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Marital rape: How it ignores the concept of will and consent

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This article has been written by Deepanshi Dwivedi.

Introduction

Marital rape is a  rape of one spouse by the other spouse without the consent of the later. Marital rape basically involves the physical torture of the spouse, sexual intercourse of one with the other spouse.

If we come across, we can find the generally married women are the victim of marital rape. They are the one who faces it in general. there are many cases related to the women in which they are the victim of the marital rape, which happened against their will and against their consent.

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Rape and marital rape

SECTION 375 OF THE IPC deals with the concept of rape.it defines rape as the ““a man is said to commit rape if he extent his penis, to any extent, into the vagina. Mouth, urethra, or anus of a women or makes her do.[1]

For a rape there should be 6 criteria to be fulfilled:

  1. Against her WILL
  2. Without her CONSENT
  3. With her consent when obtain by FORCE
  4. When she is UNABLE TO COMMUNICATE her consent 
  5. With or without her consent when she is under 18 years of age.
  6. With her consent when she is unable to understand the nature due to unsoundness or intoxication[2]

The term “consent” means section 2 of INDIAN PENAL CODE defines consent as an unequivocal voluntary agreement when the women by words, gestures or any form of verbal or nonverbal communication. Communicates her willingness to participate in the specific sexual act.

So, if we see the consent of the women is a major factor for showing her willingness, we often see the man dominates over women so, far and this practice is still going on but people ignore the consent of women.

If man wants to have a sexual intercourse with her wife so he does not take the consent of the women.

Marital rape is a rape of a woman after marriage.  Does marriage become a contract between both the spouses so that they can deny the consent of women for sexual intercourse? Here we can find the concept of inequality between men and women . Here the consent of women has been denied, which violates article 14 of the Constitution Of India. Article 14 deals with the equality before law and equal protection of the law , so here women should also be treated as equal and should be given equal chance for consenting for sexual intercourse.

If we talk about the WILL of a women means her wish, her own desire, whereas consent is a permission to do something. This word will determine the person reasoning power of mind whether to do act or not.

There are two facts which we should keep in mind while talking about marital rape as ‘Against her will’ and ‘without her consent. The essence of rape is the absence of consent. In consent the person generally communicates her willingness for the particular act. Every act is done against her will; we can say that there is the absence of consent but every act without the consent is not against the will. so, in marital rape, both the factor will and consent of the women is missing.

Is there any law regarding against the will and without consent?

SECTION 375 IPC is based on section 1 of the sexual offence act,1959 it states that man cannot rape a woman as by consenting to marriage she has given herself to the man.[3]

If a woman, who has not consented for the sexual intercourse with the married man has a right to say NO. marriage does not means that wife has always consented for the physical force.[4](said by Delhi High Court sitting bench of chief justice Gita Mittal and C Hari Shankar). They said that both men and woman have the right to say no in physical relation. But same time Delhi High Court says that marital rape cannot be a ground for the divorce.

But law fails to see the situation of the married women, those who are on daily basis becomes the target of man and are the victim of marital rape.

Why marital rape is not an offence?

The unwillingness sexual intercourse between a husband and wife is recognised as a criminal offence in in almost every country in the world. India is one of the thirty-six countries that have still not criminalized marital rape.

It violates the article 14 as it discriminates between the married women and unmarried women by denying them equal protection from rape and sexual harassment.

At the time when IPC was drafted in the 1860s, a married woman was not considered as an independent legal entity. Rather, she was considered to be a chattel of her husband.[5]

Also, it is violative of Article 21 of the constitution of India, which states that “no person shall be deprived of his life and personal liberty except according to the procedure established by law. Which includes:

1 Right to life: to ensure human to live life with dignity.

2.Right to live with dignity

  1. Right to privacy

4.Gender equality and sensitivity

Supreme court has explicitly recognised in article 21 a right to make choices regarding intimate relations. Forced sexual cohabitation is the violation of a fundamental right.[6] Also, we can say that India there is no rule regarding that individual’s right to privacy is lost by marital association.

As our constitution provides all human, right to live with dignity but in marital rape women has no say, they are both physically and mentally tortured by the husband in one or other way. The sexual intercourse without the consent of women adversely affects their mental and physical health and undermines the life to live with dignity. 

A case pending in Delhi High Court says that criminalising the marital rape would “destabilise the institution of marriage” and could become an easy tool to “harass husbands”.[7]

So, what about the women who are harassed on a daily basis? why does court not provide them their rights? Does after marriage, women lose all their human rights?

According to me marital rape should be a punishable offence as, it involves all the elements, which constitutes rape. It is violative of many sections of IPC and constitution of India also.

After marriage this does not mean that women lose all her rights and also if we criminalise the marital rape , it does not destabilise the institution of marriage but will protect the several married women from getting raped without there consent and against their will and sometimes also with there consent when it has been obtaining by force but against their will.

If we see there are many countries in which marital rape is an offence but, it does not destabilise the marriage.  individual dignity is more important than the other.

To make marital rape crime factors to be

When physical violence is illegal in our country, so how can be the sexual violence be legal? Also, rape is illegal so how can be marital rape be legal?

When beating a wife by the husband is a crime, applying physical force on her is also a crime, assault, battery on married women is crime so why not this? Here exception should be removed in order so that women can exercise their constitutional rights to decisional privacy regardless of their marital status.

In the puttaswammy judgement made no difference between the rights of married and unmarried women and nothing in Indian jurisprudence suggest that a woman forego their fundamental rights after marriage.  Then why marital rape is not a crime?

Marital rape infringes the individual right to privacy, dignity and personal liberty. A woman has absolute autonomy over her body and her life, even she is married or not.

There is still an argument over that should marital rape be criminalised or not, many says that there is no need to criminalise this offence as married women are already protected by several acts like Protection of Women from Domestic Violence Act 2005. 

Many international agreements like CEDAW (committee on the elimination of discrimination against women) and national level committee have recommended removing marital rape exception from IPC section 375 that defines rape.[8]

The 2018 survey by national family health survey (NFHS-4) revealed that 31% of women in India experience physical, emotional, or sexual trauma at the hands of their spouses. Also 83% married women within the 15-49 years of age group, claimed to have experienced sexual assault at the hands of their present husbands and against their will.[9]

Section 375 of IPC states that which includes exception “sexual intercourse or sexual act by a man with his own wife, the wife not being under fifteen years of age is not rape….”

The government in the case of marital rape has denied the many rights of women, also fundamental right has been violated which clearly mentions that ‘protect the dignity of women’ clearly mentioning the word WOMEN but all are messed up after not making a marital rape an offence.

Also, justice DY Chandrachud says that “right to say NO (to sex) should be there also after marriage” 

Conclusion  

According to me marital rape though an exception in section 375 of IPC should be made a criminal offence in a country like INDIA, as it is violative of many other sections of IPC and also the CONSTITUTION OF INDIA, The rules and Act are made for the protection of the individual rights and respect the dignity of individual so, any law,  rule and act which is violative of all  should be declared null and void. And offence in which it clearly shows how much it disrespects the women gives them no right to say NO neither gives them access to their individual rights.

MARITAL RAPE should be  criminalised , as we all are aware of the fact how man uses his power and force on women and deny the will of women .as a result of which many women are the victim who by one or another reason commits suicide as it is against their will and also with a consent but obtained by force . since from the ancient time, man has the right to dominate over the women but in modern India, this law should be amended.

Also, person accused of marital rape should be punished and a harsh law should be made to punish all the husband who thinks “marriage between men and women is for the fulfilment if the sexual need of man”. The person who thinks women are not capable enough to deny the decision taken by man and husbands.

Even the laws have been made to protect the women, also as no improvement is there so there should be more laws and act for the women. Even the husband in case of marital rape gives no right to women for giving her consent freely , also  committing a marital rape is violative of articles 14, article 15 ,article 21 and according to me section 375 also as it on one side says that  rape is an offence but on other hands include the exception for marital rape. Also, it is violative of the fundamental rights of the individual.

It should be an offence as in our country many women are the victim of marital rape. Also, marital rape in some cases can make a man more brutal against the women as he knows there is no punishment in raping a woman i.e. her wife.

Endnotes

[1]  Text from IPC section 375

[2] Text from IPC section 375, under criminal law

[3] Section 375, IPC

[4] Said by Delhi High court in the plea of marital rape

[5] To have and to hold: the marital rape exemption and the fourteenth amendment ,99 (6) Harry. L.

[6] Right to abstain from sexual intercourse is a long-recognised principle of Indian constitutional jurisprudence, Govind v. state of M.P., AIR (1975) SC 1378(INDIA)

[7] Article by sumedha  Chaudhary, case of RTI Foundation vs Union of India.

[8] Article published “my refusal meant nothing to him “.

[9] National family health survey report 2018


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Enhancement of Labour Law

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This article is written by Jigyasa Agrawal, B.A.LL.B.(3rd year), Banasthali Vidyapith, Newai. 

