Tax Law – Interpretation of Proviso to Section 113 – Prospective vs. Retrospective Application – Proviso added to Section 113 of the Income Tax Act by the Finance Act, 2002 – Clarification sought whether the proviso is clarificatory and curative in nature with retrospective effect or prospective only – Held, the proviso is prospective in nature and not retrospective – Tax surcharge on block assessments only applicable prospectively from 1st June 2002. [Paras 3, 8, 38]

Retrospective Legislation – Principles – Held – General principles against retrospectivity unless a clear intention from the legislature – Proviso to Section 113 not meant to be retrospective as clarified by legislative intent, notes on clauses, and CBDT circulars – Legislative amendments, unless expressly stated or necessarily implied, presumed to be prospective – No justification to apply the surcharge retrospectively causing undue hardship to taxpayers – Proviso interpreted to apply only from 1st June 2002. [Paras 30-35, 38]

Previous Judicial Interpretation – Reversal – Supreme Court overrules the decision in Commissioner of Income Central II vs. Suresh N. Gupta, which had held the proviso to Section 113 as clarificatory and retrospectively applicable – Supreme Court concludes that Suresh N. Gupta did not correctly interpret the legislative intent or the legal principles concerning retrospective operation. [Paras 40-41]

Decision – Appeals by Income Tax Department dismissed – Appeals by Assessees allowed – Surcharge levied for block assessments pertaining to periods prior to 1st June 2002 deleted. [Para 41]

Referred Cases:

Government of India and Others Vs. Indian Tobacco Association, AIR 2005 SC 3685

Keshavlal Jethalal Shah Vs. Mohanlal Bhagwandas and Another, AIR 1968 SC 1336

Commissioner of Income Tax, Bombay Vs. Scindia Steam Navigation Co. Ltd., AIR 1961 SC 1633

Commnr. of Income Tax, Jalandhar-I Vs. Shri Rajiv Bhatara, (2009) 13 SCC 315

Controller of Estate Duty, Gujarat I, Ahmedabad Vs. M.A. Merchant, AIR 1989 SC 1710

Govind Das and Others Vs. The Income Tax Officer and Another, AIR 1977 SC 552

Commissioner of Income Central II Vs. Suresh N. Gupta, (2008) 4 SCC 362

Govind Saran Ganga Saran Vs. Commissioner of Sales Tax and Others, AIR 1985 SC 1041

Criminal Law – Cancellation of Bail – High Court's Jurisdiction: Special Leave Petitions against High Court order canceling bail granted to petitioners – Petitioners initially granted bail under Section 167(2) CrPC for default in filing charge sheet within 90 days – High Court later canceled bail citing misrepresentation and procedural errors – Supreme Court emphasizes that High Court lacks jurisdiction to review or alter its own judgment once final, except to correct clerical errors – Cancellation of bail by High Court deemed improper. [Paras 1-33]

Section 362 CrPC – Bar on Review: Section 362 CrPC prevents courts from reviewing or altering final orders – High Court’s cancellation of bail amounted to a review of its own previous order – Supreme Court holds such review outside the purview of Section 362 – Bail cancellation not justified in absence of new adverse facts or misconduct by accused post-grant of bail. [Paras 25-31]

Default Bail under Section 167(2) CrPC – Parameters for Cancellation: Section 167(2) CrPC grants bail if charge sheet not filed within stipulated period – Such bail is on default grounds, not merits – Bail can be canceled if new evidence surfaces or if accused misuses liberty – Supreme Court notes bail granted on default cannot be canceled simply due to procedural deficiencies unless strong grounds exist. [Paras 17-20]

Review vs. Cancellation – Legal Distinction: Distinction between setting aside an unjustified or perverse order and cancellation due to subsequent misconduct – High Court’s order fell into review category, prohibited under Section 362 – Supreme Court reiterates only appellate courts can set aside bail on grounds of being perverse, not the same court that granted it. [Paras 21-24]

Decision – Setting Aside High Court's Order: High Court's order canceling bail quashed – Supreme Court directs continuation of interim bail granted by itself until disposal of ongoing criminal case – High Court exceeded its jurisdiction by reviewing its own bail order. [Paras 31-33]

Referred Cases:

