Tag: Supreme Court of India

Supreme Court Rules Property Can Be Returned During Insolvency If Not Needed
6Sep By The Legal ChamberNo Comments
Supreme Court

Supreme Court Rules Property Can Be Returned During Insolvency If Not Needed

This Supreme Court judgment affirms the paramountcy of the commercial wisdom of the Committee of Creditors (CoC) under the Insolvency and Bankruptcy Code, 2016. It clarifies that the moratorium under Section 14(1)(d) does not bar the return of possession of a corporate debtor's leased asset when such a decision is a conscious business choice made by the CoC and the Resolution Professional to alleviate a financial burden on the estate. Facts Of The Case: The case originated from a dispute over the possession of a property leased by Nandini Impex Private Limited, the corporate debtor. The appellants had provided loans to the company, secured by the title deeds of the property's front and rear portions. Following a default, the property was conveyed to the appellants through separate deeds ...
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When a Society Becomes a “Trust”: Supreme Court’s Landmark Ruling on Mismanagement in Charitable NGOs
6Sep By The Legal ChamberNo Comments
Supreme Court

When a Society Becomes a “Trust”: Supreme Court’s Landmark Ruling on Mismanagement in Charitable NGOs

The Supreme Court ruled that a society registered under the Societies Registration Act, 1860, can be construed as a constructive trust under Section 92 CPC if it is created for public charitable purposes and its properties are held in a fiduciary capacity. This allows aggrieved parties to sue for breach of trust and seek remedies like a scheme for administration. Facts Of The Case: In 2005, Operation ASHA, a society registered under the Societies Registration Act, 1860, was established to provide healthcare services, particularly tuberculosis treatment, to underprivileged sections of society. A dispute arose in 2020 when its co-founder and CEO, Sandeep Ahuja (Respondent No. 3), terminated the services of another co-founder, Dr. Shelly Batra (Respondent No. 1), alleging misrepresentation ...
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Supreme Court Rules on Loan Disguised as Property Deal, Protects Homeowner from Forced Sale
6Sep By The Legal ChamberNo Comments
Supreme Court

Supreme Court Rules on Loan Disguised as Property Deal, Protects Homeowner from Forced Sale

The Supreme Court held that the plaintiff failed to prove the existence of a valid sale agreement, a prerequisite for specific performance under Man Kaur v. Hartar Singh Sangha. The burden of proof was not discharged as the sole evidence was self-serving and key witnesses were not examined. The High Court's reversal of concurrent factual findings was erroneous. Facts Of The Case: The respondents (original plaintiffs) filed a suit for specific performance of an alleged sale agreement dated 12.02.1999, claiming the appellant (defendant) had agreed to sell his house for Rs. 70,000. They asserted having paid Rs. 55,000 as advance and taken possession, subsequently renting the property back to the appellant. The appellant contested the suit, denying any agreement to sell. His defense was that...
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Supreme Court Acquits Man: “Confession to Police” Cannot Be Used as Evidence
6Sep By The Legal ChamberNo Comments
Supreme Court

Supreme Court Acquits Man: “Confession to Police” Cannot Be Used as Evidence

The Supreme Court acquitted the accused, holding that a confessional FIR made to a police officer is wholly inadmissible as evidence under Section 25 of the Indian Evidence Act, 1872. The prosecution failed to prove its case with legally admissible evidence, rendering the medical and other evidence insufficient for conviction. Facts Of The Case: The appellant, Narayan Yadav, himself lodged an FIR at Korba Kotwali Police Station on 27.09.2019, confessing to the murder of Ram Babu Sharma. In the FIR, he stated that a quarrel ensued at the deceased's residence after the latter made an obscene remark upon seeing a photograph of the appellant's girlfriend. In a fit of rage, the appellant claimed he picked up a vegetable knife and inflicted injuries on the deceased, later also hitting him with...
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Supreme Court Settles the Law: A Person Not Named in Police Report Can Still Be Summoned to Face Trial
6Sep By The Legal ChamberNo Comments
Supreme Court

Supreme Court Settles the Law: A Person Not Named in Police Report Can Still Be Summoned to Face Trial

The Supreme Court held that under Section 193 CrPC, a Sessions Court is empowered to summon additional accused persons not named in the police report upon committal of a case, as cognizance is taken of the offence—not the offender—and such power is incidental to the court’s original jurisdiction post-committal. This does not amount to taking "fresh cognizance. Facts Of The Case: The case originated from an FIR registered at Police Station Shivali, Kanpur Dehat, concerning the murder and rape of a woman. The initial investigation named one Ajay as the suspect. However, during the probe, the petitioner's name surfaced based on witness statements and an alleged extra-judicial confession. Despite this, the Crime Branch gave the petitioner a clean chit, and a chargesheet was filed solely agai...
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Supreme Court Upholds Rape Conviction, Rules Victim’s Testimony Alone Is Enough
5Sep By The Legal ChamberNo Comments
Supreme Court

