.a.

(Para 5.4)

B. Motor Vehicles Act, 1988 (59 of 1988), Section 166 – Compensation in motor vehicle accident case -- Conventional heads -- Deceased was aged 31 years, 40% addition made in the established income towards future prospects -- Under the conventional heads namely loss of estate, loss of consortium and funeral expenses made at Rs.15,000/-, Rs.40,000/- and Rs.15,000/- respectively -- Dependent of the deceased are wife, the daughter and the parents, therefore, for each of them Rs.40,000/- will be the part of compensation towards loss of consortium amounting to Rs.1,60,000/-.

(Para 5.5., 5.6)

Posted On: 22-08-2025
157. (P&H HC) (Decided on: 31.07.2025)

A. Land Acquisition Act, 1894 (1 of 1894), Section 6, 11 -- Code of Civil Procedure, 1908 (V of 1908), Section 9 -- Acquisition of land – Title dispute – Restitution of compensation -- Jurisdiction of civil Court -- Once the ownership and wrongful enrichment were proved, the Trial Court was well within its jurisdiction to grant full and effective relief, including restitution -- Denial of consequential reliefs despite a declaration of ownership has resulted in manifest injustice.

(Para 16)

B. Land Acquisition Act, 1894 (1 of 1894), Section 11, 30 – Code of Civil Procedure, 1908 (V of 1908), Section 9 -- Acquisition of land – Entitlement of compensation -- Title dispute – Jurisdiction of civil Court -- It is settled law that where title and ownership are in question, Civil Courts retain jurisdiction, even in matters of compensation related to acquisition -- Suit is not barred by Section 30 of the Land Acquisition Act -- Section 30 only applies where a dispute regarding apportionment of compensation is pending before the Land Acquisition Officer.

(Para 20)

C. Specific Relief Act, 1963 (47 of 1963), Section 39 – Mandatory injunction -- Relief under Section 39 of the Specific Relief Act (mandatory injunction) is permissible where:

I. A legal duty exists,

II. There is a breach,

III. Plaintiff is entitled to relief to prevent unjust gain/loss.

When the ownership is established and the revenue entries are proved to be erroneous, any benefit drawn from such illegal entries must be undone.

(Para 24)

D. Land Acquisition Act, 1894 (1 of 1894), Section 6, 11 -- Code of Civil Procedure, 1908 (V of 1908), Section 9, 11 – Acquisition of land – Restitution of compensation -- Jurisdiction of Civil Court -- Issue of ownership was already settled in 1969 -- Cause of action arose only when compensation was wrongly disbursed in favour of respondents based on fraudulent revenue entries -- Suit was filed within limitation after appellants discovered the wrongful receipt of funds – Suit is also not barred by Res Judicata or Limitation.

(Para 25)

Posted On: 22-08-2025
158. (SC) (Decided on: 20.08.2025)

A. Code of Criminal Procedure, 1973 (2 of 1974), Section 439 -- Bail by High Court – UAPA case -- High Court noticed that accused no. 11/ his connections with an organisation by the name of AL-Hind is not a banned organisation under the schedule to UAPA -- Apart from the above, impugned order by the High Court was passed on 21.04.2022 almost 3-1/2 years ago and as such, it may not be just and proper to interfere with the same at this stage -- Further, charges have not been framed so far and trial has not commenced – No justification to interfere with the impugned order passed by the High Court granting bail.

(Para 9, 10)

B. Code of Criminal Procedure, 1973 (2 of 1974), Section 439 – UAPA Case – Regular Bail -- High Court has found accused no. 20/ his involvement with banned terrorist organisations, his active role in operating dark web and assisting the members of the banned terrorist organisations -- High Court further noticed the involvement of accused no.20 in another case under UAPA – Held, High Court was justified in not granting bail to accused no.20.

