“Divided Verdict in Narcotics Case: One Conviction Upheld, Another Overturned Due to Procedural Lapses” Narcotic Drugs and Psychotropic Substances Act, 1985 – Sections 42, 50 and 67 – The appeals arise from a common judgment by the Gujarat High Court, dismissing appeals against a trial court’s conviction of the appellants under the NDPS Act for possession of narcotics – The main issues revolve around the compliance with mandatory procedures of the NDPS Act during the search and seizure, and the admissibility of confessional statements under Section 67 of the NDPS Act – The appellants contend non-compliance with Sections 42 and 50 of the NDPS Act, questioning the seizure procedure and the reliability of witnesses – The NCB argues that the procedures were followed correctly, the witnesses are reliable, and there was no motive to falsely implicate the appellants – The Court dismissed Anwarkhan’s appeal, upholding his conviction, while allowing Appellant’s appeal, acquitting him due to insufficient evidence and doubts about the seizure procedure – The Court found the evidence against Anwarkhan convincing but had reservations about the evidence against Appellant, particularly the identification and the admissibility of his confessional statement – The Court applied the principles from the case of Tofan Singh v. State of Tamil Nadu, which ruled that confessional statements under Section 67 of the NDPS Act are not admissible as evidence – Anwarkhan’s conviction stands, while Appellant is acquitted and his bail bonds discharged. The Court directed Anwarkhan to surrender to serve the remaining sentence.

Bysclaw

May 5, 2024

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Motor Vehicles Act, 1988 — Sections 166, 168 — Compensation — Assessment of annual income of deceased/claimant on the basis of Income Tax Returns — Whether the ITR of the previous year alone, or the average of the previous two/three years, is to be taken — Held, no hard and fast formula governs computation of annual income; ITRs, being statutory documents, are an important reference point, but a bifurcation must be made between salaried and self-employed individuals — (i) For salaried individuals, the ITR of the previous year alone ordinarily suffices, since the financial impact of a promotion or salary revision is best reflected in that year’s return; where the deceased had not completed a year in a promoted position, or had not filed a return for that period, the Court may rely on the promotion letter and other corroborative financial statements; (ii) For self-employed persons/those running their own business, the average of the ITRs for up to the previous three years is to be taken as the reference point, having regard to the inherent income fluctuation in such professions — In assessing self-employed income, the surrounding circumstances to be additionally considered include: (a) the nature of the business (including geography and category); (b) its growth pattern and the impact of the death on the business; (c) its potential/future growth, including capital-intensive businesses profitable only at scale; (d) the possibility of negative income in initial years not reflecting the true financial standing; and (e) any other relevant factor — The date of filing of an ITR is also relevant, since income may be inflated after the death/injury; such returns call for closer scrutiny against surrounding financial statements, though they are not to be excluded outright merely for being filed post-death, if adequately supported.