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LITIGANT ENTITLED TO KNOW REASONS FOR GRANT OR REJECTION OF HIS PRAYER

June 11th, 2010

SUPREME COURT OF INDIA while remanding the case n re: ASST. COMMR. OF COMMERCIAL TAX DEPT. vs. SHUKLA & BROTHERS in C.A.. No.   .3289 of 2010 on 15.4.2010, held as follows: -

QUOTE: The increasing institution of cases in all Courts in India and the resultant burden upon the Courts has invited attention of all concerned in the justice administratin system. Despite heavy quantum of cases in Courts, in our view, it would neither be permssible nor possble to state as a principle in law, that whle exercising power of judicial review on admnistrative action and more particularly judgement of courts in appeal before the higher Court, providing of reasons can never be dispensed with. The doctrne of audi alterampartem has three basic essentials. Firstly, a person against whom any order is required to be passedor whose rights are likely to be affected adverselymust be granted an opportunity of being heard. Secondly, the concerned authoirity should provide a fair and transparent procedure and lastly, the authority concerned must apply its mind and dispose of the matter by a reasoned or speaking order.This has been uniformly applied by Courts in India and abroad.

In exercise of the powe of judicial review, the concept of reasoned orders/actions has been enforced equally by the foreign courts as by the courts in India. The administrative authoirtyand tribunals are obliged to give reasons, absence whereof could render the order liable to judicial chastise. Thus, it will not be far from absolute priniple of law that the Courts should record reasonsfor its conclusions to enable the appellate or higher Courts to exercise their jurisdiction appropriately and in accordance with law. UNQUOTE

[for full text of the judgement, please visit http://taxesinindia.com  and click on the ctation taxind_2010_sc_ca_3289]

VENKATRAMAN RAGGHUPATHY, Web admin.
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