Supreme Court Upholds Bombay High Court Ruling Setting Aside ₹8,415 Crore YES Bank AT-1 Bond Write-Down

The Supreme Court has dismissed appeals filed by YES Bank Limited, the Reserve Bank of India (RBI) and the Union of India, upholding the Bombay High Court's decision setting aside the permanent write-down of YES Bank's Additional Tier-1 (AT-1) bonds worth ₹8,415 crore.A Bench of Justice Dipankar Datta and Justice Augustine George Masih held that the Administrator of YES Bank could not write down the bonds in contravention of the final YES Bank Limited Reconstruction Scheme, 2020, particularly...

Calcutta High Court Holds Customs Can Independently Sample Imported Food For Tariff Classification, Fraud Investigation

The Calcutta High Court has held that Customs authorities can independently draw samples of imported food articles under Section 144 of the Customs Act, 1962, for customs examination, tariff classification, valuation and investigation of fiscal fraud, even where the goods are food items.A Division Bench of Justice Rajarshi Bharadwaj and Justice Sudip Deb held that the Customs Act and the Food Safety and Standards Act, 2006 (FSS Act) operate in distinct, concurrent and non-conflicting legislative...

NCLT Kolkata Rejects Section 9 Plea Against Bridge & Roof Company Over Pre-Existing Dispute

The National Company Law Tribunal (NCLT), Kolkata Bench-II, comprising Judicial Member Labh Singh and Technical Member Rekha K. Shah, has dismissed a plea seeking initiation of Corporate Insolvency Resolution Process (CIRP) against Bridge & Roof Company (India) Limited, holding that a pre-existing dispute existed between the parties.A Company Petition under Section 9 of the Insolvency and Bankruptcy Code, 2016 (IBC), was filed by Rohit Garg, proprietor of Garg Infratech, seeking initiation...

Operational Creditor Who Suffered 99.28% Haircut In CIRP Can Claim Set-Off In Post-CIRP Arbitration Initiated By SRA: Supreme Court

The Supreme Court held that an operational creditor whose claim stood extinguished under an approved resolution plan can raise a counterclaim solely for set-off against amounts found payable to the successful resolution applicant under the same contract, but cannot seek independent monetary recovery.The Court has held that an operational creditor who suffered a 99.28% haircut under an approved resolution plan can raise a counterclaim for set-off in arbitration initiated by the successful...

Developer's Failure To Refund Amount After Cancelling Flat Allotment Is An Unfair Trade Practice; Kolkata Consumer Commission

The District Consumer Disputes Redressal Commission, Kolkata-I (North), comprising Kallol Chattopadhyay (President), Sahana Ahmed Basu (Presiding Member), and Rukhsana Samim (Member), has partly allowed a complaint against M/s Ideal Real Estate Private Limited and held that a real estate developer's failure to refund the amount deposited by homebuyers after cancelling their allotment constitutes an "unfair trade practice".BackgroundThe Homebuyers had executed an Agreement for Sale with the...

Madras High Court Acquits Wife & Chartered Accountant In BSNL Disproportionate Assets Case

The Madras High Court has acquitted the wife and Chartered Accountant of a deceased former BSNL official in a disproportionate assets case, holding that the prosecution failed to prove criminal conspiracy, forgery or abetment and had not properly considered the wife's independent income and Income Tax Returns while assessing the alleged disproportionate assets.The prosecution alleged that former BSNL official K. Raju had amassed assets disproportionate to his known sources of income to the tune...

Reserved Seat Cannot Be De-Reserved After Counselling Begins Merely Because No Eligible Reserved Candidate Is Available: Delhi High Court

The Delhi High Court has held that a reserved seat cannot be de-reserved after the counselling process has commenced merely because no eligible candidate from the reserved category is available. Justice Dinesh Mehta observed that permitting de-reservation after candidates have exercised their options based on the published seat matrix would prejudice more meritorious candidates and undermine the fairness and transparency of the admission process.Answering a reference arising out of a split...

MMDR Act Offence Cannot Be Taken Cognizance Of On Basis Of Police Final Report, Reiterates Madras High Court

The Madras High Court has reiterated that courts cannot take cognizance of an offence under the Mines and Minerals (Development and Regulation) Act, 1957 (MMDR Act) on the basis of a police final report, holding that Section 22 of the Act requires a complaint by an authorised person before cognizance can be taken. Justice V. Lakshminarayanan consequently discharged the accused insofar as the offence under Section 21 of the MMDR Act was concerned, while permitting the prosecution for theft under...

NCSC Has Recommendatory, Not Adjudicatory Powers; Cannot Issue Binding Directions In Service Matters: Supreme Court

The Supreme Court has held that the National Commission for Scheduled Castes (NCSC) does not possess adjudicatory powers under Article 338 of the Constitution and cannot issue binding directions in service matters. A Bench of Justice Sanjay Karol and Justice Augustine George Masih observed that the Commission's role is recommendatory and advisory in nature, and not that of an adjudicatory body empowered to determine rights or grant enforceable relief.The Court was dealing with an appeal filed by...

Mere LOI, Section 79A Compliance & Draft Development Agreement Do Not Prima Facie Establish Concluded Redevelopment Contract: Bombay High Court

The Bombay High Court has held that the appointment of a developer, issuance of a Letter of Intent (LOI), completion of proceedings under Section 79A of the Maharashtra Co-operative Societies Act, exchange of draft Development Agreements and payment of substantial amounts do not, by themselves, prima facie establish a concluded and enforceable redevelopment contract. The Court observed that where the contractual documents contemplate approval by the General Body and execution of the Development...

Madras High Court Issues Guidelines On Video Conferencing In Criminal Trials; Permits Accused Residing Outside State/Country To Appear Remotely In Appropriate Cases

In a significant ruling on the use of technology in criminal proceedings, the Madras High Court has laid down broad guidelines governing the exercise of judicial discretion in permitting accused persons to participate in criminal proceedings through video conferencing. The Court held that, even in proceedings governed by the Code of Criminal Procedure, 1973, trial courts may permit virtual participation in appropriate cases by drawing guidance from the BNSS, the Madras High Court Video...

Arbitral Tribunal Terminates Proceedings After Holding Continuation 'Unnecessary And Impossible' Under Section 32(2)(c)

An Arbitral Tribunal comprising Justice V.K. Shali (Retd.), former Judge of the Delhi High Court, as Presiding Arbitrator, and B.R. Goel as Co-Arbitrator, has allowed an application filed by the respondent under Section 32(2)(c) of the Arbitration and Conciliation Act, 1996, holding that the continuation of the arbitral proceedings had, for all practical purposes, become "unnecessary and impossible." The Tribunal accordingly terminated the arbitration proceedings.The respondent had sought...