(Para 11, 12)

C. Constitution of India, Article 21 – Speedy trial -- Life and liberty – Trial has not commenced despite lapse of 5-1/2 years -- Accused cannot be allowed to languish in jail without being given a fair and speedy trial -- Trial Court be directed to expedite the trial and conclude the same within a period of two years considering that there are more than 100 witnesses to be examined by the prosecution.

(Para 13)

Posted On: 22-08-2025
161. (SC) (Decided on: 19.08.2025)

A. Constitution of India, Article 226 -- Multiple Appointments challenged -- Doctrine of severability – Detailed analysis – Requirements of -- Validity of an individual appointment must be assessed on the basis of the appointee's own merit, eligibility, and conformity to the applicable rules -- Courts must resist the tendency to issue blanket invalidations of entire batches of appointments merely on the basis of procedural infirmities that affect only a portion of the appointments – Principles of fairness, proportionality, and individual justice are foundational to administrative law and demand that a case-by-case analysis be undertaken before issuing sweeping orders of cancellation -- Where multiple appointments are challenged on general grounds, authorities and courts must undertake a detailed fact-specific analysis before concluding that all such appointments are void -- Doctrine of severability must not remain a mere theoretical doctrine but must guide real administrative action and judicial reasoning in service matters.

(Para 26, 49)

B. Constitution of India, Article 14, 16 – Employment – Irregular appointment – Illegal appointment – Challenge to -- Right to employment, though not a fundamental right, is nevertheless protected under Article 14 and 16 of the Constitution insofar as it requires fair, just, and non-arbitrary treatment of similarly situated individuals -- Appellants' dismissal, without issuing a show cause or opportunity of hearing, is a clear violation of principles of natural justice -- The jurisprudence around irregular versus illegal appointments must not be blurred -- An irregular appointment is one where procedure is not strictly followed but the appointee is otherwise qualified and the post is sanctioned -- An illegal appointment, on the other hand, is void ab initio, such as where the appointee is ineligible or the post does not exist -- When appointments are questioned on grounds of irregularity, the inquiry must not end with detecting the infirmity but must proceed further to distinguish those whose appointments are unimpeachable -- Justice demands separation, not erasure.

(Para 30, 31)

Posted On: 20-08-2025
163. (P&H HC) (Decided on: 05.08.2025)

A. Code of Criminal Procedure, 1973 (2 of 1974), Section 379, 401 – Bharatiya Nagarik Suraksha Sanhita, 2023 (46 of 2023), Section 438, 442 --  Criminal Revision against conviction without surrender – Maintainability of – Suspension of sentence – Consideration of :

I. A criminal revision petition against the judgments of conviction (as also an application for suspension of sentence, etc.) is maintainable before this High Court, without the petitioner-accused having surrendered or being in custody, in the absence of any rule in the extant Punjab and Haryana High Court Rules/Orders proscribing such maintainability.

II (i) The mere maintainability of a revision petition (as also an accompanying application for suspension of sentence) does not, ipso facto, translate into its desirability; the latter is a matter of judicial discretion –– which is inexorably linked to the bona fides and overall conduct of the petitioner-accused, including the sufficiency of reasons proffered for nonappearance before the Appellate Court.

(ii) Where the conduct of the petitioner-accused reflects evasion or contumacious disregard of process of law, the Court must lean against the grant of suspension of sentence, lest, it may tantamount to condoning inexplicable defiance of judicial process.

(iii) No universal guidelines or parameters can possibly be enumerated for exercise of this judicial discretion by this High Court while considering such an application for suspension of sentence.