“A nation may do without its millionaires and without its capitalists, But a nation can never do without its labour.” -Mahatma Gandhi

This article mainly deals with the enhancement of labour law for which the government proposed new labour codes in Parliament. As labour force constitute a major portion of the society and play a vital role in the development and progress of the country so, here to safeguard their interest there should be enhanced labour laws. To amend laws this is an ongoing process according to the needs of developing society. For this, after having many debates and discussions the government set to pare existing 44 labour laws into 4 codes. And this new bill is tabled in parliament session after consulted by all major labour unions. To streamline multiple labour laws into 4 codes which ensure that the process of registration and filing returns will get standardized and also standardized the various multiple definitions of labour laws. This bill helps investors and to accelerate the growth which promotes ‘ease of doing businesses’. There are 2 codes which move in Lok Sabha are Code on Wages Bill, 2019 and Code on Occupational Safety, Health and Working Condition, 2019. There are many benefits of this proposal by set a floor to universalize all provisions with some contesting issues while implementing this bill. There is also a chance of conflict arise between state and central government because of the federal feature of our country. But somehow this bill also further destroys the workers right as attacking the rights of workmen. This simplification and codification of laws is justified as long as worker’s right were protected and also ensure to not trickle down anyone’s right.

KEYWORDS: Proposed Bill, Codes, Labour Laws, Ease of Compliance, Streamline the Laws, Attacking Workers Right.

Introduction

The labour force or workmen constitute a major portion of society and play a vital role in the development and progress of the country. Due to fast progressing development or industrialization, there is a need to improve the relationship between employee and employers and safeguard the interest of labour. This result in evolving labour laws. Labour law, the varied form or structure of law which is applicable in all such matters as employment, remuneration, conditions of work, about union laws, social security, and etc.  Labour laws create the legal relationships between organized economic interests and the state to protect these interests, there are separate labour courts or tribunals established. Earlier, the scope of labour law is often limited to the most developed and important industries but now the scope of law is extended. Means a body of law originally intended for the protection of manual workers too.

Labour laws reforms are an ongoing and continuous process and the government has been introducing new laws and amending the existing ones in response to the emerging needs of the workers in a constantly dynamic economic environment.

Proposed Bill

So here, when there is a time to strike a major push in labour reforms, the government is all set to merge existing 44 labour laws into 4 and a Bill will be introduced in Parliament in their Ist session of 17th Lok Sabha beginning 17 June.

“The 44 labour laws existing right now would be put in 4 categories. The labour ministry will bring a Bill in Parliament in the coming session.” Union Labour Minister Santosh Gangwar said. This would decide after an hour-long meeting with Home Minister Amit Shah.

The decision has been taken at an inter-ministerial meeting chaired by Home Minister Amit Shah and attended by Labour Minister Gangwar, Finance Minister Nirmala Sitharaman, Commerce and Railway Minister Piyush Goyal, and Minister of Petroleum and Natural Gas Dharmendra Pradhan[1].  This bill will be possibly tabled in the second week of Parliament session and would be the first bill which is introduced by the 2.0 Modi Governments in Lok Sabha.

“All major labour unions in the country were consulted by the government before we took the decision to bring new labour laws,” Gangwar said. As this is not a new change brought, it was discussed many times before this but no action can be taken. Now BJP govt. take a step ahead towards to change and reform labour laws to make it easier for companies to do business in India and recapture the momentum which is lost in the past. So, here Finance Minister Nirmala Sitharaman said in Budget Session of Parliament-“The government is proposing to streamline multiple labour laws into a set of four labour codes.”

That will ensure that the process of registration and filing of returns will get standardized and streamlined with various labour related definitions getting standardized it is expected that there shall be less dispute.” The four labour laws will set pare together the existing 44 laws that deal with wages, social security, industrial safety and welfare and Industrial Relations.

Social Security Code including the Employees Provident Fund, Employees State Insurance Corporation Act, Maternity Benefits Act, Building and other Construction Workers Act and the Employees Compensation Act will be merged to create a single social security law or code. Similarly, several Industrial Safety and Welfare Laws such as the Factories Act, the Mines Act and the Dock Workers (Safety, Health and Welfare) Act, will be merged to create a single code on industrial safety and welfare. Likewise, the Minimum Wages Act, the Payment of Wages Act, the Equal Remuneration Act and a few others are being merged to create “single legislation called Wage Code Act”. The fourth law, the Labour Code on Industrial Relations, will combine Industrial Disputes Act, 1947, The Trade Unions Act, 1926, and the Industrial Employment (Standing Orders), 1946[2].

Objective:

The objective of the exercise is to “take a relook at laws that are perhaps a hindrance to growth as well as job creation.” Senior bureaucrat of the labour department said.

By introducing this new provision of merging laws, there is an intense to increase legislation protection of minimum wages to the entire workforce. This will get benefitted to 50crore workmen. Simplify 44 labour laws into 4 with the purpose of-

  • Merging economic situation
  • Facilitate easier compliance by the establishment
  • Promote ease of living
  • Ensure labour welfare
  • Provide Wage and social security for workers

“The Proposed New Labour Laws will help investors and is expected to accelerate growth”, another official said.

The BJP government moved two Lok Sabha Bill on Tuesday to legislate the Code on Wages Bill 2019 and the Occupational Health, Safety and Working Conditions Code 2019. As from 1991, there are debates of many reforms regarding labour laws, but in 2002, the Commission made their recommendation. The statement and objects and reasons of the two bills rely on the recommendation submitted by 2nd National Commission of Labour 2002. Those were rejected by all trade unions and not implemented.[3] But now in 2019, BJP govt. claims that these Bills emerged through and after discussing with tripartite i.e. Trade Union, Employer, State Government.

Code on Wages Bill, 2019

This is first in a series of 4 labour codes, which is proposed by the government in these new labour reforms. The Rajya Sabha, on Friday (2 August 2019), passed this bill, which allows the centre to set a minimum statutory wage, a move expected to benefit 500 million workers across the country. The Bill has been passed in the Lok Sabha last week and will now go for president’s assent following which it will become an Act.[4]

This is not a new bill, many times it already discussed in Parliament, as this bill was first introduced in Lok Sabha in 2017 and was referred to the Parliamentary standing committee, which submitted its report on December 2018. However, the bill lapsed after the dissolution of the 16th Lok Sabha.[5] Under the Code on Wages, the labour ministry plans to streamline and amalgamate 4 related statutes- The Minimum Wages Act 1948, The Payment of Wages Act, 1936, The Payment of Bonus Act, 1965, and the Equal Remuneration Act, 1976.

In this Code, the minimum wage fixed by the centre will no longer be based on employment but on geography and skills. In this bill, ‘the code ensures minimum wages along with timely payment of wages to all employees and workers. Many unorganized sector workers like agricultural worker, painters, person working in restaurants and dhabas and chaukidars, who mere outside the ambit of minimum wages, will get legislative protection of minimum wages after the bill becomes an act’. Besides, “the bill will ensure that employees getting a monthly salary are paid by the 7th of the following month. Those working on a weekly basis will be paid on the last day of the week and daily wages should get them on the same day.” Gangwar said.

Bill consist ‘this code seeks to universalize the provisions of minimum wages and timely payment of wages, which will be computed based on minimum living conditions. It is envisaged that states will notify payment of wages to workers through digital mode.’ The provisions of code apply to workers below a particular wage ceiling working in Scheduled Employments only.

“This Bill would ensure Right to Sustenance for every worker and intends to increase the legislative protection of minimum wage from existing about 40% to 100% workforce,” Gangwar said in Lower House. This bill will be a Historical step for ensuring legislative protection for wages to 50 crore workmen in the country.

Code on Occupational Safety, Health and Working Condition

Labour Minister Santosh Gangwar has already tabled code on occupational safety, health and working condition in the Parliament for consideration and passing in the ongoing monsoon session. The OSH code will amalgamate 13 laws relating to factories, mines, dock workers, building workers, plantations labour, contract labour, inter-state migrant workmen, working journalists and motor transport workers, among others.

This code, among other provisions, enables women employees to make a choice on working night shifts and consent need to be taken from women to work beyond 7 pm and before 6 am. This code also enables the courts to give a portion of monetary penalties (up to 50%) to workers who are victims of accidents in the workplace, or their kin. Presently, there are different applicability thresholds for welfare provisions like crèche, canteen, first aid and welfare officer in different Acts.

The proposed code envisages uniform thresholds for welfare provisions for all establishments to the extent practicable.[6] And this code applies to all establishments that employ 10 or more workers. Other 2 codes are yet too introduced.

Case Laws

 In Inder Singh and Ors. Vs Labour Court, Jullundur and Anr.[7], dispute arose between respondent and petitioner regarding minimum wages for their proper computation. And here court provides a speedy remedy to individual workmen to execute their rights under industrial disputes.  Mainly dispute how much minimum wages should be given.

In Som Mittal vs. Govt. of Karnataka[8]  this is a case of late-night working hours for women as in case of complaint and any rape regarding late-night work. Government has to create a proper agency to cease such an evil system but doesn’t mean to restrict the women’s right. Women also can work late night hours.

In Binod Rao vs. Minocher Rustom Masani[9], dispute because of to not set a proper norm in industries regarding safety and health. Even state have to legislate proper safety norms without any arbitrariness and in proper universalize for all.

Benefits of Proposal

As many as labour laws are more than 50 years old and some even belong to the pre-independence era, then it is essential to introduce and simplifies existing labour laws.

