Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Expunction |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Act(s) Referred | General Clauses Act, 1897 (10 of 1897) Central Goods and Services Tax Act, 2017 (12 of 2017) |
Case(s) Referred | Referred Case 0 Referred Case 1 |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Disposed Off |
Headnote | Central Goods and Services Tax Act, 2017 – s. 157 – Protection of action taken under this Act – Interim order by the High Court, criticising the prolonged stay of the search party at the residence of the respondents as unauthorized and illegal – Observation by the High Court that statutory protection contemplated u/s. 157, in the nature of a good faith clause, may not be available to the officers of the State conducting search as their conduct, “may not” justify protection – Challenged to: Held: Statutory functionary is equally entitled to take a defense of good faith – It is for the court to adjudicate and decide – High Court was not conducting a suit, prosecution, or other legal proceeding against a statutory functionary – High Court was conscious of the principles governing good faith clauses and thus, couched its displeasure and distress by stating that such officials “may not” be protected or that it “may be difficult” to accept the contention of good faith – Observations were in the nature of advance rulings, because even before the initiation of a suit, prosecution or legal proceeding, the High Court expressed a tentative opinion – If such observations remain, they would affect the integrity and independence of that adjudication, compromising the prosecution and the defence equally – Observation of the High Court is expunged since the context as well as the conclusions of the High Court were wrong. [Paras 9-12] Words and phrases – Good faith – Scope and ambit of: Held: Good faith clauses in statutes, explained in the vocabulary of the rights and duties regime, can be said to be a provision of immunity to a statutory functionary – Such provisions are in recognition of public interest in protecting a statutory functionary against suits, prosecution or legal proceedings against officials exercising statutory power– This immunity is limited – It is confined to acts done honestly and in furtherance of achieving the statutory purpose and objective – s. 3(22) explains ‘good faith’ as an act done honestly, whether it is done negligently or not – Good faith clause in a statute will be a defense – If successfully pleaded, it not only legitimises the action but also protects the statutory functionary from any legal action – If statutory functionary invokes the defence of good faith, it is for the court or a judicial body to adjudicate and determine whether the action was done in good faith or not – Such scrutiny or examination is done only in a proceeding against the statutory functionary, which would depend upon the facts and circumstances of each case – General Clauses Act,1897 – s. 3(22) – Central Goods and Services Tax Act, 2017 – s. 157. [Paras 8, 9] |
Judge | Hon'ble Mr. Justice Pamidighantam Sri Narasimha |
Neutral Citation | 2024 INSC 277 |
Petitioner | The State Of Gujarat & Anr. |
Respondent | Paresh Nathalal Chauhan |
SCR | [2024] 3 S.C.R. 1141 |
Judgement Date | 2024-03-12 |
Case Number | 4618 |
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