Case Law Details
Union of India & Anr Vs India Cements Limited ETC (Supreme Court of India)
The Supreme Court has consolidated several cases from different High Courts to address a common legal question: the levy of service tax on royalty, District Mineral Foundation Trust (DMFT), and National Mineral Exploration Trust (NMET) payments. The Union of India had filed three transfer petitions to move these cases to the Supreme Court to avoid conflicting judgments and ensure a consistent legal outcome.
The first two petitions were filed to transfer W.P. No. 31936 of 2022 (M/s. The India Cements vs. The Deputy Director of Directorate General of GST Intelligence (DGGI)) and W.P. No. 33322 of 2023 (M/s. Smt. K. Sumathi vs. Union of India), both pending before the Madras High Court. The third petition sought the transfer of W.P. (Civil) No. 46 of 2024 (M/s. Geo Enpro Petroleum Ltd. vs. Union of India & Ors.) from the Gauhati High Court.
The Supreme Court noted that the core legal issue in all these cases is identical to the one already under its consideration in Udaipur Chambers of Commerce and Industry & Ors. vs. Union of India & Ors. (SLP (Civil) No. 37326 of 2017). To prevent a multiplicity of orders and the potential for conflicting judgments from different High Courts, the Supreme Court allowed all three transfer petitions. The transferred cases will now be heard together with the existing matter, ensuring a single, comprehensive ruling on the issue.
FULL TEXT OF THE SUPREME COURT JUDGMENT/ORDER
1. As per office report, service is complete. However, no one has entered appearance on behalf of the respondent.
2. These two transfer petitions have been preferred by the Union of India seeking transfer of W.P. No. 31936 of 2022 titled “14/s. The India Cements The Deputy Director of Directorate General of GST Intelligence (DGGI)” and W.P. No. 33322 of 2023 titled “14/s. Smt. K. Sumathi v. Union of India”, both pending before the Madras High Court, to this Court.
3. The prayer has been made on the premise that the identical question of law, namely, whether service tax can be levied on payment of royalty, DMFT, NMET is pending consideration before this Court in Udaipur Chambers of Commerce and Industry & Ors. Union of India & Ors. etc. i.e., in SLP (Civil) No. 37326 of 2017.
4. With a view to avoid multiplicity of orders as also the possibility of conflicting judgments of the High Courts, we allow these transfer petitions and both the matters, i.e., W.P. No. 31936 of 2022 and W.P. No. 33322 of 2023 pending before the Madras High Court are ordered to be transferred to this Court, which shall be heard along with SLP (Civil) No. 37326 of 2017.
TRANSFER PETITION (CIVIL) NO. 1567 OF 2025
5. Learned counsel for the respondent(s) has fairly agreed that an identical question of law is pending consideration before this Court in Udaipur Chambers of Commerce and Industry & Ors. Union of India & Ors. etc. i.e., in SLP (Civil) No. 37326 of 2017.
6. In this view of the matter, the transfer petition is allowed and W.P. (Civil) No. 46 of 2024 titled “M/s. Geo Enpro Petroleum Ltd. Union of India & Ors.” pending before the Gauhati High Court is ordered to be transferred to this Court, which shall be heard along with SLP (Civil) No. 37326 of 2017.
The transfer petitions are allowed in terms of the signed order.
Pending application(s), if any, shall stand disposed of.
The transfer petition is allowed in terms of the signed order.
Pending application(s), if any, shall stand disposed of.
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