Regularizing Contractual Employees Appointed Against Public Policy Bad In Law: Telangana HC Declares S.10-A Of 1994 Law Ultra Vires

The Telangana High Court has, in a case pertaining to regularization of contractual employees, declared Section 10-A of the Regulation of Appointments to Public Services and Rationalization of Staff Pattern and Pat Structure) Act, 1994 as ultra vires.The provision was challenged for allegedly regularizing illegal appointments made on contractual basis. Division bench of Justice Sujoy Paul...

When Multiple Agreements Are Not Interconnected, Arbitration Clause In Any One Agreement Can't Justify Referring All Disputes To Arbitration: Telangana HC

The Telangana High Court bench of Chief Justice Alok Aradhe and Justice Sreenivas Rao, affirmed that where multiple agreements are interconnected and form part of a single commercial transaction then only the presence of an arbitration clause in one or more agreements can justify referring all disputes, involving all agreements and parties, to arbitration. This is true even if some...

Telangana High Court Asks Assembly Speaker To Decide Disqualification Pleas Against MLAs Who Defected From BRS 'Within Reasonable Time'

The Telangana High Court on Friday (November 22) set aside a September order of the single judge which had directed the Secretary of the legislative Assembly to place the disqualification pleas pending against MLAs–who defected from Bharat Rashtra Samithi (BRS)–before the Assembly Speaker to fix a schedule of hearing within four weeks.In doing so the high court said that Speaker of...

Amount Received By Assessee Under Agreement To Not Carry On Competitive Business Is In Nature Of 'Capital Receipt', Not Exigible To Tax: Telangana HC

The Telangana High Court has held that the amount received by the developer of Hepatitis-B vaccine, under a co-marketing agreement with PFIZER Company, is a capital receipt not liable to tax. A division bench of Chief Justice Alok Aradhe and Justice J. Sreenivas Rao reasoned that the developer-assessee's right to promote, market, distribute or sell the vaccine or a new competitive...

[Deemed Dividend] Accumulated Profits Of Company U/S 2(22)(e) Of Income Tax Act Are Computed After Adjusting Depreciation: Telangana HC

The Telangana High Court has held that for purposes of taxation, “accumulated profits” of a company are to be calculated after adjusting depreciation as per the Income Tax Act, 1961. In ruling so, a division bench of Chief Justice Alok Aradhe and Justice J. Sreenivas Rao cited two rulings of the Bombay High Court which held that “depreciation as granted in accordance with...

Transmission Corporation Inherited Andhra Pradesh Electricity Board's Service Regulations, Power To Amend Impliedly Available: Telangana HC

While upholding the validity of an order issued by the Transmission Corporation of Telangana Limited (TRANSCO) deleting beneficial provisions regarding service weightage for promotion to Additional Assistant Engineer posts, the Telangana High Court ruled that the corporation has the power to amend the relevant service regulations. A division bench of Justice Sujoy Paul and Justice...

8 Month "Absolute Lull" When Girl Went Missing, No Signs Of Forcible Detention On Her Body: Telangana HC Nixes Man's Rape Conviction

The Telangana High Court set aside a man's conviction for allegedly raping a girl for eight months after noting that if the girl was– as claimed by her, detained for eight months and her limbs were tied, her body would show signs of forcible detention which was not the case- raising suspicion about this version. In doing so the court further observed that there was an absolute "lull"...

Lok Adalat Has Power To Pass Compromise Award, Cannot Adjudicate In Absence Of Settlement: Telangana High Court

While quashing an order of a Mandal Legal Services Committee (MLSC) after noting that it was not a compromise/settlement award but in the nature of an execution petition pertaining to a property dispute suit, Telangana High Court said that the committee had exceeded its jurisdiction. In doing so the high court reiterated that Lok Adalats, including the MLSC, are meant solely for conciliation...

AIBE Fee Of Rs.3500 Challenged In Telangana High Court

A petition has been filed in the Telangana High Court challenging the fee charged by the Bar Council of India for registering for the All India Bar Examination.For the AIBE-XIX, a general category candidate has to pay Rs.3500 +GST (12.60 INR) + Convenience fee (70 INR).The petitioner, Advocate Vijay Gopal, relied on the recent Supreme Court judgment in Gaurav Kumar v. Union of India which...

Hotel Replacing Damaged Furniture, Carpets Is Current Expenditure Allowable U/S 37 Income Tax Act: Telangana HC

The Telangana High Court has held that the expenditure incurred by a hotel on replacement of damaged items is a current expenditure, allowable under Section 37 of the Income Tax Act, 1961. Section 37 of Income Tax Act states that any business expenditure, excluding capital expenditure and the individual's personal expenses, that is spent for the business's operations shall be...

Telangana High Court Reiterates Limited Scope For Interference With Arbitral Awards U/S 34 Of Arbitration & Conciliation Act, 1996

The Telangana High Court bench comprising Chief Justice Alok Aradhe and Justice J. Sreenivas Rao has held that an interim order passed by an arbitral tribunal under section 17 of the Arbitration and Conciliation Act, 1996, restraining the encashment of a bank guarantee does not warrant interference under section 34 of the Act. The court also held that section 34 does not permit the...

Court U/S 11 Of Arbitration Act Only Checks For Existence Of Agreement, Jurisdictional Questions To Be Decided By Arbitrator: Telangana HC

The Telangana High Court Bench of Chief Justice Alok Aradhe affirmed that Sub-section (1) of Section 16 provides that the Arbitral Tribunal may rule on its own jurisdiction, “including any objections” with respect to the existence or validity of the arbitration agreement. Section 16 is an inclusive provision, which would comprehend all preliminary issues touching upon the...