  • In CODE ON OCCUPATIONAL SAFETY, HEALTH AND WORKING CONDITION BILL 2019:
  • The bill simplifies, amalgamates and rationalizes the provisions of 13 central labour laws.
  • It expands the ambit of the provisions relating to working conditions of cine, theatre workers and journalists.
  • It expands the definition of family to include dependent grandparents.
  • It allows the women employees to work at night
  • In CODE ON WAGES BILL 2019;
  • The bill simplifies the definition of wages
  • It universalizes the provisions of minimum wages and timely payment of wages to employees irrespective of the sector and wage ceiling.
  • It seeks to increase the legislative protection of minimum wage to 100% of the workforce.
  • Minimum wage will be fixed based on geography and skills.
  • As India has a federal form of government and has federal features, here labour law comes under concurrent list, so here every state has right to set a minimum wage for their respective state but according to the guidelines given by the central government.
  • To cease the arbitrariness of State, central government only gave power to made legislation regarding National Minimum Wage equivalent or not more than which is prescribed by the central government.
  • Bonus gave to all eligible workers without any arbitrariness.
  • As to avoid gender discrimination, equal remuneration must pay to all workers with equal minimum wages.
  • This bill set a floor for the certainty of provisions and for universalizing all provisions of labour laws.
  • Facilitation for ease of compliance of labour laws will promote setting up of more enterprises which raised the country on the global index of ‘ease of doing businesses.
  • Bills suppose to get benefits of ‘use of technology in its enforcement, reduce violations and use to transform the entire system of labour inspection.’
  • ‘Employers are no longer bound by law to co-operate with inspectors. The newly designated ‘inspector’s-cum-facilitators’ under the bill are meant to assist employers in complying with the law and can even forgive them for violations’ which ensure better compliance and implementation.
  • Removing and eliminating the multiplicity of definitions and authorities. Taking effort in advancing codes is to ‘simplify and rationalize’ the law.
  • Companies will soon not require multiple registrations, as they do now under a plethora of labour laws, because the government has proposed one license, one registration and one return for establishments for executing projects for 5 years. This promotes ‘EASE OF DOING BUSINESS INDEX’.

Currently, India is required 77th on the World Bank’s Ease of Doing Business Index. The no. of labour law’s provisions will reduce from 622 to 134 under the proposed code. “This would result in simple legislation with flexibility in changing the provisions in tune with emerging technologies and makes the legislation dynamic.” The government said.[10]

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Challenging Issues

Everything new things or bills have to face some challenges here our government has to face many contests while proposing new labour codes:

  • How someone cans determine the amount of minimum wages for states at their different regions having different categories.
  • In what manner, officials and authorities are to be appointed because of compliance and merger of labour laws.
  • The implementation of labour law takes at least 6 months and it is a challenge to become this implementation as a smooth process.
  • How to convince the workmen about all labour laws. And before passing it all, it’s being quite tough to convince or discuss labour reforms with tripartite.
  • Those who do not come under a plethora of employees so, how and which legislate should apply to them. E.g. Uber Driver is not an employee. So, what about law and provision to safeguard them. 

Can Conflict arise Between State and Central Government?

As all know, India has a federal feature of government. And also labour law come under the concurrent list. So, both have the right to legislate labour law with their respective jurisdiction. But there are many issues come forepart of all that new labour reforms are sticky one and inflexible. As there is a provision that state can legislate National Minimum Wage according to their own requirements but it should be equivalent and not less than wages prescribed by the central government.

The problem faced by the state that-

If centre fixed Rs. x, then the state has to legislate amount of minimum wage either x or +x but if in a situation of downwards of economy, centre reduces the value of minimum wage e.g. x-10. But in this situation, the state can’t reduce their own legislature because it can’t be less than x. This brings inflexibility and may arise conflict.

New proposal bill doesn’t have any power to state government because all laws are getting universalized and will all discretion of the central government. As there is many conflicts arises earlier on many subjects and issues but this legislation gave benefit to 50 crore workmen. So, Many states perhaps takes incentivized for having this law legislation to what extent may be conflicts can be avoided and many states would want to have it implemented and would have to be consonance with the central government.

Attacking the Rights of Working Class

“The proposed codes reflect an evil design to do away with all labour protection.”

Irrespective of their ideological persuasions, trade unions (INTUC, CITU, AITUC, and BMS) strongly gave their contentions against several reform proposals.

  • This effort to legislate the labour codes is done without following any procedure even also disrupted and disrespected the suggestion of the tripartite system and virtually disbanded the Indian Labour Conference, which leads to protest by trade unions.
  • Referring to the Industrial Relation Code, registration of trade unions being given arbitrary power to refuse registration, it would become virtually impossible to register new unions, even government itself deciding who can be from within an establishment and without.[11]
  • Government could control all the funding and spending money by unions also to impose big fines in the case of helping solidarity strikes.
  • National Minimum Wages was pointless as this and other rights would not be enforceable through labour courts.[12]
  • The entire system of labour inspection would be replaced by self-certification. This would mean that company owners would be able to say they have less than 10 workers and one exempt from various laws while they actually have a hundred workers. But there will be no one to inspect and find out the truth, no one to enforce any law, which leads to deception of companies.[13]
  • There is a big danger in forthcoming code on industrial relation that will do away with basic working-class rights including the right to form a trade union, the right to collective bargaining and strike.[14]
  • Without any proper consultation with central trade unions, and that changes in labour laws were entirely for the benefit for the business class not for the working class.[15]
  • The proposed industrial relations code with demolishing the right given by ILO’s Centenary Declaration of 2019 which says that all government are bound to implement the ILO’s fundamental principle including the right to association.[16]
  • Attacking the rights of working-class by bringing new provisions such as ‘fixed-term employment’ instead of ‘permanent jobs’. No worker on a fixed-term contract would be willing to join a union and fight for their rights.[17]
  • The inappropriate formula for fixation of a minimum wage, whereas old formula assumed a workers wage would support a family of three units. Even demolish the right of overtime, bonus or paid salary.[18]
  • The conditions of workers are very bad, said that after the passage of the Bill, the worker will have bargaining power only as long as the management makes a profit. There are no unions for the IT and call centre industries, where workers are losing basic rights.[19] 

Conclusion

As many as labour laws are more than 50 years old and some even belong to the pre-independence era, there is an urgent need to simplify and universalize all the labour laws into 4 codes. Even our government takes various major steps to eradicate the evils in labour system. But this simplification or codification of the laws is justified as long as workers right were protected, government should assure that these new proposed codes should not attack the rights of any workers. These new codes are hardly implemented and state government should provide proper machinery to monitor and penalize defaulting employers and government existing laws are not trickle down via proposing new bills.


Students of Lawsikho courses regularly produce writing assignments and work on practical exercises as a part of their coursework and develop themselves in real-life practical skill.

LawSikho has created a telegram group for exchanging legal knowledge, referrals and various opportunities. You can click on this link and join:

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Bibliography

  1. www./business standard.com/ article-amp/government-to-pare-existing-44-labour-laws-into-four/.html
  2. www.ndtv.com
  3. www.newsclick,in
  4. www.businessstandards.com/article/economy-policy/.html
  5. www.hindubusinessline.com/news/2-labour-law-reforms/amp
  6. www.thewire.in/labourlaws/amp
  7. www.economictimes.com/news/rajya-sabha-passes-wage-code-bill/.com
  8. https://youtu.be/ZoE20-kY0vc
  9. https://youtu.be/LlgmqJ9xibE
  10. https://youtu.be/DfmC81lmeiU
  11. https://youtu.be/3DsPkvgUk5c
  12. https://youtu.be.iK_XJKUBRDo

Endnotes 

[1] www./business standard.com/ article-amp/government-to-pare-existing-44-labour-laws-into-four/.html

[2] www.ndtv.com

[3] www.thewire.in/labourlaws/amp

[4] www.economictimes.com/news/rajya-sabha-passes-wage-code-bill/.com

[5] Ibid

[6] www.hindubusinessline.com/news/2-labour-law-reforms/amp

[7] AIR1969 P H 310

[8] Criminal appeal no. 206 of 2008

[9] (1976) 78 BOMLR 125

[10] www.businessstandards.com/article/economy-policy/.html

[11] www.newsclick,in

[12] Said by senior advocate, Colins Gonsalves

[13] ibid

[14] Said by Dev Roy head of trade union

[15] Said by Deepak Sharma of INTUC

[16] Said by Vidya Sagar of AITUC

[17] Said by Shyambir of Inkalabi Mazdoor Kendra

[18] Said by Pawan Kumar of BMS

[19] Said by MP Prof. Saugata Roy of AITUC

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Devolution of Interest in Coparcenary Property: Scope and Interpretation Post Amendment

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This article is written by Aakanksha Jadhav, student of law at the West Bengal National University of Juridical Sciences (NUJS), Kolkata.

Introduction

The Hindu Succession Act (‘the act’) enacted in 1956 is the governing piece of legislation concerning the transfer and devolution of property amongst Hindus in India.[1] It codified the existing laws of inheritance while also introducing certain changes. It sought to redress some anomalies created by traditional Hindu Law. However, it was a compromise between tradition and modernity that could not lead to full equality.[2]

The desire to retain the Mitakshara coparcenary along with principals of intestate succession in the act led to complexities.[3] While a daughter would get only a share from the presumed partitioned property of her father, the sons continued to get a share in the coparcenary property as well as the notionally partitioned property.[4] To redress these problems, the act was amended in 2005. It gave women a right by birth in the property of their father by including them in the coparcenary.[5] This was a huge blow to patriarchy institutionalized by law and paved way for women to have true economic and social equality. However, post the amendment, there have been inconsistencies in the interpretation of § 6 concerning the devolution of interest in the coparcenary property. This has hindered the achievement of the objectives of the amendment act.

