FACTS:

The appellant, Amal Kumar Jha, was in-charge of Patthalgaon Hospital, District Raigad. The case arose from an incident on 1.1.1995, where an operation was conducted, and the patient subsequently died due to alleged negligence in shifting her to a District Hospital. Charges under section 304-A IPC were framed against the appellant.

ISSUES:

Whether the act of the appellant, in not providing a government vehicle for shifting the patient, was an act in discharge of his official duty.

Whether sanction for prosecution under Section 197 Cr.P.C. was required.

HELD:

The allegation against the appellant was of omission in providing a government vehicle for shifting the patient, an act connected to his official duty. The Court held that the refusal was directly and reasonably connected with his official duty, and sanction was required for prosecution under Section 197(1) Cr.P.C. The appellant could not have been prosecuted without sanction. The impugned orders were set aside, and the appeal was allowed.

REFERRED CASES:

Albert West Meads Vs. R., AIR 1948 PC 156

B. Saha Vs. M.S. Kochar, (1979) 4 SCC 177

Baijnath Vs. State of M.P., AIR 1966 SC 220

Bhappa Singh Vs. Ram Pal Singh, 1981 Sup SCC 12

Hori Ram Singh Vs. Crown, 1939 FCR 159

K. Kalimuthu Vs. State by DSP, (2005) 4 SCC 512

Lieutenant Hector Thomas Huntley Vs. King Emperor, 1944 FCR 262

Manorama Tiwari Vs. Surendra Nath Rai, (2016) 1 SCC 594

Matajog Dobey Vs. H.C. Bhari, AIR 1956 SC 44

P. Arulswami Vs. State of Madras, (1967) 1 SCR 201

S.B. Saha Vs. M.S. Kochar, (1979) 4 SCC 177

Sankaran Moitra Vs. Sadhna Das, (2006) 4 SCC 584

Sarjoo Prasad Vs. The King-Emperor, (1945) F.C.R. 227

Shreekantiah Ramayya Munipalli Vs. The State of Bombay, (1955) 1 SCR 1177

State of H.P. Vs. M.P. Gupta, (2004) 2 SCC 349

State of Madhya Pradesh Vs. Sheetla Sahai, (2009) 8 SCC 617

State of Maharashtra Vs. Dr. Budhikota Subbarao, (1993) 3 SCC 339

State of Orissa Vs. Ganesh Chandra Jew, (2004) 8 SCC 40

Facts:

The assessee, LTC Limited in Gurgaon, was involved in the hotel business and collected tips from customers, which were then distributed to its employees without deducting taxes. The Assessing Officer treated these tips as income under the 'salary' head and imposed a liability to deduct tax at source under Section 192.

Issues:

Whether Section 192 of the Income Tax Act applied to the tips received by employees, considering that the income in question was chargeable under a head other than 'salaries.'

Held:

Section 192 applies to a person responsible for paying income chargeable under the head 'salaries.' In this case, the entity responsible for paying the employees was not the employer but a third party, i.e., the customer.

If an employee receives income chargeable under a head other than 'salaries,' Section 192 does not apply. Tips received from customers, being income from other sources, do not fall under the ambit of Section 192.

Section 15 distinguishes between salary 'due,' 'paid,' or 'allowed.' Tips, being purely voluntary, do not create a vested right in the employee to claim them from the employer. Section 15(b) is not applicable.

The expression 'allowed' in Section 15 must have reference to the contract of employment. However, tips paid by the employer have no connection with the employment contract.

Section 17 also requires payment by an employer, and the term 'employer' should be understood in the sense used in Section 15.

Decision: The court allowed the appeals of the assessee and dismissed the revenue's appeal, ruling that Section 192 did not apply to the tips received by employees.

Facts:

The appellant, a Private Limited Company, entered into a lease agreement with the respondent Cooperative Society in 1998.

Disputes led the appellant to file a suit in 2000 seeking recovery.

The respondent Cooperative Society was wound up in 2001, and the appellant sought leave to continue the suit under Section 112 of the Gujarat Co-operative Societies Act.

Issues:

The controversy centers around the Registrar's refusal to grant permission based on Section 167, requiring notice before instituting a suit against a society.