Bay Berry Apartments Pvt. Ltd. v. Shobha (2007) AIR SC 226

Dr. Narendra K. Amin v. State of Gujarat (2008) 6 JT 205

Gian Singh v. State of Punjab (2012) 9 JT 457

Central Bureau of Investigation v. V. Vijay Sai Reddy (2013) 7 SCC 452

Raghubir Singh v. State of Bihar (1987) AIR SC 149

Puran v. Rambilas (2001) AIR SC 2023

Rashmi Rekha Thatoi v. State of Orissa (2012) 5 SCC 690

Gurcharan Singh v. State (Delhi Administration) (1978) AIR SC 179

Hari Singh Mann v. Harbhajan Singh Bajwa (2001) AIR SC 43

Ranjit Singh v. State of M.P. (2013) 4 RCR(Criminal) 600

Legal Profession - Professional Misconduct - Notary Misconduct- Professional misconduct involving the misuse of the position as a Notary by attesting blank stamp papers and affixing his signature and Notary seal on them - Supreme Court held that such actions violate the provisions of the Notaries Act and the Advocates Act - Appellant Bar Council of Andhra Pradesh's disciplinary action reinstated with modified punishment - Respondent debarred from practicing as an Advocate for a further two months, beyond the period he already served. [Paras 1-11]

Notary Misconduct - Impact on Advocacy- Violation of Notaries Act directly impacts the status of an Advocate as the role of a Notary is intrinsically linked to being an Advocate - Supreme Court emphasizes that misconduct as a Notary affects the professional integrity of an Advocate - Respondent’s argument that his Notary role should be seen as separate from his status as an Advocate rejected. [Para 4-6]

Punishment for Misconduct – Proportionality- While recognizing the professional misconduct, the Supreme Court modifies the punishment to ensure it is commensurate with the degree of misconduct - Previous suspension period considered sufficient with an additional two-month suspension - Respondent permanently barred from being recognized as a Notary in future. [Para 10-11]

Decision- Appeal allowed - Impugned order of the Bar Council of India set aside - Order of Bar Council of Andhra Pradesh dated 5th December 2009 reinstated with modifications regarding the suspension period - Respondent to serve an additional suspension of two months in October and November 2014. [Para 11]

Referred Cases:

Narain Pandey v. Pannalal Pandey, (2013) 116 CLT 27 : (2013) 1 CTC 104 : (2012) 12 JT 383 : (2013) 1 RCR(Civil) 598 : (2012) 12 SCALE 47

Noratanmal Chouraria v. M.R. Murli and Another, AIR 2004 SC 2440 : (2004) 4 JT 552 : (2004) 4 SCALE 755 : (2004) 5 SCC 689 : (2004) 1 SCR 266 Supp : (2004) AIRSCW 2894 : (2004) 3 Supreme 321

Civil Procedure - Deficiency in Court Fee - Appeal Stage - Power of Appellate CourtThe Supreme Court emphasized that the appellate court possesses the authority to allow a party to make up the deficiency in court-fee at the appellate stage. The High Court's view that such deficiency could only be rectified during the trial stage was held to be erroneous. It was clarified that the appellate proceedings are a continuation of the suit, thereby empowering the appellate court to exercise the same powers as the trial court in the interest of justice. [Paras 12-14]

Interpretation of Section 6 of the Court Fees Act, 1870 - Payment of Deficient Court FeeThe Supreme Court elucidated the proper interpretation of Section 6, especially Sub-sections (2) and (3), stating that these provisions mandate the court to grant time for the payment of deficient court-fee and that such a deficiency must be rectified before the delivery of judgment. In the present case, since no order was passed by the trial court directing the payment of deficient court-fee, the provisions were not applicable against the appellants. [Paras 8-10]

High Court's Erroneous Invocation of Article 227The High Court's intervention under Article 227 was deemed unjustified as the first appellate court's order was just and proper, advancing the cause of justice. The appellate court's power to require the payment of additional court-fee was validated under Clause (ii) of Section 12 of the Court Fees Act, 1870. [Paras 15-16]

DecisionThe Supreme Court set aside the High Court's order and restored the first appellate court's decision, allowing the appellants to pay the deficient court-fee at the appellate stage. The appeal was allowed without any order as to costs. [Para 17]

Referred Cases:

