Court : Supreme Court of India
Reported in : [1966]60ITR442(SC)
Subba Rao, J. 1. This appeal by special leave is preferred against the judgment and order of the High Court of Bombay in a reference made to it by the Income-tax Appellate Tribunal under section 66(1) of the Indian Income-tax Act, 1922, hereinafter called the Act. 2. The following question was referred to the High Court : 'Whether, on the facts and in the circumstances of the case, the commission of Rs. 2,45,557 was exempt in the hands of the assessee by virtue of the Notification No. 878F dated March 21,1922, as amended by Notification No. 8 dated March 24, 1928 ?' 3. The facts that led up to the reference may be briefly stated : One S. P. Gallini was dosing business in art-silk in the name and style of 'Rayon Yarns Import Company'. Under an agreement dated May 30, 1948, he appointed E. Francescanto, the respondent, as his manager. For the assessment year 1949-50 Gallini claimed a deduction of Rs. 2,45,557 the commission paid by him to the respondent in terms of the agreement, from hi...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1966SC1178; [1966]2SCR828; [1966]17STC489(SC)
CIVIL APPELLATE JURISDICTION : Civil Appeals Nos. 673 and 677 of 1964. Appeals from the judgment dated December 5, 1963 of the Kerala High Court in Original Petition Nos. 1153, 1012, 1880, 1885 and 1886 of 1962. A. V. Viswanatha Sastri and R. Ganapathy Iyer, for appel- lant. P. Govinda Menon and M. R. K. Pillai, for respondent No.1. SUBBA RAO, J. delivered a dissenting Opinion. The Judgment of SHAH and SIKRI, JJ. was delivered by Shah, J. Subba Rao, J. I regret my inability to agree. The facts of the case and the arguments of earned counsel have been fully stated by my learned brother, Shah, J., and I need not recapitulate them here. The short question is whether the hire-purchase agreements entered into by the appellant with its customers are transactions of sale of goods or are only documents securing the return of the loans advanced by it to its customers. It is common case that the said documents ex facie purported' to be hire-purchase agreements and if that was their real characte...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1966SC945; 1966CriLJ709; [1966]2SCR822
Mudholkar, J.1. The appellant, a police constable, was tried for offences under Sections 170, 342 and 392, Indian Penal Code but was acquitted by the trying Magistrate of all these offences. The High Court to which an appeal was preferred by the State Government set aside the acquittal and convicted the appellant of each of these offences. It sentenced him to rigorous imprisonment for a period of one year in respect of the offence under s. 170 and to a period of six months for an offence under s. 342. In respect of the offence under s. 392 the High Court sentenced him to undergo rigorous imprisonment for a period of four years and further ordered that all the sentences should run concurrently. 2. Briefly stated the prosecution case was that the appellant who was posted at Rewa took leave for 15 days from August 7, 1958 with a view to go to his village Hati in District Satna but instead went to Jabalpur wearing the uniform of a police head constable. There he met the complainant Ram Kum...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1966SC1546; [1966]2SCR752; [1966]17STC313(SC)
Subba Rao, J.1. This appeal by special leave raises the question of the interpretation of Item No. 39 of the Notification No. 58, dated October 24, 1953, hereinafter called the 'Notification', issued by the Government of Madhya Bharat under the Madhya Bharat Sales Tax Act, Samvat 2007 (Act No. 30 of 1950), hereinafter called the Act. 2. The facts are as follows : Hiralal, the respondent, is the manager of a joint Hindu family carrying on business in the name and style of 'Messrs. Tilokchand Kalyanmal'. The joint family owns a re-rolling mill situated in Indore City called the Central India Iron and Steel Company. The said family purchases scrap iron locally and imports iron plates from outside and after converting them into bars, flats and plates in the Mills sells them in the market. The respondent made a default in furnishing the returns prescribed by s. 7(i) of the Act for the period April 1, 1954, to March 31, 1955. On February 27, 1956, the Sales-tax Officer, Indore, determined th...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1966SC1569; 1966CriLJ1208; [1966]2SCR815
Mudholkar, J. 1. This is an appeal by certificate from a judgment of the High Court of Calcutta setting aside the acquittal of M/s. Baburally Sardar of Steward Hogg Market, Calcutta, appellant no. 1 and of Abdul Razzak, a partner of that firm, appellant no. 2, in respect of an offence under s. 16(1)(a)(i) of the Prevention of Food Adulteration Act, 1954 read with s. 7(1) of that Act. The facts which are not in dispute are briefly these : On June 1, 1960 a Food Inspector of the Corporation of Calcutta visited the shop of the appellants. At that time Abdul Razzak was in charge. He took samples of Comela Brand condensed milk from the shop, one of which was sent to the Public Analyst. Upon an analysis made by the Public Analyst the milk fat content of the condensed milk was found to be 3.4% which did not conform to the prescribed standard in respect of condensed milk. A complaint was thereupon lodged against the firm before the Municipal Magistrate and Additional Chief Presidency Magistrat...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1966SC1453; [1966]60ITR28(SC); [1966]2SCR761
