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Case Law Details

Case Name : Sushitex Exports (India) Ltd. & Ors. Vs Union of India & Anr. (Bombay High Court)
Appeal Number : Writ Petition (L) No. 9641 of 2020
Date of Judgement/Order : 14/01/2022
Related Assessment Year :
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Sushitex Exports (India) Ltd. & Ors. Vs Union of India & Anr. (Bombay High Court)

1. The order was passed on a plea by a company seeking quashing of a show cause notice which had not been adjudicated for 23 years and return of ₹2 crore which had been deposited by it under protest during investigation.

2. The Court added that “it would amount to an arbitrary exercise of power if proceedings initiated in 1997 are not taken to their logical conclusion for over two decades and then a prayer is made for its early conclusion, no sooner than the matter enters the portals of this Court”.

3. Article 14 of the Constitution of India is an admonition to the State against arbitrary action. The State action in this case is such that arbitrariness is writ large, thereby incurring the wrath of such article. It is a settled principle of law that when there is violation of a Fundamental Right, no prejudice even is required to be demonstrated.

4. We direct that the sum of Rs.2 crore which the petitioners were required to deposit in course of investigation shall be returned with interest @ 12% per annum.

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