(Para 12)

B. Code of Criminal Procedure, 1973 (2 of 1974), Section 379, 401 – Bharatiya Nagarik Suraksha Sanhita, 2023 (46 of 2023), Section 438, 442 -- Revisional jurisdiction – Nature of – Interlucatory order – Maintainability of revision -- High Court wields a crucial revisional jurisdiction under Sections 397 and 401 of the Cr.P.C./ Sections 438 and 442 of the BNSS -- This jurisdiction is fundamentally supervisory in nature, empowering the superior courts to scrutinize the records of any subordinate criminal court -- Primary objective thereof is to ascertain the correctness, legality, or propriety of any finding, sentence, or order passed by the subordinate court, and to ensure the regularity of its proceedings -- Revisional jurisdiction, much like a carefully calibrated instrument, is explicitly unavailable against interlocutory orders and, crucially, against orders which are appealable in nature -- When the legislature, in its deliberative wisdom, has chosen not to impose any specific restriction or condition on the exercise of a particular remedy, it is demonstrably inappropriate for the court to engraft such a restriction before the remedy can be availed -- This judicial insertion would not only be an act of judicial overreach, but it would also amount to ‘reading into the statute’ something that is not there.

(Para 9)

Posted On: 20-08-2025
164. (P&H HC) (Decided on: 01.08.2025)

A. Code of Criminal Procedure, 1973 (2 of 1974), Section 2(g), 202, 482 -- Indian Penal Code, 1860 (45 of 1860), Section 499 -- Complaint for defamation – Re-tweet by accused – Report regarding tweet made or not awaiting – Effect of – Summoning of accused – Challenge to -- Accused residing beyond jurisdiction – Summoning of – Nature of enquiry -- Inquiry, as defined u/s 2(g) of the Code means, ‘every inquiry, other than a trial, conducted under this Code by a Magistrate or Court’ -- No particular mode of inquiry has been provided; the inquiry, therefore, refers to application of judicial mind by the Magistrate to the allegations in the complaint along with the statements recorded and material brought on record by way of preliminary evidence, as also to the outcome of investigation ordered or the report called for, with a view to ascertaining the offences alleged are prima facie made -- The requirement in law is an inquiry by the Magistrate into the complaint to be satisfied that the offences alleged are prima facie made out; receipt or non-receipt of a report called for after recording the evidence, cannot be the sole ground to issue or not to issue the process – Petition dismissed.

(Para 7.1, 7.2, 10)

B. Code of Criminal Procedure, 1973 (2 of 1974), Section 482 -- Indian Penal Code, 1860 (45 of 1860), Section 499, Exception 9, 10 – Complaint for defamation – Consideration of Exception 9 & 10 – Requirement of -- Summoning of accused – Challenge to -- No substance in the submission that the retweet was in good faith and in the absence of mens rea petitioner/ acused was entitled to the benefit of Ninth and Tenth Exception to Section 499 IPC; and that failure of the Magistrate to examine the issue rendered the impugned order unsustainable -- Petitioner’s case is that the Magistrate was mandatorily required to consider whether these Exceptions were attracted in her case -- As per the settled law, there is no explicit bar on the Magistrate precluding him from considering whether any of the Exceptions protect the person to be summoned; however, such non-consideration by itself would not render the order issuing process illegal -- Petition dismissed.

(Para 8, 8.1, 11)

C. Code of Criminal Procedure, 1973 (2 of 1974), Section 482 -- Indian Penal Code, 1860 (45 of 1860), Section 499 – Complaint for defamation – Summoning order – Challenge to – Wrong mentioning of fact -- Merely because the Magistrate wrongly mentioned the petitioner’s retweet as tweet in the impugned order, it cannot be said that the order is a result of non-application of mind -- Petition dismissed.

(Para 9, 11)

Posted On: 19-08-2025
165. (SC) (Decided on: 12.08.2025)

A. Prevention of Corruption Act, 1988 (49 of 1988), Section 7, 13(1)(d)(i) (ii) – Corruption case – Demand and acceptance -- To convict a person under the aforesaid provision demand and acceptance of illegal gratification is a sine qua non -- It is no one’s case that A-2 ever demanded any illegal gratification -- He  accepted the money on the directions of A-1 and kept the same with him -- So, there was no demand of illegal gratification on his part -- Demand made by A-1 cannot be attributed to A-2 as no evidence was adduced which could establish that A-2 was a habitual offender working in aid with A-1 or was facilitating A-1 in demanding and receiving illegal gratification -- Accordingly, in the absence of any allegation or evidence that A-2 demanded bribe from the complainant or he was acting in connivence with A-1, he cannot be prosecuted for the commission of the crime of demanding and receiving illegal gratification.