 In the first part, we will deal with the nature of rights in coparcenary property before the amendment act. In part two we seek to understand the implications of the amendment act. In part three we probe the controversy regarding the retrospectivity of the amendment act and judicial pronouncements regarding the same. We shall examine the inconsistencies that have plagued the interpretation of § 6 of the amended act. In part IV, we look at the possible redressal of the issue.

I. Property Rights of women under the act before the amendment

The Concept of Hindu Coparcenary

Traditional Hindu Coparcenary consisted of four generations of male members in a family, starting from the oldest surviving member.[6] The undivided coparcenary property belonged to all the members of the coparcenary where each coparcener held a share by birth, and thus it devolved by the rule of survivorship.[7] Such an arrangement left the female relatives of the deceased without any protection as the property rights were vested solely in men who were a part of the coparcenary.[8] The exclusion of women was a result of the notion that women lacked the potency to perform religious obligations, such as providing offerings to ancestors and performing funeral rituals.[9] Thus, traditional laws of succession were ridden with gender bias and hindered any possibility of equality for women.

When the act was being framed, B. N Rau and B. R Ambedkar recognized these problems and had, in fact, proposed to do away with the concept of Mitakshara coparcenary altogether.[10] This proposition was met with fierce opposition. The idea of making daughters a part of the coparcenary was also pioneered but was not accepted.[11] Thus the act was a product of a middle ground. The Mitakshara coparcenary was retained but more protection was offered to women than what was offered under traditional Hindu law.

Protection offered to women under the 1956 act

In light of the principles of equality enshrined in the constitution, the act tried to alleviate the position of women by giving them a share in father’s separate property. Daughters were introduced as class I heirs and this enabled the daughters to get a certain share out of their father’s property through the concept of a notional partition.[12]

A Hindu male can hold two types of property. The first one is ancestral property that devolves by the rule of survivorship.[13] The second one is separate property that devolves according to the rules of intestate succession.[14] After partition, the property is considered to be separate property of the man which devolves upon his heirs by intestate succession. Thus, the concept of notional partition was introduced in explanation I of § 6 of the 1956 Act.[15] It mandated a legal presumption that a partition had taken place immediately before the death of the coparcener who had, either a female relative specified in class I of the schedule of the Act, or a male relative who claimed through such a female relative.[16] This entailed that the property would devolve by intestate succession and not by the rule of survivorship.  This legal fiction was created to protect the interests of the daughter of the deceased.[17] As the notionally partitioned property would be considered to be separate property, she would be entitled to a share out of it.

This assured the daughter some interest in the father’s property. Before the act, entire undivided property would devolve to surviving coparceners as per the rule of survivorship, leaving the daughter remedy-less.[18] This was the first step, though a cursory one, is ensuring that there is parity between male and female successors. However, the result of this provision was that sons of the deceased coparcener could claim both as heirs and later as surviving coparceners.[19] This is because notional partition is only a tool to demarcate the share that the deceased would have received and it does not disrupt the coparcenary property as whole.[20] Hence, the rest of the undivided property continues as coparcenary property. This enabled the male members to get a share larger than their female counterparts.

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II. Position Post Amendment

It was observed that granting daughters a share in the notionally partitioned property of their fathers still did not place them on the same level as their male counterparts. In light of this, there could be only two ways in which equality could be truly achieved in this regard. Either the concept of coparcenary property had to be abolished or daughters had to be made a part of the coparcenary.[21] Kerala followed the first route while the  second model of making daughters a part of the coparcenary was introduced by Andhra Pradesh and was later followed by Maharashtra, Tamil Nadu et al.[22] These state amendments were an effort to realize the constitutional mandate of equality. It was also to eradicate the practice of dowry which was believed to have stemmed from this exclusion of women from holding property.[23] However, some of these amendments excluded married daughters from their ambit.

In 2000, the 174th Law Commission Report suggested a number of reforms with regards to women’s right to property.[24] It also pointed out another bias in § 6 of the Act wherein, when property devolves according to § 8, it considers male line of descent up to two degrees, but the female line only up to one degree.[25] It also proposed to delete § 23 of the act that excludes female heirs from claiming a partition of the dwelling house.[26]

In 2005, the amendment was passed along the lines of various state amendments and the Law Commission Report. This had the effect of overriding the state amendments.[27] After the amendment the fundamental principles of the Hindu coparcenary were challenged. Daughters were made a part of the coparcenary and were granted the same rights over the coparcenary property as their male counterparts.[28] Further, earlier daughters were barred from becoming kartas because they were not a part of the coparcenary.[29] However, by the application of the amended § 6 they can now act as kartas. The Parliament also proceeded to obliviate the distinction between a married and an unmarried daughter.[30] This was path-breaking blow to institutionalized patriarchy as it made women economically independent. However, problems still persist regarding concepts like reunification which are governed by uncodified Hindu law.[31]

III. Issues in Interpretation

Prakash v. Phulavati

In the present case the suit for partition and for inheritance was filed in the year 1992 by the daughter of the deceased.[32] During the pendency of this suit, the amendment of 2005 was enacted and the plaintiff amended her plait to be able to benefit from this amendment.

The trial court however, did not decree a share in the ancestral property in her favour. In appeal, the High Court reversed this decision and held the amendment act would be applicable to the present case, even though the respondent’s father had passed away before the enactment. While interpreting § 6(5) of the amendment act, it held that it only bars applicability of the amendment act to cases where partition has been effected before the stipulated date.[33] However, this bar will not be attracted in the present case because there was no deed of partition but only a notional partition that had taken place.

The defendants in the present case appealed to the Supreme Court and contended that the plaintiff respondent was entitled to the separate property of her father, but was not entitled to the ancestral property.[34] According to them, the plain wording of the amended provision made it clear that the provision would apply to “daughter of a coparcener” during the commencement of the act.[35] However, since the coparcener had died before the amendment in the present case, the daughter would not able to claim benefit of the amendment. Against this it was contended that the amendment was a social legislation and should be given retrospective effect barring for partitions that have been effected by a decree of court or those done by a registered deed.[36]

The court held that the amendment act can only be effective if the death of the father occurs after the date of enactment. In absence of any express provisions, it was held that the act cannot be applied retrospectively, even if it is a social legislation. Thus, the amended shall only apply to “living daughters of living coparceners” at the time of enactment and the transactions prior shall remain unaffected.[37]

Dannamma v. Amar

In this case, the appellants were the daughters of a coparcener who had died in 2001.[38] The respondents were the sons of the deceased who had filed a suit for partition of the property in 2002. They claimed that the daughters were born prior to 1956, the enactment of the act. The trial court had denied any share to the daughters. The appeals to High Court were also dismissed.

However, the Supreme Court reversed the impugned judgements. The question was whether by the virtue of the amendment, the daughters would become coparceners “in the same right as the sons.”[39] While relying on the case of Anar Devi, it held that the concept of notional partition exists only for the computation of the interests of the shares of the heirs and does not disrupt the coparcenary as a whole.[40] Further, the court reiterated the principles laid down by the Phulavati case.[41] It said the purpose of the amendment was to realize the constitutional mandate of equality. 

The trial court decree in the present case was passed in 2007. The court held that the lower courts should have been mindful of this change in legal rights. It relied on the case of Ganduri Koteshwaramma, to say the rights under the amended act are not lost merely because a preliminary decree has been passed in a partition suit before.[42] It was held that the amendment further gave an inherent right by birth in the property to the daughters.[43] The court then directed the trial court to apply the principles accordingly and grant a share in the coparcenary property to the daughters as well.

Ambiguities in Interpretation

The judgement in Danamma thus brought back the controversy from its grave. Though the judgement agrees with the ratio in Phulavati, it does not apply it. By giving the daughters the benefit of the amended act even though the father had died before the amendment, the judgement directly goes the against the ratio of Phulavati which prescribed that the amendment shall only apply to “living daughters of living coparceners.”[44] Since the Phulavati case still continues to be good law, a daughter whose father had died before the amendment cannot claim the benefit of the amendment act. However, going by the ruling in Danmma, a daughter will be entitled to the benefits of the amendment act in a pending suit filed after 2005 regardless of when the father died. The distinction between fresh suits for partition and pending suits does not a have sound basis.

By the literal interpretation of the statute, the ruling in Phulavati is legally sound. It is also more pragmatic to set a clear date for the application of the amendment act. This has, however, been blurred by the judgement in Danamma. There is still ambiguity as to whether daughters of coparceners dying before the amendment act can by the virtue of the judgement in Danamma institute a claim in the coparcenary property.