Supreme Court Upholds Rape Conviction, Rules Victim’s Testimony Alone Is Enough

The Supreme Court upheld that a rape conviction can be based solely on the sole, credible testimony of the prosecutrix. Corroboration through medical evidence is not a legal necessity. The absence of injuries does not disprove the offense, especially when the victim's account is consistent and inspires confidence. Facts Of The Case: On April 3, 2018, at approximately noon, a 15-year-old victim and her 11-year-old brother were alone at their home in Rajnandgaon, Chhattisgarh, as their parents had gone to a nearby village to attend a funeral. The appellant-accused, Deepak Kumar Sahu, who was known to the family and lived in the neighbourhood, entered the house. Finding the victim alone, he sent her younger brother away to buy chewing tobacco. Once the brother left, the accused forced the v...
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Technicality or Right? Supreme Court Acquits Man, Rules Mandatory NDPS Procedures Were Ignored
5Sep By The Legal ChamberNo Comments
Supreme Court

Technicality or Right? Supreme Court Acquits Man, Rules Mandatory NDPS Procedures Were Ignored

The Supreme Court held that the High Court erred in dismissing the appeal solely on the ground of delay, particularly when the appellant was incarcerated. On merits, the Court acquitted the accused due to fatal procedural lapses: non-compliance with mandatory sampling guidelines under Standing Order No. 1 of 1989 and Section 52A of the NDPS Act, which rendered the seizure and FSL report unreliable. The trial court also erred in clubbing separate recoveries to constitute commercial quantity without evidence of conspiracy under Section 29. Facts Of The Case: On July 16, 2018, based on source information, police apprehended the appellant, Nadeem Ahamed, and a co-accused, Amit Dutta, near Laxmi Store in Kolkata. A search, conducted in the presence of a Gazetted Officer, led to the recovery o...
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Supreme Court Ruling: Courts Must Appoint Arbitrator Even If Serious Fraud is Alleged
5Sep By The Legal ChamberNo Comments
Supreme Court

Supreme Court Ruling: Courts Must Appoint Arbitrator Even If Serious Fraud is Alleged

The Supreme Court reaffirmed that under Section 11(6A) of the Arbitration Act, a court's role is prima facie confined to examining the existence of an arbitration agreement. All other contentious issues, including allegations of serious fraud and non-arbitrability, are jurisdictional matters that must be decided by the arbitral tribunal under Section 16. Facts Of The Case: The appellant, Bihar State Food and Civil Supplies Corporation, entered into agreements with various rice millers for the custom milling of paddy procured from farmers. The agreements contained an arbitration clause. When the millers allegedly failed to deliver the stipulated quantity of rice, the Corporation initiated recovery proceedings under the Bihar and Orissa Public Demands Recovery Act, 1914. The millers challe...
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Supreme Court Rules: Private Schools Can Sue in Civil Court to Recover Unpaid Fees
5Sep By The Legal ChamberNo Comments
Supreme Court

Supreme Court Rules: Private Schools Can Sue in Civil Court to Recover Unpaid Fees

The Supreme Court held that the civil courts retain jurisdiction to adjudicate fee recovery suits filed by unaided private schools, as there is no express or implied ouster of jurisdiction under the Haryana School Education Act and Rules. The statutory remedy before the Fee and Fund Regulatory Committee is available only to parents/students to challenge excessive fees, not to schools for recovery. Facts Of The Case: The appellant, Apeejay School, an unaided private institution, filed suits for recovery of fees against students and their parents. The dispute arose from a fee hike implemented by the school for the academic year 2009-10, which the respondents refused to pay, continuing instead to remit only the pre-hike amount. The school's suits were initially decreed by the trial court. W...
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Supreme Court Backs Government’s 2025 Notification, Says No Special Treatment for Educational & Industrial Buildings
5Sep By The Legal ChamberNo Comments
Supreme Court

Supreme Court Backs Government’s 2025 Notification, Says No Special Treatment for Educational & Industrial Buildings

The Supreme Court upheld the 2025 EIA Notification, ruling that General Conditions under the 2006 Notification never applied to building and township projects. It affirmed that State-level expert bodies (SEIAA) are competent to appraise such projects. However, the exemption for industrial and educational constructions was struck down as arbitrary. Facts Of The Case: The writ petition challenged the constitutional validity of the notification dated 29th January 2025 and an Office Memorandum dated 30th January 2025, both issued by the Ministry of Environment, Forest and Climate Change (MoEF&CC). The petitioner, an environmental organization, argued that the new notification fundamentally diluted the environmental regulatory regime established by the original 2006 EIA Notification. The ...
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