Bhagwan Das v. Jankidevi (1971) 2 SCC 238

K.C. Nambiar v. State of Kerala (2000) 6 SCC 198

Mathai v. Varkey Varkey & Anr. (1964) 1 SCR 495

Election Law - Dismissal of Election Petition - Civil Appeal against High Court order dismissing election petition challenging the election of the first respondent to Kunnamkulam Constituency - Allegations of bribery, publication of false statements, and suppression of criminal convictions - High Court found election petition lacked material facts and necessary particulars as required under Section 83 of the Representation of the People Act, 1951 - High Court also found affidavit did not comply with statutory requirements - Supreme Court upheld the dismissal of the election petition - Held that the petition failed to disclose cause of action and did not meet the statutory requirements under Section 83(1) and Rule 94A - Appeals dismissed. [Paras 1-48]

Material Facts and Particulars - Requirement under Section 83 of the Representation of the People Act, 1951 - Allegations of corrupt practices must be supported by precise and specific material facts - Allegations of bribery under Section 123(1)(A) and false publication under Section 123(4) must be clearly pleaded with specific details and supported by an affidavit in the prescribed form - Failure to provide necessary details and to support allegations by affidavit renders the election petition liable to be dismissed - Court emphasized the need for precise and detailed pleadings in election petitions to avoid unnecessary litigation and to protect the validity of duly elected candidates. [Paras 18-20, 21-23, 24-25, 26-27, 28-30, 31-32, 33-34, 35-36, 37-39, 40-41, 42-44, 45-46]

Non-Disclosure of Criminal Convictions - Allegation of non-disclosure of criminal convictions under Section 33A of the Representation of the People Act, 1951 - Court found that the first respondent's convictions were either set aside or involved sentences of less than one year, thus not requiring disclosure in the nomination paper - Held that there was no violation of Section 33A - High Court's decision to dismiss this ground upheld. [Paras 47-48]

Decision: Appeals dismissed.

Referred Cases:

Harkirat Singh v. Amrinder Singh, AIR 2006 SC 713

Umesh Challiyil v. K.P. Rajendran, AIR 2008 SC 1577

Resurgence India v. Election Commission of India and Another, AIR 2014 SC 344

Sardar Harcharan Singh Brar v. Sukh Darshan Singh and Others, AIR 2005 SC 22

G. Mallikarjunappa and Another v. Shamanur Shivashankarappa and Others, AIR 2001 SC 1829

People's Union for Civil Liberties (PUCL) and Others v. Union of India and Another, AIR 2003 SC 2363

Balwan Singh v. Lakshmi Narain and Others, AIR 1960 SC 770

G.M. Siddeshwar v. Prasanna Kumar, AIR 2013 SC 1549

Raj Narain v. Indira Nehru Gandhi and Another, AIR 1972 SC 1302

Shaligram Shrivastava v. Naresh Singh Patel, AIR 2003 SC 2128

Criminal Law - Appeal Against Conviction – Non-Compliance with Section 313 CrPC – Criminal appeal preferred against the conviction under Section 364 IPC – Appellant challenged the conviction on grounds of inadequate evidence of abduction and improper compliance with Section 313 CrPC – Supreme Court found the questions under Section 313 CrPC were not properly put to the accused, leading to significant prejudice – Held that the accused did not receive a fair trial as material circumstances were not properly explained to him – Conviction and sentence set aside. [Paras 1-15]

Abduction - Evidence and Last Seen Theory – Analysis – Held – Prosecution's evidence primarily focused on proving marital status rather than abduction – Prosecution failed to substantiate the charge of abduction against the appellant – Witness testimonies and evidence did not support the claim of abduction – Appellant’s plea that Kuljit Kaur was married to another person and was in custody at the relevant time was supported by documents. [Para 9-14]

Decision – Quashing of Conviction and Sentence – Appeal allowed – Judgment of conviction and order of sentence recorded by the trial court and affirmed by the High Court were set aside – Appellant ordered to be released forthwith unless required in connection with any other case. [Para 15]

Referred Cases:

Hate Singh Bhagat Singh v. State of Madhya Bharat, AIR 1953 SC 468

Tara Singh v. The State, AIR 1951 SC 441

Ranvir Yadav v. State of Bihar, (2009) 6 SCC 595

Ajay Singh v. State of Maharashtra, AIR 2007 SC 2188

Criminal Law - Conviction for Murder - Circumstantial Evidence - Acquittal: Appeal against conviction for the murder of a high school child, based on circumstantial evidence. No discussion on the motive for the appellant to kill the deceased. Lack of legally admissible evidence to prove that the deceased left home after being called by the appellant. Except for recoveries, no other significant evidence against the appellant. Blind murder case with no eyewitnesses or established last-seen evidence. The chain of circumstances not fully established to point conclusively to the guilt of the appellant. Conviction and sentence set aside, appellant acquitted and given the benefit of the doubt. [Paras 1-26]