The rationale in Danmma focuses of the objective of the amendment to give the daughters “inherent right to property by birth.”[45] If this rationale is followed, then in case of father’s death before the amendment a daughter should be allowed to institute a claim for partition based on this right. However, the ruling restricts itself to pending suits or suits filed by a male coparcener. In contrast, noticing that the ruling in Phulavati is an “authoritative precedent,” a female has no rights under the amendment act if the father had died before enactment. In such a case, she shall have no claim to institute proceedings for partition. Hence, in this author’s view, it is not logically sound to draw a distinction between suits for partition that have not been finally decided, those suits for partition that are sought to be instituted by daughters.  The effect of these two judgements, thus, has dichotomized the law.

IV. The way forward

The statement of objects of the amendment act states that the traditional Mitakshara coparcenary infringes women’s right to equality by excluding them from inheritance of ancestral property.[46] The amendment seeks to redress this inequity. The ruling in Danamma[47] thus, is more in consonance with the objective of the act.

The logical basis provided by amendment act and that provided by the ruling in these cases remains the same. It says that transactions prior to enactment shall not be affected and it seeks to protect that rights that have already been conferred. However, this end can be achieved even if the ruling in Danamma is not restricted only pending proceedings. Even in a scenario where father has died before the enactment of the amendment act and no partition has been effected for the coparcenary property, a daughter should be allowed to institute proceedings and claim her share as per the amendment act. In such cases too, there is no finality of shares among the coparceners. Hence, giving such a benefit to the daughter will not negative rights conferred previously. In this case also, the benefit of the amendment act can be provided regardless of the date of death of the father.

Going one step further, it has been proposed by some critics that the concept of coparcenary property be abolished altogether.[48] This had been done in the state of Kerala in its now overridden amendment act. This idea was ejected by the Law Commission on the account that this would not protect the interests of women.[49] Thus making daughters a part of the coparcenary is perhaps the best way to protect their interest from being willed away.

Conclusion

In a country like ours where patriarchal notions still control the economic and social lives of women, legislation should be a stepping stone to overcome these barriers and not act as a roadblock. Despite the enactment of the amendment, women do not claim a share in their father’s property. The society still treats women who demand their rightful share in ancestral property with contempt. The 2005 amendment is a big step in dismantling patriarchal forces because it grants women economic freedom and challenges the notion that they become a part of their husband’s family after marriage. Many families are concerned about the status of their property in absence of a son being born. This anxiety can be alleviated with the amendment act as it treats the daughter as a legitimate inheritor.

In such a scenario, legislative ambiguities make path to equality even more difficult. In absence of a fixed precedent, lower courts find it difficult to apply to provisions of the amended act. The judgement in Phulavati[50] may deter daughters of coparceners having died before the amendment from approaching the court. In any case, their rights under the Danamma[51] case are also restricted.  Hence, there is an immediate need to reconcile the law and decide whether a strict  approach needs to be followed   or whether  the statute should be applied liberally. Though a liberal approach is encouraged, it must also been seen that such an approach does not  lead to disturbance of previously settled rights. Thus an authoritative ruling is needed to  enable the better implementation of the amendment act.


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Bibliography

Cases

Anar Devi and Ors. v. Parameshwari Devi and Ors. (2006) 8 SCC 656.

CIT v. Govindram Sugar MillsAIR 1966 SC 24.

Danamma v. Amar and Ors. (2018) 3 SCC 343.

Ganduri Koteshwaramma v. Chakiri Yanadi (2011) 9 SCC 788.

Prakash v. Phulavati (2016) 2 SCC 36.

Statutes

Statement of Object and Purposes, The Hindu Succession (Amendment) Act, 2005.

The Hindu Succession (Andhra Pradesh Amendment) Act, 1985, §29A, §29B, §29C

The Hindu Succession (Maharashtra Amendment) Act, 1994

The Hindu Succession Act, 1956.  

The Hindu Succession Act, 2005, §6.

Other Authorities

Law Commission Of India, 174th Report on Property Rights of Women: Proposed Reforms under the Hindu Law (May 2000).

Treatises

D.F. Mulla, Principles Of Hindu Law, Vol.1 (21st ed., 2013).

J.D. Mayne, Treatise on Hindu Law and Usage  (5th ed.,1892)

M.P. Jain, Indian Constitutional Law  (8th ed., 2018)

Poonam Pradhan Saxena, Family Law Lectures, Family Law 2 (3rd ed., 2011).

Journal Articles 

Sivaramayya, Coparcenary Rights to Daughters: Constitutional and Interpretational Issues, SCC J-25 (1997)

Florence Laroche-Gisserot, Women’s Inheritance According to the 2005 Amended Hindu Succession Act, INT’L SURV. FAM. L. (2007).

Kishwar, Codified Hindu Law: Myth or Reality, 33 Economic And Political Weekly (1994).

Poonam Pradhan Saxena, Notes and Comments: Judicial Re-Scripting of Legislation Governing Devolution of Coparcenary Property and Succession Under Hindu Law, 58 JILI (2016).

Shivani Singhal, Women as Coparceners: Ramifications of the Amended Section 6 of the Hindu Succession Act, 19 Stud Adv (2007).

Endnotes                               

[1] The Hindu Succession Act, 1956.

[2] Florence Laroche-Gisserot, Women’s Inheritance According to the 2005 Amended Hindu Succession Act, INT’L SURV. FAM. L. (2007).

[3] Poonam Pradhan Saxena, Notes and Comments: Judicial Re-Scripting of Legislation Governing Devolution of Coparcenary Property and Succession Under Hindu Law, 58 JILI (2016).

[4] Poonam Pradhan Saxena, Family Law Lectures, Family Law 2 (3rd ed., 2011).

[5] The Hindu Succession (Amendment) Act, 2005, §6.

[6] D.F. Mulla, Principles Of Hindu Law, Vol.1 (21st ed., 2013).

[7] Id.

[8] J.D. Mayne, Treatise on Hindu Law and Usage  (5th ed.,1892)

[9] Id.

[10] M. Kishwar, Codified Hindu Law: Myth or Reality, 33 Economic And Political Weekly (1994).

[11] Shivani Singhal, Women as Coparceners: Ramifications of the Amended Section 6 of the Hindu Succession Act, 19 Stud Adv (2007).

[12] The Hindu Succession Act, 1956.

[13] Mulla, supra note 6.

[14] Mulla, supra note 6.

[15] The Hindu Succession Act, 1956.

[16] The Hindu Succession Act, 1956, §6; Mulla, supra note 6.

[17] Saxena, supra note 3.

[18] Mulla, supra note 6.

[19] Singhal, supra note 11.

[20] Saxena, supra note 3.

[21] Gisserot, supra note 2.

[22] The Hindu Succession (Maharashtra Amendment) Act, 1994, The Hindu Succession (Karnataka Amendment) Act, 1994, §6A, §6B, §6C, The Hindu Succession (Andhra Pradesh Amendment) Act, 1985, §29A, §29B, §29C,

[23] Singhal, supra note 11.

[24] Law Commission Of India, 174th Report on Property Rights of Women: Proposed Reforms under the Hindu Law (May 2000).

[25] Id.

[26] Law Commission of India, supra note 23.

[27] M.P. Jain, Indian Constitutional Law  (8th ed., 2018)

[28] The Hindu Succession (Amendment) Act, 2005, §6. 

[29] CIT v. Govindram Sugar Mills, AIR 1966 SC 24.

[30] Singhal, supra note 11.

[31] B. Sivaramayya, Coparcenary Rights to Daughters: Constitutional and Interpretational Issues, 3 SCC J-25 (1997)

[32] Prakash v. Phulavati (2016) 2 SCC 36.

[33] Id.

[34] Id.

[35] The Hindu Succession (Amendment) Act, 2005, §6. 

[36] Prakash v. Phulavati (2016) 2 SCC 36.

[37] Id.

[38] Danamma v. Amar and Ors. (2018) 3 SCC 343.

[39] Id

[40] Anar Devi and Ors. v. Parameshwari Devi and Ors. (2006) 8 SCC 656.

[41] Prakash v. Phulavati (2016) 2 SCC 36.

[42] Ganduri Koteshwaramma v. Chakiri Yanadi (2011) 9 SCC 788.

[43] Danamma v. Amar and Ors. (2018) 3 SCC 343.

[44] Prakash v. Phulavati (2016) 2 SCC 36.

[45] Danamma v. Amar and Ors. (2018) 3 SCC 343.

[46] Statement of Object and Purposes, The Hindu Succession (Amendment) Act, 2005.

[47] Danamma v. Amar and Ors. (2018) 3 SCC 343.

[48] Singhal, supra note 11.

[49] Law Commission of India, supra note 23.

[50] Prakash v. Phulavati (2016) 2 SCC 36.

[51] Danamma v. Amar and Ors. (2018) 3 SCC 343.

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When can a victim be deemed as competent to give evidence: Legal Provisions and Judicial Pronouncements

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This article is written by Suryansh Verma.

Witnesses are extremely important for a case in trial. The statements made by them can hold a person guilty or release him from the guilt which would lead to his acquittal. A witness is basically a person who has witnessed the happening of an event at a point of time. 

Who is a witness?

A witness is a person who had observed the happening of the offence. Furthermore, a witness is a person who comes to the Court and swears under oath to give true evidence. Witnesses can be divided into two broad categories – 1. Eye Witness and 2. Circumstantial Witness

An eye witness is a person who gives the testimony under oath i.e. the person who witnessed happening of the act. The eye witness needs to be competent to testify in the Court. If any witness who was intoxicated or insane at the time of the Act, he shall not be allowed to give evidence. The fact that he was the only eyewitness present at the scene shall also be disregarded. 