(Para 14, 15)

B. Prevention of Corruption Act, 1988 (49 of 1988), Section 7, 13(1)(d)(i) (ii) – Corruption case – Acquittal -- Abatement – Connivance -- A-2 was not charged with the abetment of the aforesaid crime -- He had accepted the money on the direction of A-1 only -- He could have received the money innocently on the direction of A-1 or he may have received it knowingly -- Both the views are possible -- However, as no evidence was adduced to prove that both of them have connived to demand and accept the bribe, even if a fair trial may have been given to the A-2, it cannot be said with any certainty that he was an accomplice to the crime -- In the absence of charge of abetment and the proof of connivance between A-1 and A-2, A-2 could not have been convicted.

(Para 16, 17)

C. Prevention of Corruption Act, 1988 (49 of 1988), Section 7, 13(1)(d)(i) (ii) – Corruption case – Demand and acceptance -- Evidence on record amply proves that A-1/he demanded bribe from the complainant not only once but twice, and thereafter when the trap was laid -- The bribe on his behalf was accepted by A-2 -- Evidence proves that A-2 accepted the money on the dictates of A-1 -- Therefore, both the ingredients of demand and receipt stand duly proved against A-1 -- Evidence in this regard of PW-1 and PW-2, despite some minor contradictions stand unshaken -- Therefore, his (A-1) conviction as held by the Trial Court and affirmed by the High Court is not liable to be interfered with.

(Para 18)

Posted On: 18-08-2025
167. (SC) (Decided on: 31.07.2025)

A. Indian Penal Code, 1860 (45 of 1860), Section 405, 406 – Code of Criminal Procedure, 1973 (2 of 1974), Section 482 -- Criminal breach of trust – Quashing of FIR -- It is not a case where the accused were entrusted with the subject property -- The subject property belongs to them and they had rights over it as owners with title -- Thus, the very foundation for invoking Section 406 of the IPC falls to the ground – FIR quashed.

(Para 35, 39, 47)

B. Indian Penal Code, 1860 (45 of 1860), Section 406, 420 – Code of Criminal Procedure, 1973 (2 of 1974), Section 482 -- Cheating – Criminal breach of trust – Quashing of FIR -- Simultaneous charge u/s 406 and 420 IPC – Legality of -- Same person cannot be simultaneously charged for offences punishable under Sections 406 and 420 of the IPC with regard to one particular transaction. FIR quashed.

(Para 37, 47)

C. Code of Criminal Procedure, 1973 (2 of 1974), Section 482 -- Civil and criminal proceedings – Quashing of FIR -- Whether civil and criminal proceedings both can be maintained on the very same set of allegations qua the same person(s), the answer stricto sensu, is that there is no bar to simultaneous civil and criminal proceedings -- If the element of criminality is there, a civil case can co-exist with a criminal case on the same facts -- Fact that a civil remedy has already been availed of by a complainant, ipso facto, is not sufficient ground to quash an FIR.

(Para 42)

D. Code of Criminal Procedure, 1973 (2 of 1974), Section 156 (3) – Affidavit in support of complaint/ application – Non-filing of – Effect of – Quashing of order -- Non-filing of the supporting affidavit is a curable defect, but must be cured before the Magistrate passes any substantive order on the complaint/application -- If the Magistrate proceeds without the requisite affidavit, such order/any consequential orders/proceedings can be quashed on the sole ground of non-compliance with Priyanka Srivastava v State of Uttar Pradesh, (2015) 6 SCC 287.

