Supreme Court Recalled Its Ruling in Which It Declared Certain Provisions of Benami Act Unconstitutional
- Blog|News|Income Tax|
- 2 Min Read
- By Taxmann
- |
- Last Updated on 23 October, 2024
Latest from Taxmann
Case Details: Union of India v. Ganpati Dealcom (P.) Ltd. - [2024] 167 taxmann.com 525 (SC)
Judiciary and Counsel Details
- Dr. Dhananjaya Y. Chandrachud, CJI. Pamidighantam Sri Narasimha & Manoj Misra, JJ.
- Tushar Mehta, Solicitor General, Suryaprakash V Raju, A.S.G., Vikramjit Bannerjee, Siddharth Sinha, Zoheb Hussain, S A Haseeb, Mrs Aakansha Kaul, Bhuvan Mishra, Ritwiz Rishabh, Kanu Agarwal, Advs. & Raj Bahadur Yadav, AOR for the Petitioner.
- Ajay Vohra, Ms Manisha T. Karia, Sr. Advs., Ankit Anandraj Shah, Pai Amit, Ms Iyer Shruti Gopal, AORs, Aniket, Ms Bhoomija Verma, Abhimanyu Singh, Shantanu Singh, Ravi Sehgal, Deepin Deepak Sahni, Ms Ananya Arora, Ms Shreya Gupta & Anandh K., Advs. for the Respondent.
Facts of the Case
The Supreme Court has allowed the review petition filed by the Union of India and recalled its judgment in the case of Ganpati Dealcom Pvt Ltd [2022] 141 taxmann.com 389 (SC).
Supreme Court Held
The Apex Court, in the case of Ganpati, declared Section 3(2) and Section 5 of the Prohibition of Benami Property Transactions Act, 1988, as amended by the Benami Transactions (Prohibition) Amendment Act, 2016, as unconstitutional. The Court had held that Section 3(2) was manifestly arbitrary and violative of Article 20(1). Further, the provisions of Section 5 of the 2016 Amendment Act were declared unconstitutional as they were punitive in nature and could only be applied prospectively and not retroactively.
In the instant case, the review was allowed as the challenge to the constitutional validity of a statutory provision cannot be adjudicated upon in the absence of a lis and contest between the parties. The Supreme Court held that there was no challenge to the constitutional validity of the unamended provisions, and the same was clear from the formulation of the question that arose for consideration before the Bench in the judgment. The issue of constitutional validity was not squarely addressed in the submissions of parties recorded in the judgment.
Thus, the Court allowed the review petition and recalled the judgment.
List of Cases Reviewed
- Union of India v. Ganpati Dealcom (P.) Ltd. [2022] 141 taxmann.com 389 (SC) (para 6) recall.
List of Cases Referred to
- Union of India v. Ganpati Dealcom (P.) Ltd. [2022] 141 taxmann.com 389/(2023) 3 SCC 315 (SC) (para 2).
Disclaimer: The content/information published on the website is only for general information of the user and shall not be construed as legal advice. While the Taxmann has exercised reasonable efforts to ensure the veracity of information/content published, Taxmann shall be under no liability in any manner whatsoever for incorrect information, if any.
Taxmann Publications has a dedicated in-house Research & Editorial Team. This team consists of a team of Chartered Accountants, Company Secretaries, and Lawyers. This team works under the guidance and supervision of editor-in-chief Mr Rakesh Bhargava.
The Research and Editorial Team is responsible for developing reliable and accurate content for the readers. The team follows the six-sigma approach to achieve the benchmark of zero error in its publications and research platforms. The team ensures that the following publication guidelines are thoroughly followed while developing the content:
- The statutory material is obtained only from the authorized and reliable sources
- All the latest developments in the judicial and legislative fields are covered
- Prepare the analytical write-ups on current, controversial, and important issues to help the readers to understand the concept and its implications
- Every content published by Taxmann is complete, accurate and lucid
- All evidence-based statements are supported with proper reference to Section, Circular No., Notification No. or citations
- The golden rules of grammar, style and consistency are thoroughly followed
- Font and size that’s easy to read and remain consistent across all imprint and digital publications are applied
Sign Up
To subscribe to our weekly newsletter please log in/register on Taxmann.com
Latest Books
Everything on Tax and Corporate Laws of India
To subscribe to our weekly newsletter please log in/register on Taxmann.com