Circumstantial witnesses are those who give evidence as to the circumstances from which an inference is to be drawn as to the fact in issue. When there is no direct evidence available as to the commitment of an offence, circumstantial evidence is resorted to.

Who can be a witness?

Any person to be a witness

Section 118 of the Evidence Act, states that any competent person can be a witness unless the same has been barred by the Court or any law. They need to understand the questions that are being put to them. They need to give rational answers to the questions. 

A lunatic is also competent to testify if he is able to understand the questions that are being put to him. The answers given by him should be rational as well.

A counsel who is acquainted with the facts of the case can also be a witness even though he is appearing on behalf of any party in the case. 

How dumb witnesses provide evidence?

Section 119 of the Indian Evidence Act, states that a witness who is dumb i.e. unable to speak can give evidence in any manner by which he/she makes it understandable. He can do so by writing the event down, or by signs. Such a written document or the signs should be made in the open Court. Furthermore, Section 119 of the Act provides that evidence thus provided will be deemed as Oral Evidence in the Courts of Law.

If there is any witness who has kept a religious vow of silence is presumed to be as ‘unable to speak’. He can give all the evidence in writing to the questions that are put to him. (Lakhan v. Emperor)

The Court needs to ascertain the intelligence of the dumb person who is going to give evidence in the Court. The person should have the requisite necessary amount of intelligence that he comprehends the nature of an oath and the questions that are put to him. 

Child witnesses

As per Section 118 of the Evidence Act, any person is competent to be a witness unless the Court thinks that he cannot answer the questions being put to him. Furthermore, a child can be easily framed to answer the questions. The factor of age is a reasonable restriction on this. For the determination of the competency of a child to be a witness, the Courts check the intellectual capacity of the Child. It all depends upon the judge to take a child as a witness or not.  

It was held in Santosh Roy v. State of West Bengal that the sole test for checking the competency of a child witness is his intellectual capacity to answer the questions with rationality.

Voir dire test

The Court puts some questions before the child who does not have any nexus with the case. This is done in order to check the intelligence of the child. The child is taken as a witness only when the Court is fully satisfied with the preliminary set of questions. 

In State v. Yenkappa, the accused was convicted of the offence of murder of his wife. The statements were made by his own children who were adolescents. The admission of such evidence was challenged under Appeal. The accused brought in some evidence that the children were already prepared to answer that way i.e. they have been tutored to say so. The accused contended that the evidence is liable to be rejected. 

The Supreme Court had held that just because the evidence was provided by a child, it is not subject to rejection. However, the Court needs to be extremely cautious when recording the evidence provided by the child. It needs to be seen that an innocent person is not punished because of the evidence of the child. 

In this situation, it can be inferred that the children were in their house environment i.e. it is their normal condition and thus them witnessing the incident is not unusual or unnatural. 

An interested person as a witness

According to the English Law Dictionary, an interested witness is a person who has some personal benefit in the outcome of the case. An interested witness is the one who has some material stake in the results of the case. 

In Takdir Sheikh v. State of Gujarat, “interested’ denotes that the witnesses need to have some direct interest in getting the accused convicted. Interested witnesses are not reliable at all. 

Whether the evidence by Interested person credible or not

The Courts need to be very cautious in dealing with such witnesses. The evidence provided by interested persons cannot be discarded but it needs to be dealt with utmost caution and care. A related witness can also be regarded as an interested witness.

In Seema Alias Veeranam v. State by Inspector of Police, the Court had held that the statement of the related witness cannot be rejected merely on the grounds that he was a related witness. If the same if found to be credible, it can be rejected. It is the Court’s duty to be extremely careful in scrutinizing the evidence. 

In Amit v. State of Uttar Pradesh, the witness was the grandmother of the child. There is no ground to disbelief her just because she was a relative and interested witness as well. 

In Sardul Singh v. State of Haryana, the Supreme Court was of the view that the evidence which is given by the interested witnesses needs to be scrutinized more carefully. The evidence provided by such witnesses cannot be discarded just on the grounds that they were related witnesses. The ring of truth needs to be found. If the evidence is accepted, then the same is not subject to challenge just on the account of allegations. 

Cases where the witnesses are compelled to produce a document

Communications between husband and wife

Section 122 of the Indian Evidence Act states that every communication which happens between husband and wife during the time of marriages cannot be admitted as evidence in the Court. However, Section 122 of the Act might look rigid at the very first instance, but there are certain exceptions to the same. As per the Section, a wife cannot be compelled in the Court of law to reveal the communications made to her. However, the spouse can depose off the communication if the other spouse gives the consent for doing so. The consent given should be expressed. Consent in such cases cannot be implied. 

In M.C. Varghese v. T.J. Ponnen, it was held by the Supreme Court that such privilege continues even after divorce, separation or dissolution of marriage. It will only be applicable to conversations during the marriage and not on those after that. 

However, in Bhalchandra Namdeo Shinde v. State of Maharashtra, it was held that an effect of the communication can be brought to the Court for admitting as evidence and not the whole conversation. This will be done in cases when the person is accused of a criminal offence. 

One exception to the general rule of this Section is that when a husband and wife are in a Civil Suit before the Court of Law, communications between them can be proved by them. Furthermore, in criminal cases, the husband or the wife can give evidence against the other spouse. However, the offence needs to be against the other spouse only. This was illustrated in Narendra Nath Mukherjee v. State.

Communications made to a public officer

Section 124 of the Indian Evidence Act states about official communications. The provisions envisaged therein talk about that a public officer cannot be compelled to disclose the conversations which were made to him. Such communications which are made to the public officer need to be in official confidence. The documents which are made under the process of law are documents which can be produced as evidence in the Court. It depends upon the public officer to ascertain whether disclosure of the document in the official communication would be detrimental to the public interest or not. 

Also, whenever a document is summoned, the concerned officer needs to bring that document to the Court. Thus, it is upon the Court to decide whether the document so produced is privileged or not. 

Information given to the Magistrate in case of commission of an offence

Section 125 of the Evidence Act mentions the information regarding the commission of offences which is made to the Magistrate. The provisions envisaged therein state that no magistrate will be compelled to make mention of the information conveyed to him about the commission of an offence. Under Section 125, the disclosure of the name of informant is protected. 

In State of U.P. v. Randhir Srichand, it was held that the no police officer or magistrate will be compelled to give information regarding the commission of offence. 

It needs to be taken into consideration that only the information as to the commission of offence is privileged. Thus, if a police officer has already started the investigation regarding the offence, the privilege under the said section is lost. Thus, if a police officer has obtained documents in pursuance of the investigation already started, the police officer can be asked at any stage to produce the documents of such investigation.

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Communications made to legal advisers

As per Section 129 of the Indian Evidence Act, a person cannot be compelled to give evidence of the communications made to their professional legal adviser. However, if the person offers themselves as a witness, such communications can be disclosed.

When the witness is not a party to a suit, he can be compelled to produce title deeds

As per Section 130 of the Indian Evidence Act, a witness who is not a party to a suit can be directed to produce title deeds of his property. He can also be compelled to produce any other document which proves that he holds such property.

Cases in which witnesses cannot be permitted to make a particular statement

Communications between husband and wife

Under Section 122 of the Indian Evidence Act, the doctrine of privileged communications has been envisaged. The spouses cannot be compelled to reveal the communication between them for the purpose of evidence in the Court of law. Section 120 of the Act makes the husband or wife as a competent witness. In Ram Bharose v. State of UP, it was held that the communication which is made between the husband and wife in the case of deadlock is prevented from being proved in the Court of Law. 

For the purpose of applying Section 122 of the Act, it is not necessary for the husband or wife to be a party in the case. In any case before the Court of Law, such conversations and communications between the husband and wife are privileged communications. 

Evidence when the affairs of the State are concerned

Under Section 123 of the Indian Evidence Act, it has been stated that no person will be allowed to give as evidence from an unpublished official record belonging to the State. However, permission is required from the head of the department if one needs to give evidence arising. 

If a particular document creates an effect on the public interest, it can be withheld from producing the Court. The basis of Section 123 is “salus populiest suprema lex” which basically means that regard for public welfare is the highest law. 

Moreover, as per the Section, the document which is required should be unpublished. 

Attorney-Client Privilege

This also forms a part of the Evidence Law in India. As per Section 126 of the Indian Evidence Act, the attorney is barred from disclosing any advice, document, any communication or anything else in respect of the client. The law is similar in English Law as well. This rule has been restricted only to the legal advisers. Any attorney who has been consulted as a friend is not bound by this rule. 

This privilege is applicable to all the communications, either documentary or oral. 

Under Section 127 of the Evidence Act, it has been explicitly stated that the provisions contained in Section 126 of the Act will also apply to people employed by the barrister or the person under Section 126. 

Section 128 of the Indian Evidence Act deals with the privilege of the client. It mentions an implied waiver. However, the privilege is still with the client if he gives evidence at his own instance or in another way by calling his/her counsel as a witness. 

