2G Spectrum Scam : SC directs Union Government to file affidavit

Supreme Court

Source : Indlaw.com

Solicitor General of India Gopal Subramanium today defending Prime Minister Manmohan Singh in the Supreme Court claimed that the Prime Minister has maintained high propriety in all communications including Janata Party leader Subramanian Swamy’s letter.

Dr Swamy submitted before a bench comprising Justices G S Singhvi and A K Ganguly that some senior officials may be permitted to file an affidavit on behalf of the Prime Minister. 

The apex court directed the government to file by Saturday an affidavit on behalf of the Prime Minister giving details of all communications between the Prime Minister and Dr Swamy. 

The apex court told the Solicitor General ‘It is an extremely serious matter and all submissions made so far are only oral and therefore, you should file an affidavit so that if ultimately it is found that something important has been kept back, the record should speak.’ The Supreme Court adjourned till Monday the hearing of the two petitions in the Rs 1.76 lakh crore 2G Spectrum scam in which former Communications minister A Raja is the main accused. 

Dr Swamy had written to the Prime Minister in November 2008, seeking sanction for the prosecution of Mr Raja under the Prevention of Corruption Act. 

PMO responded to the letter after about 15 months on March 10,2010 and the CBI registered a case in September 2009 against an unknown person. 

Dr Swamy has been given time till Saturday to respond to the affidavit of the government. 

Dr Swamy had sent another letter to Prime Minister yesterday demanding that security of Raja be stepped up as he faces threat to his life from a Dubai based hitman and has expressed the apprehensions that he may be silenced forever for being in possession of sensitive information on the scam.

Government may introduce Judicial Standards and Accountability Bill, 2010

Source : Indlaw.com

A Bill proposed to ensure ‘greater accountability and transparency’ in India’s higher judiciary provides for ‘rigorous imprisonment and fine for frivolous or vexatious complaints,’ Parliament was told. 

Law and Justice Minister M Veerappa Moily said in a written reply in the Rajya Sabha that the government ‘proposes to bring in The Judicial Standards and Accountability Bill, 2010,’ but did not say when it would do so. 

He was answering Janta Dal (United) member from Bihar Anil Kumar Sahani who wanted to know the salient objectives of the proposed Bill and steps to ‘check misuse of the legislation.’ The Bill will lay down judicial standards to be followed by the Judges of the Supreme Court and the High Courts, a mechanism for enquiring into complaints against Judges and provide for declaration of their assets and liabilities, Moily said. 

The Minister said it would also punish misuse. ‘The Bill provides for rigorous imprisonment and fine for frivolous or vexatious complaints.’ Moily told another member that the government was collecting information on the number Supreme Court judgements which are more than two years old and yet to be implemented. 

He was answering Indian National Congress member from Andhra Pradesh Nandi Yellaiah who wanted to know the number of such judgements and the steps taken for their implementation, especially in his State. 

Answering Bharatiya Janata Party’s Jai Prakash Narayan Singh from Jharkhand, Moily said that a proposal to give the Law Commission ‘statutory status is under consideration of the government.'

Supreme Court asks Vodafone to deposit Rs.2,500 crore

Source : Thaindian.com

The Supreme Court Monday asked telecom major Vodafone to deposit, within three weeks, Rs.2,500 crore as a component of its tax liability on its transaction with Hutchinson International Ltd. for acquiring its India operations Hutch Essar.

The apex court bench of Chief Justice S.H.Kapadia, Justice K.S. Radhakrishnan and Justice Swatanter Kumar asked the telecom giant to give a bank guarantee of Rs.8,500 crore for the balance tax liability calculated against it by the tax authorities.

The court said that Rs.2,500 crore should be deposited within three weeks and bank guarantee of Rs.8, 500 crore be given within eight months. The bank guarantee has to be from a nationalised bank.

The court said that if Vodafone succeeds in its case, the tax authorities would refund the excess amount with interest to be decided by the apex court.

Appearing for Vodafone, senior counsel Harish Salve said that after apportionment, its tax liability comes to Rs.1,330 crore. This was countered by Attorney General G. Vahanvati, who argued that the total tax liability was to the tune of Rs.11,000 crore.

The court then asked Vodafone to deposit an amount of Rs.2,500 crore and give a bank guarantee of Rs.8,500 crore.

Vodafone has challenged the Bombay High Court verdict that asked the tax authorities to go ahead with the assessment of the tax liability of telecom giant arising out its acquisition of India operations of Hutch Essar.

Vodafone has contended that it did not attract the jurisdiction of the Indian tax authorities as Vodafone PLC is a Netherlands based and Hutchinson International Ltd. was Hong Kong based.

It has also contended that the transaction of Vodafone acquiring Hutch Essar too took place on foreign soil.

The entire deal between the two telecom giants was to the tune of $11 billion and the tax liability works out to be $2 billion. Upon conversion in rupee, the tax liability along with interest component works out to be Rs. 11,128 crore, the tax athorities have claimed.

Set up Armed Forces Grievances Redressal Commission : Supreme Court

Source : Indlaw.com

The Supreme Court directed the Union government to set up within two months the Armed Forces Grievances Redressal Commission for speedy disposal of the grievances of the serving and retired servicemen and their family members. 

A bench comprising Justice Markandey Katju and Ms Justice Gyansudha Misra directed that the commission would be headed by a retired Supreme Court Judge and Mr Justice Kuldeep Singh shall be the first chairman. 

The Vice-chairman shall be a retired Chief Justice of a High Court and Justice S S Sodhi shall be the first vice-chairman. 

Retired Army Chief General V P Malik, Lieutenant General Vijay Oberoi (retired Vice Chief of Army Staff) and a civil servant to be appointed by the Centre would be the members. 

The commission office bearers would have tenure of two years, renewable after two years. 

The apex court also directed the commission would also frame and recommend to the Centre a scheme for proper rehabilitation of discharged soldiers who usually retire at the age of 40 years if promoted to the rank of Havildar. 

The apex court also recommended that a discharged soldier should be given alternative employment so that he can support his family and the commission will go into this matter also in detail and suggest appropriate scheme for rehabilitation of ex-army men who also include Air Force and Navy personnel who retire at a relatively young age. 

The commission will have its office in Chandigarh with recommendatory power and all authorities in India civil or military (including the secretary defence and the chiefs of the Army, Navy and Air Force) shall extend all cooperation to the commission to enable it to discharge its functions effectively and the Centre would issue the notification constituting the commission forthwith. 

Directions have been issued on the petition of Pushpavanti who was getting Rs 80 per month as pension after the death of her husband, an Army major who had fought 1948, 1962 and 1965 wars for the country and was a highly decorated officer with 14 medals. In these days a kilogram of Ahrar dal costs Rs 80. 

Her petition automatically stands transferred to the commission for speedy disposal and the next hearing of the case would be on February 7, 2011.


Find the Entire Text of the Judgment here.