Corporate
Interest Accumulated In Suspense Account After NPA Classification Remains Recoverable As Part Of "Debt" : Supreme Court
The Supreme Court on Wednesday (August 12) held that an interest accumulated in a separate suspense account, pursuant to the declaration of the debtor's account as a Non-Performing Asset, can be recovered by the banks as the same continues to form part of the “debt” due from the borrower and cannot be ignored while calculating outstanding dues. “PNB is entitled to claim the interest due, which was calculated and maintained in a separate suspense account, in addition to the outstanding principal...
Arbitration | Post-Award Section 9 Application By Unsuccessful Party Maintainable In Exceptional Cases : Supreme Court
The Supreme Court on Tuesday (August 11) held that to prevent an award holder's enrichment of a bank guarantee while an award was under challenge, an interim relief under Section 9 of the Arbitration & Conciliation Act, 1996 can be extended on an award debtor's application to preserve the efficacy of the challenge in Section 34. A bench of Justice KV Viswanathan and Justice Alok...
Trademark Suit | Defendant Can Cross-Examine Plaintiff On Period Of Brand Use Though Written Statement Not On Record : Supreme Court
The Supreme Court has held that a defendant in a trademark infringement suit can question the plaintiff during cross-examination about the documents showing when the disputed brand name was first used, even if the defendant's written statement has not been taken on record.A Bench of Justice JB Pardiwala and K Vinod Chandran set aside the High Court's order which had treated the question as...
Insider Trading Presumed When Person Having Confidential Information Trades; Loss Or Profit Irrelevant : Supreme Court
The Supreme Court on Tuesday (August 11) held that a mere possession of Unpublished Price Sensitive Information (UPSI) coupled with trading in securities during the UPSI period is sufficient to attract presumption for insider trading under the SEBI (Prohibition of Insider Trading) Regulations, 2015. Setting aside the Securities Appellate Tribunal's (SAT) order, a bench of Justice Sanjay...
GST | Exporters Whose Applications Were Pending Before Omission Of Rule 96(10) Entitled To IGST Refund : Supreme Court
The Supreme Court has given a quietus to the controversy surrounding exporters' eligibility to claim Integrated Tax (IGST) refunds, with their applications pending when the rule restricting such claims was omitted in 2024 without any saving clause. Providing relief to exporters, a bench of Justice JB Pardiwala and Justice K Vinod Chandran held that exporters whose applications were pending...
S. 44B Income Tax Act | Cruise Voyages Remain Shipping Business Though Providing Entertainment & Hospitality Services : Supreme Court
The Supreme Court has recently held that a foreign cruise ship operator that provides hospitality and entertainment services during a voyage would still qualify as a shipping business under Section 44B of the Income Tax Act. Thus, its taxable income would be computed on a presumptive basis at 7.5% of the specified receipts by an assessee under the provision. Dismissing the Revenue's appeal,...
IBC | PF Dues Protected, But Uncrystallised Interest & Damages Can Be Excluded From Resolution Plan : Supreme Court
The Supreme Court has held that unadjudicated claims for interest and damages under the Employees' Provident Funds and Miscellaneous Provisions Act, 1952, which had not been determined before the commencement of the Corporate Insolvency Resolution Process (CIRP), need not be provided for in a resolution plan approved under the Insolvency and Bankruptcy Code, 2016 (IBC).A bench of Justice...
GST | 'ITC Available To Buyer Only If Supplier Paid Tax', Supreme Court Upholds Validity Of S. 16(2)(c) Of CGST Act
The Supreme Court has recently affirmed the Gujarat High Court's judgment, which held that the Input Tax Credit (ITC) can be availed only if the supplier has actually paid the tax to the government.A bench of Justice Sanjay Kumar and Justice Sanjeev Sachdeva dismissed a batch of petitions filed against the Gujarat High Court's judgment, which had upheld the constitutional validity of...
IBC Moratorium Against Company Doesn't Bar Consumer Complaints Against Promoters, Directors : Supreme Court
The Supreme Court on Monday (July 27) observed that an operation of a moratorium under the Insolvency & Bankruptcy Code, 2016, against a residential project development company would not be a ground to reject the consumer complaints against its promoters/directors. “In the present case, Respondent No.1 alone is the corporate debtor against whom the CIRP has been initiated. No...
TRAI's Direction To Comply With Regulations Is Not 'Adjudication' : Supreme Court
The Supreme Court on Friday (July 24) held that a direction of the Telecom Regulatory Authority of India (TRAI) to comply with the provisions of the Act cannot be termed as 'adjudication' under the Telecom Regulatory Authority of India Act, 1997. “A direction to obey a regulation operates upon the regulated entity in the discharge of TRAI's regulatory function under Section 11(1)(b) read...
Stamp Duty On Mining Leases Based On Anticipated Royalty, Not Dead Rent : Supreme Court
The Supreme Court on Thursday (July 23) ruled that stamp duty payable on mining leases must be calculated based on anticipated royalty and not dead rent. Relying on the proviso to Section 26 of the Indian Stamp Act, 1899, a bench of Justice Sanjay Karol and Justice Augustine George Masih dismissed the M/s. Birla Corporation Ltd. appeal against the Madhya Pradesh High Court's decision to...