Conclusion

The Indian Evidence Act is the complete code for Evidence Law in India. The Evidence Act provides for provisions to provide evidence in both civil suits as well as criminal trials. As per the Evidence Act, any person who is competent is allowed to give evidence to meet the ends of justice. Sometimes, a witness can be saved from providing evidence whereas sometimes they can be compelled to produce certain documents. 


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Reservation for the Economically Weaker Sections

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This article is written by Samia Haider and Shaivy Maheshwari, student of Symbiosis Law School.

Introduction

(INCLUDING THE GENESIS AND EVOLUTION OF RESERVATION)

In the words of Aristotle,

“The worst form of inequality is to make unequal things equal.”

An Egalitarian society, in which all the individuals lead their lives with dignity, without any fear of exploitation or discrimination, is what Dr. B. R. Ambedkar, the Father of the Indian Constitution always strived and aspired for. According to him, discrimination and exploitation are two evils which that lead to social exclusion as well as the marginalization of several afflicted groups in the society[1]. In India, as a result of the pernicious caste system that has prevailed since times immemorial, a huge section of the population has been subjected to institutionalized discrimination and have been stigmatized for reasons starting from language, caste, religion, gender, region etc.

Reservation is a discipline that dates back to 2000 years[2] and was transformed post-independence to new contrary stature by the tenacious efforts several leaders including MK Gandhi, B.R. Ambedkar. The Preamble of the Indian Constitution describes the nation as “A Democratic Republic” and provides for Equality before law. For this purpose, it lays down certain “special provisions” for the socially backward castes who have faced a long history of stigmatization and marginalization.

However, the Indian Government had now drifted from its long history of caste based reservation by moving towards a class based reservation. It was the S R Sinho Commission which in 2010 submitted a report on the need for a constitutional amendment for the purpose of giving reservation to the general category poor in education as well as in government jobs. For the purpose of upliftment of the economically weaker section (EWS) of the society, the Government has instituted a 10 per cent reservation by mean of the One hundred and third Constitutional Amendment Act. This paper aims to analyze the effect that this move by the Government would have on the individuals.

Effects and Implications

Articles 15 and 16

The main implication of the EWS reservation is that Articles 15 and 16 of the Constitution now stand amended, empowering the state to provide a maximum of 10 per cent reservation for the economically weaker sections of the society excluding the SCs, STs and the OBS-NCL (non-creamy layer). The recently added clause (6)[3] of Article 15 gives the state the power to make “special provisions” including “reservation in admissions to educational institutions (including private institutions), apart from excluding the educational institutions for minorities under Article 30 (1). The newly added clause (6)[4] of Article 16 permits for reservation for the purpose of governmental appointments or state posts.

To avail this EWS reservations, an individual needs to have a gross family income that is less than Rs 8 lakh, if they have agricultural land, it needs to be below 5 acres, and a residential plot below 1000 square foot ( in case of urban areas – below 100 yards in a municipal areas or 200 yards in non-notified municipal areas)[5] . Presently, reservations accounts for a total of 49.5 per cent in India. However, if the 10 per cent reservation for the EWS is taken into consideration, this would raise to a total of around 59.5%, thereby reducing that number of meritorious admissions.

Does the basic structure stand violated?

After deliberating over a number of previous cases[6], it was ultimately the case of Keshwananda Bharti[7] that established the basic structure doctrine as an integral part of the Constitution. Though it has not been precisely mentioned in the constitution, the court held that no amendment to the constitution can change the “basic structure” for it is the soul of the Indian democracy. Since then, a large number of principles have been included in the basic structure- federalism, secularism[8], democracy, equality, freedom etc[9].

When it comes to reservation for the EWS, in order to determine whether it would affect the basic structure doctrine, two tests are to be considered. The first is the “Width test”- to determine the boundary of the amending power. For this there are four major issues that are to be dealt with- (i) “Qualitative limitations”, i.e., violation of the 50% ceiling (all reservations taken together) (ii) “Qualitative exclusion”, i.e., excluding the creamy layer (iii) compelling reasons for the reservations (iv) that the reservation does not violate the overall efficiency of the administration. The second test is the “Identity test”- examining whether this reservation would alter the true identity of the Constitution. The courts have to also consider the Equality code in the Constitution. Thus, for the EWS reservation to be approved by the Supreme Court as not being a violation of the “basic structure”, the above tests are to be cleared.

Effect on the 50% Ceiling Limit

The Reservation policy in the process of bringing different sections of society to the same level, should not take away people’s right to equality in the first place. Our constitution makers were conscious of this fact and hence they brought a certain limit to the policy of reservation. This was first clearly defined in the case of M.R. Balaji v. State of Mysore[10] wherein the court realised that the constitution-makers did assume the fact the reservation policy would not be misused to provide unreasonable, excessive or extravagant reservation[11]. Breaching the 50% ceiling would hence result in a reverse discrimination process. However, subsequent case of N.M. Thomas[12]assumed a different view. This was also realized later when the Second Backward Classes Commission popularly known as the Mandal Commission came in picture in the year 1979 wherein it suggested the introduction of reservation for Other Backward Castes category. The court capped it to 27% while realizing the fact that “the power conferred by Clause (4) of Article 16 should also be exercised in a fair manner and within reasonable limits.

Hence, we see that in the present case the 103rd Amendment allows a breach of this ceiling which was created in the above case. However, the good intention may be, amending articles 15 and 16 of the constitution would not suffice unless the new amendment is tested by this persuasive precedent.

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Economic VS Social Inequality

In our country, a certain section of people have been particularly denounced to such an extent that their social advancement has historically lagged behind. Hence the communities which had the privilege of being considered genuine at that time, certainly have made a lot of progress both in the social as well as an educational arena. Dr. B.R Ambedkar in his speech clearly acknowledged the fact that there is an absence of socio-economic equality which is rooted in the system of our society. Hence, the Constitution provided reservation of seats in the educational institutions and in public employment to three categories of people -Persons who are socially and educationally backward classes of citizens, scheduled castes and scheduled tribes[13]. Thus, it is an evident fact that the intention was to enhance these under-represented categories on the basis of their caste.

It is a common criticism that caste based reservation encourages inefficient bureaucracy and promotes sub-nationalism, creating a kind of division among society. But one cannot deny that the purpose why the reservation policy was started to promote social upliftment and not the economic one. It tends to remove the caste characteristic monopoly in every kind of institution. The present amendment solely based on the economic criteria for the purpose of reservation. It, therefore, stands to be tested by the ‘caste-based’ criteria created by the Constitution.

Principles Favouring the Reservation

Social Justice is a principle that has not been specifically defined in the Constitution but is left upon the lawmakers to decide its ambit. It is something that is inclusive in nature and it is something that would not be possible without the inclusion of the economically backward part of the society. The soul of the constitution, i.e., the preamble provides for Justice- social, economic and political. Social justice would not be achieved in the truest sense if the economically weak sections of the society are not able to avail the fruits of development in an equitable manner. Poverty is something that not just denies opportunity in education, employment etc. but also denies access to a sustainable livelihood.

Is it a Reservation just for the Savarnas (The Upper Castes)?

Contrary to the popular view, this reservation is not limited to the upper castes. It is available to the economically weak in all general categories, who were till now not subjected to reservation in another category.

Significance

This reservation is progressive as it could address the problem of income and educational unequally due to financial incapacity among individuals. Apart from the already reserved backward classes, there is a large section of the society that resides in hunger and poverty-stricken conditions. This reservation could also reduce the stigma that has been associated with reservation for it has till now been related to caste.

Challenges

  • By considering the fact that the previous judgements of the Supreme Court have minimal standing in today’s scenario, one can agree with the government in breaching the 50% ceiling set by the Supreme Court in the case of Indra Sawhney v. Union of India[14]. However, in the near future it sets out an open boundary for furthering this kind of reservation. In other words, one cannot say that 59.5% reservation is now the final limit of reservation, this can be further breached if a definite boundary is not created. If this happens, the equality principle over which the reservation policy stands would lose its very basis. Hence either the government should give more pronounced reasoning over introducing this new kind of reservation or the Supreme Court while deciding this fresh case, should limit the reservation by introducing a fresh ceiling over the reservation policy.

  • Also, one can only say that economically weaker sections among the general category have not been adequately represented if supported through proper empirical research. The criteria over which the government has decided to provide the reservation cannot be the sole basis to decide that. This means that before passing the new decision, the government should have proved that this kind of section of the society (which qualifies that they are economically weaker under the general category) are not adequately represented until now in the educational institutions that may be aided or unaided and also in the civil services.

  • The purpose of reservation is to enhance the representation of the historically or existing socially deprived section of the society. It is a way to give them rights to develop and promote themselves. The sole purpose of reservation was to positively discriminate this section of the society so that by educating and promoting a particular group of people within a community, these people can further help in the development of their community. The effort was done to socially uplift people of different communities and not help them on the basis of their economic conditions. Thus, the present development cannot fulfil the ‘need of representation’ for the purpose of reservation.

  • The data provided by NSSO and the IT department shows that approximately 90% of Indian families fall within the EWS limit. Thus, the 8 lakh umbrella is a very one for it would cover nearly all the population that is not already covered under the lieu of reservation.