Role of Suspicion in Criminal Convictions - Emphasis on Proof: Suspicion, however strong, cannot replace proof in criminal cases. For a conviction based on circumstantial evidence, the chain of circumstances must be so complete that it leads only to the conclusion of the accused's guilt. In this case, the circumstances did not form a complete chain pointing to the appellant's guilt, leading to his acquittal. [Para 26]

Decision - Acquittal Based on Lack of Evidence: Conviction and sentence of the appellant under Section 302 IPC are set aside due to insufficient evidence. The appellant is entitled to the benefit of the doubt and is to be set at liberty unless required in any other case. [Para 26]

Referred Cases:

Mani v. State of Tamil Nadu, AIR 2008 SC 1021

Sharad Birdhichand Sarda v. State of Maharashtra, AIR 1984 SC 1622

Manthuri Laxmi Narsaiah v. State of Andhra Pradesh (2011) 14 SCC 117

Mustkeem alias Sirajudeen v. State of Rajasthan (2011) 11 SCC 724

Criminal Law - Appeal against Conviction - High Court reversing acquittal by Trial Court - Circumstantial evidence case - Accused No. 1 and 3 found guilty under Section 302 IPC read with Section 34 - Accused No. 2 found guilty under Section 302 IPC read with Section 114 - High Court substituted its view without substantial error in Trial Court's decision - Supreme Court restores acquittal - Held, there was no direct evidence proving conspiracy or homicidal intent, and accidental death possibility established by medical evidence. [Paras 1-14]

Standard of Review - High Court's Interference in Acquittal - Analysis - Held - High Court has power to reappreciate evidence but must exercise caution in interfering with acquittal - Double presumption of innocence - High Court not justified in reversing acquittal based on speculative conclusions - Emphasis on careful scrutiny and necessity to establish gross error in Trial Court’s judgment. [Para 8]

Motive and Evidence - Importance in Circumstantial Evidence Cases - Lack of Motive - Insufficient evidence on financial disputes - No substantive proof of animosity or motive for murder - High Court misread material evidence - Homicidal death not established - Accidental death plausible as per forensic and medical testimony. [Paras 10-13]

Decision - Appeal allowed - Conviction and sentence imposed by High Court set aside - Trial Court's judgment of acquittal restored - All appellants acquitted. [Para 14]

Referred Cases: Chandrappa and Others Vs. State of Karnataka, (2007) 4 SCC 415 Sujit Biswas v. State of Assam (2013) 12 SCC 406

Service Law - Promotion - Rights and Jurisdiction Post-Bifurcation – Civil Appeal challenging the High Court's decision to promote officers based on recommendations made prior to the bifurcation of the State of Bihar – Supreme Court held that the right to be considered for promotion is a condition of service, but mere chances of promotion are not – Sections 72 and 73 of the Bihar Reorganization Act, 2000 protect service conditions but do not guarantee promotion in the absence of existing vacancies – Jharkhand High Court erred in directing promotions from a date prior to the state's formation without jurisdiction over such retrospective claims – Appeal allowed, High Court order set aside. [Paras 17-29]

Conditions of Service - Promotion - Bifurcation Implications – Analysis – Held – Respondents had only a right to be considered for promotion, not a right to be promoted – No service condition was varied to their detriment under Section 73 – Lack of evidence for existing vacancies precludes promotion – Similarities with precedents, including State of Uttarakhand v. Umakant Joshi, support non-jurisdiction over pre-bifurcation promotions. [Paras 19-29]

Decision – Allowing the Appeal – Court allows the State of Jharkhand’s appeal, setting aside the High Court's order promoting respondents based on recommendations made before the state's formation – Court emphasizes jurisdictional error and lack of existing vacancies for promotion. Respondents may pursue other legal actions if permissible. [Paras 30-31]

Referred Cases:

State of Uttarakhand and Another v. Umakant Joshi, (2012) 11 SCC 164

Debabrata Dash and Another v. Jatindra Prasad Das and Others, (2013) 3 SCC 658

Madan Lal and Others v. State of Jammu and Kashmir and Others, (1995) 3 SCC 486

Mohammad Shujat Ali and Others v. Union of India and Others, (1975) 3 SCC 76

Ramchandra Shankar Deodhar and Others v. The State of Maharashtra and Others, (1974) 1 SCC 317