Held:

The Registrar's decision to refuse leave based on Section 167 is without jurisdiction.

The nature and scope of the Registrar's powers under Section 112 are limited to considerations related to the winding up of the society.

The Registrar cannot decide on the merits or tenability of the suit; such matters fall within the exclusive jurisdiction of the Civil Court.

The question of whether Section 167 is attracted to a particular suit is judicial and must be determined by the Civil Court.

The Registrar is not empowered to hold a suit as untenable, and his role is confined to considerations germane to the grant or refusal of leave.

The order of the Registrar refusing leave on the grounds of lack of notice under Section 167 is set aside.

Facts:

CBI filed a charge sheet against 14 accused persons, including the respondent, under various sections of the IPC and the Prevention of Corruption Act.

The Trial Court deferred taking cognizance initially, believing that a sanction under Section 19 of the PC Act was required.

The Trial Court later, upon clarification from the Investigation Officer, took cognizance. The respondent challenged this as a review.

Issues:

Whether the Trial Court's subsequent decision to take cognizance amounted to a review, and if the Special Judge had the power to do so.

Whether prior sanction under Section 19 of the PC Act was required.

Held:

The High Court held that the Trial Court's action amounted to a review, setting aside its order. The Supreme Court disagreed, citing Section 362 of the CrPC, stating that the Trial Court had not passed a final order disposing of the case when it deferred cognizance initially. The Court set aside the High Court's order and remanded the case back to consider the issue of whether prior sanction under Section 19 of the PC Act was necessary.

FACTS:

The appellant, Amal Kumar Jha, was in-charge of Patthalgaon Hospital, District Raigad. The case arose from an incident on 1.1.1995, where an operation was conducted, and the patient subsequently died due to alleged negligence in shifting her to a District Hospital. Charges under section 304-A IPC were framed against the appellant.

ISSUES:

Whether the act of the appellant, in not providing a government vehicle for shifting the patient, was an act in discharge of his official duty.

Whether sanction for prosecution under Section 197 Cr.P.C. was required.

HELD:

The allegation against the appellant was of omission in providing a government vehicle for shifting the patient, an act connected to his official duty. The Court held that the refusal was directly and reasonably connected with his official duty, and sanction was required for prosecution under Section 197(1) Cr.P.C. The appellant could not have been prosecuted without sanction. The impugned orders were set aside, and the appeal was allowed.

REFERRED CASES:

Albert West Meads Vs. R., AIR 1948 PC 156

B. Saha Vs. M.S. Kochar, (1979) 4 SCC 177

Baijnath Vs. State of M.P., AIR 1966 SC 220

Bhappa Singh Vs. Ram Pal Singh, 1981 Sup SCC 12

Hori Ram Singh Vs. Crown, 1939 FCR 159

K. Kalimuthu Vs. State by DSP, (2005) 4 SCC 512

Lieutenant Hector Thomas Huntley Vs. King Emperor, 1944 FCR 262

Manorama Tiwari Vs. Surendra Nath Rai, (2016) 1 SCC 594

Matajog Dobey Vs. H.C. Bhari, AIR 1956 SC 44

P. Arulswami Vs. State of Madras, (1967) 1 SCR 201

S.B. Saha Vs. M.S. Kochar, (1979) 4 SCC 177

Sankaran Moitra Vs. Sadhna Das, (2006) 4 SCC 584

Sarjoo Prasad Vs. The King-Emperor, (1945) F.C.R. 227

Shreekantiah Ramayya Munipalli Vs. The State of Bombay, (1955) 1 SCR 1177

State of H.P. Vs. M.P. Gupta, (2004) 2 SCC 349

State of Madhya Pradesh Vs. Sheetla Sahai, (2009) 8 SCC 617

State of Maharashtra Vs. Dr. Budhikota Subbarao, (1993) 3 SCC 339

State of Orissa Vs. Ganesh Chandra Jew, (2004) 8 SCC 40

Facts:

The assessee, LTC Limited in Gurgaon, was involved in the hotel business and collected tips from customers, which were then distributed to its employees without deducting taxes. The Assessing Officer treated these tips as income under the 'salary' head and imposed a liability to deduct tax at source under Section 192.