(Para 45)

Posted On: 17-08-2025
170. (Bom. H.C.) (Reserved on: 25.07.025 Decided on: 11.08.2025)

A. Recovery of Debts Due to Banks and Financial Institutions Act, 1993 (51 of 1993), Section 2(b), 17, 18,9,  31 -- Merger of Non-banking entity with Bank – Jurisdiction of Commercial court -- – Jurisdiction of DRT -- Section 31 cannot be interpreted in a vacuum -- Section 31 emphasizes that the bar u/s 18 is absolute and on and from the appointed day, no Court other than DRT shall have jurisdiction to deal with any matter, which falls under the jurisdiction of DRT -- Section 18 is couched in negative terms, which implies that it is absolutely mandatory -- On merger of original plaintiff (HDFC Limited) with respondent no.1 (HDFC Bank Limited), jurisdiction of Commercial Court will be barred to decide the, "application" -- After amalgamation, the suit answers description of the term "application" as defined under Section 2(b) of the Act and is of the nature of a proceeding referred u/s 19 of the Act -- Therefore, DRT will have jurisdiction to entertain and decide the suit and jurisdiction of other Courts will be barred in view of Section 18 of RDB Act.

(Para 19-24)

B. Recovery of Debts Due to Banks and Financial Institutions Act, 1993 (51 of 1993), Section 17, 18, 19, 31 -- Harmonious construction -- Dominant purpose of the Statute -- It is a well settled legal principle that attempt shall be made to harmonise two different provisions which appear to be in conflict with each other -- However, when they cannot be reconciled attempt should be made to identify the dominant purpose of the Statute and find out which provision should override the other.

(Para 21)

C. Recovery of Debts Due to Banks and Financial Institutions Act, 1993 (51 of 1993), Section 2(g) -- Debt – Assignment of rights -- A monetary claim, which is assigned to a Bank will also be a debt within the meaning of Section 2(g) of RDB Act.

(Para 28)

Posted On: 15-08-2025
179. (All. H.C.) (Decided on: 07.08.2025)

A. Hindu Marriage Act, 1955 (25 of 1955), Section 24 -- Maintenance pendentelite proceedings – Maintainability of – Main case dismissed in default -- Restoration application – Effect of -- Proceedings u/s 24 of the Hindu Marriage Act, 1955 are maintainable during the pendency of the proceedings as contemplated under the Hindu Marriage Act, 1955 and the liability to pay the amount will not come to an end merely because the proceedings are pending at the revisional stage, appellate stage or even in cases where the proceedings have been dismissed for want of prosecution and the restoration of the same is pending.

(Para 18)

B. A. Hindu Marriage Act, 1955 (25 of 1955), Section 24 -- Maintenance pendentelite proceedings – An order u/s 24 of the Hindu Marriage Act, 1955 has been passed finally by the Hon'ble Supreme Court -- Said order has neither been recalled nor been set aside and therefore, the liability to make payment in terms of the order continues unless the same is set aside, varied or modified by the Hon'ble Supreme Court.

(Para 19)

C. Hindu Marriage Act, 1955 (25 of 1955), Section 24 – Code of Civil Procedure, 1908 (V of 1908), Section 24 -- Transfer proceedings -- Maintenance pendentelite proceedings – Maintainability of -- Stay of proceedings in transfer petition – Effect of -- Mere stay of proceedings by this Court will not amount to termination of the proceedings -- Even the proceedings for transfer of matrimonial case from Pilibhit to Bareilly would amount to the proceedings contemplated under Hindu Marriage Act, 1955 -- Wife is entitled for maintenance during the continuance of transfer proceedings.

(Para 21)

Posted On: 15-08-2025
180. (Kerala HC) (Decided on: 17.07.2025)

A. Registration of Births and Deaths Act, 1969 (18 of 1969), Section 15 -- Kerala Registration of Births and Deaths Rules, 1999, Rule 11 – Power of Registrar – Correct or cancel entry in the Register -- Registrar is empowered to correct or cancel an entry in the Register, if there is a clerical or formal error in the Register or if any entry has been fraudulently or improperly made, by making a suitable entry in the margin, without alteration of the original entry.

