Agusta: HC stay on proceedings against Khaitan set aside

Tribune News Service

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New Delhi, October 15

The Supreme Court on Tuesday set aside a Delhi High Court order restraining the Income Tax Department from taking any action against VVIP chopper scam accused Gautam Khaitan, who is facing a separate black money probe.

In its May 16 order, the Delhi High Court said the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 – that came into force in April 2016 — cannot be allowed to operate with retrospective effect from July 2015.

However, a Bench of Justices Arun Mishra, MR Shah and BR Gavai said, “We find that the interim order passed by the High Court is not sustainable in law, the same is quashed and set aside.” It asked the High Court to decide the matter afresh.

The order came on a petition filed by the Centre challenging the High Court’s order that had said the black money law cannot be given retrospective effect from July 2015.

However, writing the verdict for the Bench, Justice Gavai said, “we find that the High Court was not right in holding that, by the notification/order impugned before it, the penal provisions were made retrospectively applicable.”

During the hearing, Solicitor General Tushar Mehta had said the offence allegedly committed by Khaitan was “a continuing offence”. Though the government had given a one-time window to people for voluntary disclosure of their foreign income and assets, Khaitan never disclosed it, Mehta had said. Charge sheet had been filed in the case but charges were yet to be framed against the accused.