2019 Supreme(SC) 1423

SUPREME COURT OF INDIA
A.K. SIKRI, S. ABDUL NAZEER, JJ.
Union of India & Ors. - Appellant
Versus
M/s. Make My Trip (India) Pvt. Ltd. - Respondent
Civil Appeal Nos. 8080, 8081, 8082 of 2018
Decided On : 23-01-2019

The mandatory procedure in Section 73A(3) and (4) of the Finance Act, 1994 must be followed before exercising the power of arrest under Section 91.

Headnote:

Section 91 - Finance Act, 1994 - The court held that the power of arrest under Section 91 of the Finance Act, 1994 can only be exercised after following the procedure set out in Section 73A(3) and (4) of the said Act.

Fact of the Case:

The issue was whether the power of arrest under Section 91 of the Finance Act, 1994 can be exercised without following the procedure as set out in Section 73A(3) and (4) of the said Act.

Finding of the Court:

The High Court decided that it is mandatory to follow the procedure contained in Section 73A(3) and (4) of the said Act before going ahead with the arrest of a person under Sections 90 and 91. The Supreme Court agreed with this conclusion and dismissed the appeals.

Issues: Interpretation of the power of arrest under Section 91 of the Finance Act, 1994 and whether the procedure in Section 73A(3) and (4) must be followed.

Ratio Decidendi: The court held that the procedure contained in Section 73A(3) and (4) of the Finance Act, 1994 is mandatory before exercising the power of arrest under Section 91.

Final Decision: The appeals were dismissed, affirming the requirement to follow the procedure in Section 73A(3) and (4) before exercising the power of arrest under Section 91 of the Finance Act, 1994.