(Para 10)

B. Registration of Births and Deaths Act, 1969 (18 of 1969), Section 15 -- Kerala Registration of Births and Deaths Rules, 1999, Rule 11 – Power of Registrar – Correct or cancel entry in the Register -- No allegation that the initial entry made in the birth records, recording the petitioner as the father of the child, was fraudulently or improperly made -- Marriage between the petitioner and the 7th respondent was in subsistence when the child was born -- Recital in Ext.P3 agreement, wherein it is stated that the 8th respondent is the biological father of the child -- This recital is seriously disputed by the petitioner, who states that the said recital is a unilateral statement of the 7th respondent -- Above fact is a seriously disputed question, which is beyond the adjudicatory powers of a Registrar in summary proceedings under Section 15, read with Rule 11.

(Para 11)

C. Registration of Births and Deaths Act, 1969 (18 of 1969), Section 15 -- Kerala Registration of Births and Deaths Rules, 1999, Rule 11 – Indian Evidence Act, 1872 (1 of 1872), Section 112 -- Power of Registrar – Correct or cancel entry in the Register – Opportunity of hearing to biological father -- Registrar substituted the names solely on a joint application and certain documents submitted by the respondents 7 and 8, and without comprehending the conclusive proof of Section 112 of the Indian Evidence Act and circular issued by the Local Self Government Department -- Circular mandates that, if the father’s name has to be changed in the birth records, a DNA test report, an agreement attested before a Notary Public and an order from a competent Court are to be produced -- Without following the above procedures that the 4th respondent has carried out the substitution -- Writ petition allowed, Exts.P16 birth report and P17 birth certificate quashed -- 4th respondent directed to reconsider the application in accordance with law, with notice to the petitioner and affording him and the respondents 7 and 8 an opportunity of being heard.

(Para 12)

Posted On: 15-08-2025
182. (SC) (Decided on: 14.08.2025)

A. Central Goods and Services Tax Act, 2017 (12 of 2017), Section 70 – Inquiry – Summons – Nature of -- A summons is not the culmination of an investigation, but merely a step in its course -- It is in this context that the legislature has used the term “inquiry” in Section 70, as at the stage of issuing a summons, the Department is primarily engaged in gathering information regarding a possible contravention of law, which may subsequently form the basis for proceedings against an assessee.

(Para 57)

B. Central Goods and Services Tax Act, 2017 (12 of 2017), Section 6(2)(b), 67, 70, 74 – Initiation of proceedings -- Mere issuance of summons does not imply that the Department has decided to proceed against the taxpayer for recovery of liability – At that stage Department still retains the discretion not to initiate any proceedings -- A mere contemplation or possibility of initiating action cannot be equated with “proceedings”, as doing so would undermine the framework of cross-empowerment under the Act.

Even when a discovery is made during the search proceedings under Section 67 of the CGST Act, the Department is required to bring such proceedings to a definitive conclusion, either by issuing a show cause notice under Section 74 or by dropping the matter altogether.

(Para 74)

C. Central Goods and Services Tax Act, 2017 (12 of 2017), Section 6(2)(b) – Prohibition of Parallel proceedings -- Under Section 6(2)(b), the “subject matter” is intrinsically tied to the determination of the specific violation under scrutiny or the liability alleged to be unpaid -- Statutory bar is triggered only when the two proceedings against the same taxpayer are, in substance, directed towards the very same or overlapping deficiency in tax discharge or the identical contravention alleged -- Where the proceedings concern distinct infractions, each Department is entitled to proceed within its respective statutory remit without infringing the prohibition.