Subba Rao, J.1. These appeals raise the question of the liability of the appellants to pay income-tax under s. 44D(1) of the Indian Income-tax Act, 1922, hereinafter called the Act, in respect of the income of the M.C.T.M. Banking Corporation Limited. 2. Sir M. Ct. M. Muthiah Chettiar, his wife Deivanai Achi, his two sons Chidambaram Chettiar and Muthiah Chettiar, and his two daughters Umayal Achi and Vallia Murai Achi constituted an undivided Hindu family. The said family carried on money-lending business on an extensive scale in British India, Burma and elsewhere. Upto and inclusive of the year 1927-28, the undivided Hindu family was assessed to income-tax as such. During the assessment year 1928-29 it was claimed that a partition had taken place in the said family and that Sir M. Ct. M. Muthiah Chettiar and his two sons constituted a firm. The said firm was duly registered and it was assessed to income-tax. After the death of the said Sir M.Ct.M. Muthiah Chettiar in 1929, his two so...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1966SC1220; [1966]2SCR770
Gajendragadkar, C.J.1. The appellant, Edwingson Bareh, belongs to the village of Barato in Jowai area of the United Khasi-Jaintia Hills District in Assam. He is an elector from the said area to the District Council of the said United Khasi-Jaintia Hills District. In fact, he was elected as a member to the said District Council from Nongjngi Constituency (No. 23). This constituency fell within the Jowai area of the said District. Later, the appellant was elected as Chief Executive Member of the District Council in March, 1963. By virtue of his office, he draws a monthly salary and other allowances under the provisions of the United Khasi-Jaintia Hills District Council Chairman's, Deputy Chairman's and Executive Member's Salaries and Allowances Act, 1953. He is entitled to hold the said office till a new District Council is elected and takes over. 2. On the 26th January, 1950, when the Constitution came into force, the United Khasi-Jaintia Hills District was formed as one of the Tribal A...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1966SC984; [1966]60ITR36(SC); [1966]2SCR756
Sikri, J.1. This appeal, by certificate of the High Court of Madras, is directed against its judgment in a reference made to it under s. 66(1) of the Indian Income Tax Act, 1922, hereinafter referred to as the Act, by the Income Tax Appellate Tribunal, Madras. The question referred to was 'whether the assessment of the income of the assessee, other than his salary in the hands of the assessee, as an individual and not as a Hindu undivided family till December 11, 1952, for the assessment year 1953-54 is valid.' 2. The question arose out of the following facts. The appellant, hereinafter referred to as the assessee, is the youngest son of T. V. Sundaram Ayyangar, who was the Karta of a Hindu undivided family consisting of a number of persons. There was a partial partition of the above family and 150 shares of Rs. 1,000 each in T. V. Sundaram Iyengar and Sons Limited, a private limited company, were divided equally among the coparceners, the assessee getting 25 shares of the value of Rs....
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1966SC911; 1966(0)BLJR397; 1966CriLJ700; [1966]2SCR740
Mudholkar, J. 1. This judgment will also govern Crl. As. No. 166 of 1962, 167 of 1962 and 168 of 1962. A common question arises in these appeals from a judgment of the Patna High Court dismissing four revision applications preferred before it by four sets of appellants in the appeals before us. Counsel on both the sides agree that since the relevant facts of all the proceedings are similar and the question of law arising from them is the same it will be sufficient to refer to the facts of Case No. TR 320/60. 2. Four informations were lodged at the police station, Ghora Saha on April 14, 1960 by different persons against the different appellants in these cases and a similar information was lodged against some of the appellants by one Mali Ram. In all these cases the allegations made by the informants were that each set of the accused persons armed with deadly weapons went to the shops of the various informants, demanded from them large sums of money and threatened them with death if the...
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1966SC843; [1966]60ITR1(SC); [1966]2SCR720
CIVIL APPELLATE JURISDICTION : Civil Appeals Nos. 813 and 814 of 1963. Appeals by Special Leave from the Judgment and Order dated the December 30, 1960 of the Punjab High Court in Income Tax Reference No. 10 of 1959. Niren De, Additional Solicitor-General, Gopal Singh and R. N. Sachthey, for the appellant. G. C. Sharma, Uma Mehta, B. S. Pachauri and K. K. fain, for the respondent. The Judgment of Sarkar and Mudholkar, JJ. was delivered by Sarkar J. Bachawat, J. delivered a dissenting Opinion.Sarkar J. The respondent is a company incorporated in 1912. The immediate object of the Company was to acquire from the People's Bank of India Ltd. the licence it had obtained from the Government for the supply of electricity to Lahore city. The Company acquired that licence in 1913 and the necessary plants and machinery for the generation and supply of electricity. Between 1923 and 1939 it acquired licences for similar purposes in regard to various other places in different parts of India. All the...
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