High Court says retrospective use of black money law unconstitutional

24 Jun 2024 CW Team

Rich Indians and large business families entangled in the stringent black money law are celebrating after the High Court ruled against its retrospective application.

For the first time, the court invoked Article 20 of the Constitution to nullify the retrospective use of the law, which was enacted in 2015 to target offshore bank accounts, properties, and companies of resident Indians.

Article 20 states that "no person shall be convicted of any offence except for violation of a law in force at the time of the commission of the act charged as an offence." In essence, one cannot be punished under a law that did not exist when the offence was committed. The Karnataka High Court quashed the criminal proceedings initiated by the income-tax department against individuals connected to overseas bank accounts and firms that were closed before the Black Money Act came into force. The court ruled that the prosecution against these petitioners did not meet constitutional standards under Article 20. This decision sets a precedent for numerous court cases, as many Indians had closed their bank accounts and companies before 2015 in anticipation of such a law.

However, under Section 72 of the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, overseas assets acquired years ago can also be scrutinised. The year the tax office receives the information is considered the year in which a foreign bank account was opened.

Referring to Section 72, Justice M. Nagaprasanna stated that it violates Article 20 of the Constitution. "The Special enactment is a statute. Article 20 comes under Chapter III of the Constitution of India, a fundamental right. The Constitution of India is not a statute. It is the fountainhead of all statutes including the special statute," the court ruled. (Source: ET)

Real Estate

26 Jun 2026

AGM Vijaylaxmi launches Sixty3 W.E. Bizpark

AGM Vijaylaxmi Group has launched Sixty3 W.E. Bizpark, a mixed-use commercial development in Goregaon East, Mumbai. The project includes contemporary office spaces and a high-street retail component designed to support businesses, retailers and professionals.Located along the Western Express Highway, Sixty3 W.E. Bizpark is planned as a G+25-storey commercial tower. It offers office spaces ranging from 545 sq ft to 3,200 sq ft, with a 3.60 metre floor-to-floor height aimed at improving spatial comfort, natural light and operational efficiency.The project features a high-street retail boulevard ..

Manglam Group to Develop Sheraton Hotel in Jaipur

Manglam Group has signed an agreement with Marriott International to develop a Sheraton hotel on the Jaipur–Ajmer Highway in Jaipur. The project will feature 220 keys and is being developed with an investment of around Rs 3.5 billion across more than 300,000 sq ft.The hotel marks Manglam Group’s third collaboration with Marriott International and forms part of its Rs 10 billion hospitality investment roadmap. The agreement was signed by Amrita Gupta, Director, Manglam Group and CEO, Manglam Spa and Resorts, and Rajeev Menon, President, Asia Pacific excluding Greater China, Marriott Interna..

India Warehousing Show 2026 opens at YashoBhoomi

India's warehousing, logistics, and supply chain ecosystem came together as the 15th edition of India Warehousing Show (IWS) 2026 opened at YashoBhoomi, India International Convention & Expo Centre (IICC), Dwarka, New Delhi on June 25 (Thursday). Organised by RX India, the three-day event will run from 25-27 June 2026, bringing together policymakers, industry leaders, technology providers, and supply chain professionals under one roof. It also features a two-day knowledge conference that will run alongside the exhibition. Inaugurated by Pankaj Kumar, Joint Secretary - Logistics, DPIIT..