Issues:

Whether Section 192 of the Income Tax Act applied to the tips received by employees, considering that the income in question was chargeable under a head other than 'salaries.'

Held:

Section 192 applies to a person responsible for paying income chargeable under the head 'salaries.' In this case, the entity responsible for paying the employees was not the employer but a third party, i.e., the customer.

If an employee receives income chargeable under a head other than 'salaries,' Section 192 does not apply. Tips received from customers, being income from other sources, do not fall under the ambit of Section 192.

Section 15 distinguishes between salary 'due,' 'paid,' or 'allowed.' Tips, being purely voluntary, do not create a vested right in the employee to claim them from the employer. Section 15(b) is not applicable.

The expression 'allowed' in Section 15 must have reference to the contract of employment. However, tips paid by the employer have no connection with the employment contract.

Section 17 also requires payment by an employer, and the term 'employer' should be understood in the sense used in Section 15.

Decision: The court allowed the appeals of the assessee and dismissed the revenue's appeal, ruling that Section 192 did not apply to the tips received by employees.

Facts:

The appellant, a Private Limited Company, entered into a lease agreement with the respondent Cooperative Society in 1998.

Disputes led the appellant to file a suit in 2000 seeking recovery.

The respondent Cooperative Society was wound up in 2001, and the appellant sought leave to continue the suit under Section 112 of the Gujarat Co-operative Societies Act.

Issues:

The controversy centers around the Registrar's refusal to grant permission based on Section 167, requiring notice before instituting a suit against a society.

Held:

The Registrar's decision to refuse leave based on Section 167 is without jurisdiction.

The nature and scope of the Registrar's powers under Section 112 are limited to considerations related to the winding up of the society.

The Registrar cannot decide on the merits or tenability of the suit; such matters fall within the exclusive jurisdiction of the Civil Court.

The question of whether Section 167 is attracted to a particular suit is judicial and must be determined by the Civil Court.

The Registrar is not empowered to hold a suit as untenable, and his role is confined to considerations germane to the grant or refusal of leave.

The order of the Registrar refusing leave on the grounds of lack of notice under Section 167 is set aside.

Facts:

CBI filed a charge sheet against 14 accused persons, including the respondent, under various sections of the IPC and the Prevention of Corruption Act.

The Trial Court deferred taking cognizance initially, believing that a sanction under Section 19 of the PC Act was required.

The Trial Court later, upon clarification from the Investigation Officer, took cognizance. The respondent challenged this as a review.

Issues:

Whether the Trial Court's subsequent decision to take cognizance amounted to a review, and if the Special Judge had the power to do so.

Whether prior sanction under Section 19 of the PC Act was required.

Held:

The High Court held that the Trial Court's action amounted to a review, setting aside its order. The Supreme Court disagreed, citing Section 362 of the CrPC, stating that the Trial Court had not passed a final order disposing of the case when it deferred cognizance initially. The Court set aside the High Court's order and remanded the case back to consider the issue of whether prior sanction under Section 19 of the PC Act was necessary.

Facts:

The case involves the prosecution of police officials for alleged deaths in fake encounters and torture. The accused assert that the incidents occurred in the discharge of their official duties, while the prosecution contends that they were criminal activities.

Issues:

The requirement of sanction before prosecuting police officials under Section 6 of the Punjab Disturbed Areas Act, 1983, and Section 197 of the Code of Criminal Procedure, 1973. The court needs to determine the necessity of obtaining sanction from both the State and Central Governments.

Held:

The court dismisses the notion that it is bound by the stand of the CBI regarding the referral of cases for sanction to the Central Government. Interim orders passed earlier do not decide the legality or correctness of the impugned orders.

The protection offered by sanction before prosecution is discussed, emphasizing that it assures honest officers but cannot be used to camouflage criminal activities.

The court states that Section 197 must be construed narrowly, and a public servant is not entitled to engage in criminal activities.

Emphasizing the need for a reasonable nexus between the act and official duty, the court suggests that the trial court should proceed on the basis of the prosecution's version but allows the accused to present evidence indicating that the incident was in discharge of their official duties.

The court asserts that the trial court can re-examine the question of sanction at various stages based on the evidence presented during the trial.

Accordingly, we dispose of the appeals.