(Para 87)

D. Central Goods and Services Tax Act, 2017 (12 of 2017), Section 6(2)(b) – Bar under Section 6(2)(b) of CGSAT Act, 2017 -- Central and State tax authorities -- Parallel proceedings – Legality of – Inquiry or gathering information – Applicability of : 

i. Clause (b) of sub-section (2) of Section 6 of the CGST Act and the equivalent State enactments bars the “initiation of any proceedings” on the “same subject matter”.

ii. Any action arising from the audit of accounts or detailed scrutiny of returns must be initiated by the tax administration to which the taxpayer is assigned.

iii. Intelligence based enforcement action can be initiated by any one of the Central or the State tax administrations despite the taxpayer having been assigned to the other administration.

iv. Parallel proceedings should not be initiated by other tax administration when one of the tax administrations has already initiated intelligence-based enforcement action.

v. All actions that are initiated as a measure for probing an inquiry or gathering of evidence or information do not constitute “proceedings” within the meaning of Section 6(2)(b) of the CGST Act.

vi. The expression “initiation of any proceedings” occurring in Section 6(2)(b) refers to the formal commencement of adjudicatory proceedings by way of issuance of a show cause notice, and does not encompass the issuance of summons, or the conduct of any search, or seizure etc.

vii. The expression “subject matter” refers to any tax liability, deficiency, or obligation arising from any particular contravention which the Department seeks to assess or recover.

viii. Where any two proceedings initiated by the Department seek to assess or recover an identical or a partial overlap in the tax liability, deficiency or obligation arising from any particular contravention, the bar of Section 6(2)(b) would be immediately attracted.

ix. Where the proceedings concern distinct infractions, the same would not constitute a “same subject matter” even if the tax liability, deficiency, or obligation is same or similar, and the bar under Section 6(2)(b) would not be attracted.

x. The twofold test for determining whether a subject matter is “same” entails, first, determining if an authority has already proceeded on an identical liability of tax or alleged offence by the assessee on the same facts, and secondly, if the demand or relief sought is identical.

(Para 96)

E. Central Goods and Services Tax Act, 2017 (12 of 2017), Section 6(2)(b), 70, 73, 74, 146 – Constitution of India, Article 226 -- Bar under Section 6(2)(b) of CGSAT Act, 2017 -- Central and State tax authorities -- Parallel proceedings – Legality of – Inquiry or investigation by a different authority – Applicability of -- Writ jurisdiction -- Guidelines issued :

a. Where a summons or a show cause notice is issued by either the Central or the State tax authority to an assessee, the assessee is, in the first instance, obliged to comply by appearing and furnishing the requisite response, as the case may be -- Because, mere issuance of a summons does not enable either the issuing authority or the recipient to ascertain that proceedings have been initiated.

b. Where an assessee becomes aware that the matter being inquired into or investigated is already the subject of an inquiry or investigation by another authority, the assessee shall forthwith inform, in writing, the authority that has initiated the subsequent inquiry or investigation.

c. Upon receipt of such intimation from the assessee, the respective tax authorities shall communicate with each other to verify the veracity of the assessee’s claim -- As this course of action would obviate needless duplication of proceedings and ensure optimal utilization of the Department’s time, effort, and resources, bearing in mind that action initiated by one authority enures to benefit of all.

d. If the claim of the taxable person regarding the overlap of inquiries is found untenable, and the investigations of the two authorities pertain to different “subject matters”, an intimation to this effect, along with the reasons and a specification of the distinct subject matters, shall be immediately conveyed in writing to the taxable person.

e. The taxing authorities are well within their rights to conduct an inquiry or investigation until it is ascertained that both authorities are examining the identical liability to be discharged, the same contravention alleged, or the issuance of a show cause notice -- Any show cause notice issued in respect of a liability already covered by an existing show cause notice shall be quashed.

f. However, if the Central or the State tax authority, as the case may be finds that the matter being inquired into or investigated by it is already the subject of inquiry or investigation by another authority, both authorities shall decide inter-se which of them shall continue with the inquiry or investigation. In such a scenario the other authority shall duly forward all material and information relating to its inquiry or investigation into the matter to the authority designated to carry the inquiry or investigation to its logical conclusion -- Because, the taxable person except for being afforded the statutory protection from duplication of proceedings, otherwise has no locus to claim which authority should proceed with the inquiry or investigation in a particular matter.

