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Income Tax Act, 1961 — Section 36(1)(viii) — Interpretation of “derived from” vs. “attributable to” — The phrase “derived from” connotes a requirement of a direct, first-degree nexus between the income and the specified business activity (providing long-term finance) — It is judicially settled that “derived from” is narrower than “attributable to,” thus excluding ancillary, incidental, or second-degree sources of income — If income is even a “step removed” from the core business, the nexus is broken (Paras 14, 15, 20, 33). Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 (POSH Act) — Section 11 — Internal Complaints Committee (ICC) — Jurisdiction against employee of different department — The ICC constituted at the workplace/department of the “aggrieved woman” has jurisdiction to entertain and inquire into a complaint of sexual harassment against a “respondent” who is an employee of a different department/workplace — The phrase “where the respondent is an employee” in Section 11 refers to a procedural condition (directing the ICC to apply the service rules applicable to the respondent as an employee) rather than a jurisdictional constraint limiting a particular ICC to hear the complaint. (Paras 2, 25, 27, 36-46, 72(i)) Arbitration and Conciliation Act, 1996 — Section 11(4) — Appointment of Arbitrator — Existence of Arbitration Agreement — Non-Signatory/Third Party — The Referral Court (Appointing Authority) is required to inspect and scrutinize the dealings between the parties to prima facie examine the existence of an arbitration agreement, including whether a non-signatory is a “veritable party” to the agreement. (Paras 24, 25, 27, 28, 35) Criminal Procedure Code, 1973 (CrPC) — Section 482 — Quashing of First Information Report (FIR) — Abuse of process of law — When civil dispute is masked as criminal complaint — Allegations in FIR (claiming criminal conspiracy, forcible occupation, and caste abuse) found inconsistent with contemporaneous civil suit filed by the informant regarding the same property and on the same day — Suit’s cause of action traced to earlier dates and did not mention the specific criminal incident alleged in the FIR — Absence of relief to set aside primary sale deeds in the suit suggests the criminal allegations are an afterthought or exaggerated — FIR quashed as a clear abuse of the process of law. (Paras 3, 6, 8, 9, 10) Service Law — Resignation — Forfeiture of past service — Central Civil Service (Pension) Rules, 1972 — Rule 26(1) — Distinction between Resignation and Voluntary Retirement — An employee who resigns from service forfeits past service as per Rule 26(1) of the 1972 Rules, regardless of the length of service completed (20 years or more) — The act of resignation cannot be re-classified as voluntary retirement to claim pensionary benefits, as this would nullify the distinction between the two concepts and render Rule 26 nugatory — Claim for pension correctly denied where the employee resigned from service. (Paras 3, 4, 6, 9, 9.1, 9.5, 9.6, 12)

Unauthorised Possession—To prove that the possession is legal, prima facie plaintiff has to prove that he is either the owner of such property or is in possession as a lawful tenant or is in its permissive possession with the express consent of its true owner

2018(4) Law Herald (SC) 3416: 2018 LawHerald.Org 1949 IN THE SUPREME COURT OF INDIA Before Hon’ble Mr. Justice Abhay Manohar Sapre Hon’ble Mrs. Justice Indu Malhotra Civil Appeal Nos. 11761-11762…

ALOK VERMA, CBI DIRECTOR Case–Contention of the Attorney General that the action against Verma cannot be regarded as “transfer” or “removal”, as he was merely taken off charge, Repelled by court. “the term ‘transfer’, as used in section 4B of the DSPE Act, cannot be understood in its traditional sense and must be interpreted as including actions which impact the functioning of the CBI Director – held that the word “transfer” has to be understood as encompassing all acts which affect the independent functioning of CBI Director” Further Held “Vineet Narain and others vs. Union of India and another, (1998) 1 SCC 226 case cannot be disregarded, and the subsequent enactment of the CVC Act, introducing amendments to the DSPE Act, in pursuance of the 1997 judgment was with the object of ensuring absolute insulation of the CBI Director.”

SUPREME COURT OF INDIA FULL BENCH ALOK KUMAR VERMA — Appellant Vs. UNION OF INDIA AND ANOTHER — Respondent ( Before : Ranjan Gogoi, C.J.I, Sanjay Kishan Kaul and K.M.…

Non­compoundable offence – Quashing of criminal proceedings on the ground that the accused and the original Complainant have settled the dispute amicably – Despite any settlement between the Complainant on the one hand and the accused on the other, the criminal proceedings for the offences under Section 307 of the IPC cannot be quashed, as the offence under Section 307 is a non­compoundable offence

SUPREME COURT OF INDIA DIVISION BENCH STATE OF MADHYA PRADESH — Appellant Vs. KALYAN SINGH AND OTHERS — Respondent ( Before : D. Y. Chandrachud and M. R. Shah, JJ.…

Murder—Death Sentence—Minor girl raped and murdered—Appellant had no criminal antecedents prior to commission of this crime and his post incarceration conduct suggests the possibility of his reform—Death sentence commuted to life sentence–Though the crime committed of an abominable nature but it cannot be said to be such a brutal, depraved heinous or diabolical nature so as to fall into the category of the rarest of rare cases

2018(4) Law Herald (SC) 3372 : 2018 LawHerald.Org 1943 IN THE SUPREME COURT OF INDIA Before Hon’ble Mr. Justice N.V. Ramana Hon’ble Mr. Justice Mohan M. Shantanagoudar Hon’ble Mr. Justice…

Witness Protection Scheme—Scheme as prepared by Union of India approved by SC and shall come into force with immediate effect Witness Protection Scheme–Vulnerable Witness Deposition Complexes—Directions issued to State and Union Territories to set up such complexes in all the district Courts in India by the end of the year 2019.

2018(4) Law Herald (SC) 3342 : 2018 LawHerald.Org 1940 IN THE SUPREME COURT OF INDIA Before Hon’ble Mr. Justice A.K. Sikri Hon’ble Mr. Justice S. Abdul Nazeer Writ Petition (Criminal)…

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