g. However, where the authorities are unable to reach a decision as to which of them shall continue with the inquiry or investigation, then in such circumstances, the authority that first initiated the inquiry or investigation shall be empowered to carry it to its logical conclusion, and the courts in such a case would be competent to pass an order for transferring the inquiry or investigation to that authority.

h. If it is found that the authorities are not complying with these aforementioned guidelines, it shall be open to the taxable person to file a writ petition before the concerned High Court under Article 226 of the Constitution of India.

i. At the same time, taxable persons shall ensure complete cooperation with the authorities. It is incumbent upon them to appear in response to a summons and/or reply to a notice.

It is imperative that the Departments act in harmony and maintain heightened vigilance with respect to intelligence inputs received by them, so as to give full effect to the legislative intent underlying the GST regime.

(Para 97, 98)

Posted On: 12-08-2025
184. (SC) (Decided on: 08.08.2025)

A. Limitation Act, 1963 (36 of 1963), Section 27 -- Code of Civil Procedure, 1908 (V of 1908), Section 96 -- Adverse possession – Plea of -- Foundation for the plea of adverse possession must be laid in the pleadings and then an issue must be framed and tried -- A plea not properly raised in the pleadings or in issues at the stage of trial would not be permitted to be raised for the first time at the stage of First Appeal under Section 96 of the Code of Civil Procedure (CPC).

(Para 19)

B. Limitation Act, 1963 (36 of 1963), Section 27 -- Code of Civil Procedure, 1908 (V of 1908), Section 96 -- Adverse possession – Plea of -- Plea of adverse possession is not always a legal plea -- It is always based on facts which must be asserted and proved -- A person who claims adverse possession must show on what date he came into possession, what was the nature of his possession, whether the factum of his possession was known to the legal claimants and how long his possession continued -- He must also show whether his possession was open and undisturbed -- These are all questions of fact and unless they are asserted and proved, a plea of adverse possession cannot be inferred from them -- Therefore, in normal cases an appellate Court will not allow the plea of adverse possession to be raised before it.

(Para 20)

C. Limitation Act, 1963 (36 of 1963), Section 27 – Adverse possession – Nature of -- Ordinarily, the question of adverse possession is one of fact, resting upon proof of numerous circumstances which go to establish the several elements, indicating adverse character of the possession -- In certain cases, it may be a question of law, or, a mixed question of law and facts as, where the decision rests upon inferences to be drawn from facts which are admitted or established.

(Para 27)

Posted On: 06-08-2025
199. (SC) (Decided on: 01.08.2025)

Motor Vehicles Act, 1988 (59 of 1988), Section 147, 149, 163A – Compensation in motor vehicle accident case – No fault liability/ claim -- Whether claim u/s 163A MV Act restricted to third party? -- Supreme Court Refers the Issue to Larger Bench.

--   A claim under Section 163A, as per the words employed in the provision, covers every claim and is not restricted to a third party claim; without any requirement of establishing the negligence, if death or permanent disability is caused by reason of the motor accident -- This would also take in the liability with respect to the death of an owner or a driver who stepped into the shoes of the owner, if the claim is made under Section 163A dehors the statutory liability under Section 147 or the contractual liability as reduced to writing in an insurance policy -- It would override the provisions under Sections 147 & 149 along with the other provisions of the M.V. Act and the law regulating insurance as also the terms of the policy confining the claim with respect to an owner-driver to a fixed sum.

--   Dictum arising from the various decisions of different benches of two Judges is that the claim under Section 163A is restricted to third party risks – Section 163A, appears under the Chapter with the heading ‘Insurance of Vehicles Against Third Party Risks’ – But the non-obstante clause is in suppression of the entire Act, the other laws in force and any instrument valid in law – Court doubted, the decisions of co-ordinate Benches of two Judges which now will have to be placed before a larger Bench -- Registry directed to place the matter before the Hon’ble the Chief Justice of India for appropriate orders.

(Para 16, 17)