Conclusion

Hence, by taking into account all the above implications, one can conclude that while the intention of the government in introducing the policy was to uplift the economically weak, the amendment still stands to be tested on the basis of various constitutional and judicial grounds. Reservation was started in the past as a temporary provision for the purpose of reducing discrimination. However, whether this provision is actually “temporary” is something that is debatable. The Supreme Court may, while deciding on this amendment quash it on accounts of being violative of the basic structure doctrine or it may uphold it on the grounds on social justice.

Making reforms in the reservation system is the need of the hour. These can be- Restricting its usage to once in a lifetime, providing quality education starting from the elementary level etc. It cannot be denied that unequals are not to be treated equally, but whether reservation is the only solution is a blooming question that still prevails.


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Endnotes

[1]Sreekanth Yagnamurthy, Reservation for Economically Weaker Section Children in Unaided-Private Schools, 5 Policy and Practise 1, 3 (2013).

[2]Kumar, Jyotica Kumar, Policy of reservation: its envisioned perspective, 39 Journal of the Indian Law Institute 330, 332 (1997).

[3]Art. 15 clause (6), the Constitution of India, “Nothing in this article or sub-clause (g) of clause (1) of article 19 or clause (2) of article 29 shall prevent the State from making,— (a) any special provision for the advancement of any economically weaker sections of citizens other than the classes mentioned in clauses (4) and (5); and (b) any special provision for the advancement of any economically weaker sections of citizens other than the classes mentioned in clauses (4) and (5) in sofar as such special provisions relate to their admission to educational institutions including private educational institutions, whether aided or unaided by the State, other than the minority educational institutions referred to in clause (1) of article 30, which in the case of reservation would be in addition to the existing reservations and subject to a maximum of ten per cent. of the total seats in each category.”

[4]Art. 16 Clause (6), the Constitution of India “Nothing in this article shall prevent the State from making any provision for the reservation of appointments or posts in favour of any economically weaker sections of citizens other than the classes mentioned in clause (4), in addition to the existing reservation and subject to a maximum of ten per cent. of the posts in each category.”

[5]K. Pawar, Affirmative Action: Current Reservation Policy And Alternative Model, 12 (1st ed., 2019).

[6]Shri Shankari Prasad Singh Deo v. Union Of India, AIR 1952 SC 458.

Sajjan Singh v. State Of Rajasthan, (1965) 1 SCR 933.

Golaknathv. State Of Punjab, (1967) 2 SCR 762.

[7]Kesavananda Bharti v. State Of Kerela, AIR 1973 SC 1461.

[8]S. R. Bommai v. Union Of India, AIR 1994 SC 1918.

[9]S. Deshpande, Caste Inequalities In India Today,  Contemporary India: A Sociological Vie,  98-124 ( 1st ed., 2003).

[10]AIR 1963 SC 649.

[11] M.R. Balaji v. State of Mysore, 1963 AIR 649.

[12]State Of Kerala &Anrvs N. M. Thomas &Ors, 1976 AIR 490.

[13]C. Basavaraju, Reservation under the Constitution of India: Issues and Perspectives, 51 Journal of Indian Law and Society 267, 268 (2011). 

[14]AIR 1993 SC 477.

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The Law on Anticipatory Bail: from ‘Sibbia’ to ‘Chidambaram’

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This article is written by Anjali Dixit.

Recently, the refusal of anticipatory bail to former Union Minister P Chidambaram by the Supreme Court made headlines. Chidambaram appealed to the Supreme Court against an order of the Delhi high court passed on August 20, 2019, refusing anticipatory bail to him over allegations of corruption in the INX media case. The Apex Court dismissed his appeal stating that “anticipatory bail cannot be granted as a matter of right. It has to be exercised sparingly, especially in case of economic offences which constitute a class apart”[1]

This article will trace the journey of the law on anticipatory bail since its inception to the present day in the context of its judicial interpretations.

Introduction

Bail is essentially freedom from the restriction on the liberty of an accused. It is a temporary release of a person on some security of his appearance. Presumption of the innocence of an accused until proven guilty is a fundamental canon of criminal jurisprudence. The provisions of bail in the Criminal Procedure Code, 1973 (CrPc) provides substance to this principle by creating a balance between the personal liberty of an accused and the interest of society. Bail is a matter of right in bailable offences as provided under section 436 of the CrPc and a matter of judicial discretion in non-bailable offences under Section 437 and 439 of CrPc. Where bail under Section 436,437 and 439 can be granted only after an arrest, Section 438 provides for a pre-arrest bail also commonly known as anticipatory bail. Anticipatory Bail refers to the grant of bail in anticipation of arrest.

The concept of anticipatory bail gained momentum when the tendency to falsely implicate an individual in order to injure their reputation was recognized. There was a rise in instances, where reputed individuals were falsely implicated by their political rivals, in order to humiliate and harass them by getting them arrested. Personal liberty of an individual is a valued facet of his right to life and must not be put in jeopardy. Besides this, there are instances where an accused is not likely to abscond to avoid trial, does not have criminal antecedents and is not likely to tamper with evidence. The need for protecting the liberty of such men gave birth to the concept of pre-arrest bail. The essence of anticipatory bail is well encapsulated in the words of Y.V. Chandrachud C.J, who observed as:

A person who has yet to lose his freedom by being arrested asks for freedom in the event of arrest. That is the stage at which it is imperative to protect his freedom so to give full play to the presumption that he is innocent.”[2]

The Law Commission in its 41st report observed “The necessity for granting anticipatory bail arises mainly because sometimes influential persons try to implicate their rivals in a false case for the purpose of disgracing them or for the purpose of getting them detained in jail for some days”[3]

Contents of Section 438

The term anticipatory bail is nowhere used in the CrPc, rather it provides for a direction to grant bail to a person apprehending arrest. Section 438 of CrPc 1973 provides that where a person has reason to believe, that he may be arrested on the accusation of committing a non-bailable cognizable offence, he can apply to the Court of Session or the High Court for the grant of bail in case of such arrest.

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The Court may grant or refuse the bail after taking into consideration, among other things, factors like; antecedent of the accused(including imprisonment undergone on conviction in a cognizable offence),nature and gravity of offence, possibility of fleeing from justice and the probability of accusations being made to injure or humiliate the applicant.

The Court may also grant an interim bail to the applicant and cause a notice of not less than seven days along with a copy of the order to be served on the Public Prosecutor and the Superintendent of Police, in order to give a reasonable opportunity to the Public Prosecutor to present his case when the application is called on for final hearing by the Court.

If on an application made to Court by the Public Prosecutor in this regard, the Court considers the presence of applicant necessary in the interest of justice at the final hearing of the application, it shall be obligatory for him to be present in Court.

The High Court or the Court of session in case of grant of bail to the applicant, may include conditions in the light of facts and circumstances of the case like; the person shall make himself available to the police officer as and when required for the purposes of investigation, he shall not make directly or indirectly to any person acquainted with the facts of case, any threat, inducement or promise, in order to dissuade him from disclosing such facts to the Court or the Police officer and that the person shall not leave the country without permission of the Court. Further, the Court may impose any condition as provided under Section 437 (3) of CrPc.

In the event of arrest of a person who has been granted anticipatory bail by the court, he shall be released as soon as he is prepared to furnish bail to the Police officer. When a Magistrate decides to issue a warrant for arrest in such a case, a bailable warrant shall be issued.

Exceptions to the law

Criminal amendment bill 2018 added Clause 4 to Section 438 and created exceptions to the law. According to the said clause, anticipatory bail cannot be granted to a person accused of an offence of committing rape on a woman under 16 years of age, under 12 years of age, gang rape on a woman under 16 years of age and gang rape of a woman under 12 years of age, punishable under Section 376(3), 376 AB, 376 DA and 376 DB respectively of the Indian Penal Code, 1860.[4]

Further, Section 18 of the Scheduled Caste and Scheduled tribes (Prevention of Atrocities Act) 1989, prevents the grant of anticipatory bail in respect of offences committed under Section 3 of the Act.

Decoding Section 438 through judicial interpretations

The characteristics of Section 438 rest on certain terms used in the provision that convey the intention of the legislature and have guided the Courts in the interpretation of the Section. A plethora of cases over the due course of time have evolved the practice of grant of anticipatory bail by Courts. However, in Gurbaksh Singh Sibbia v State of Punjab [5]was the first such case wherein the Supreme Court laid down the principles of a grant of anticipatory bail with meticulous details.

In Gurbaksh Singh Sibbia v State of Punjab[6], grave allegations of corruption were made against the then Minister of Irrigation and power in the Government of Punjab. Sri Gurbaksh Singh Sibbia filed an application before the Punjab and Haryana High Court praying for the grant of anticipatory bail which was refused by the Court. The Court held that the power under Section 438 is extraordinary and must be exercised sparingly in exceptional cases only. It observed that the applicant must make out a special case for the grant of bail under this Section. It further observed that in case of a reasonable demand made by the investigating agency for remand of accused in police custody, power under Section 438 should not be exercised. The court held that in order to balance public interest, the discretion should not be exercised by the court in serious economic offences involving blatant corruption.

The applicant appealed against the order in the Supreme Court. A 5 Judge Constitution bench was constituted which reversed the decision of the High Court and laid down expansive guidelines on several crucial points, which are as follows:

“Reason to believe”

The use of the term ‘Reason to believeby the legislature lends credence to the fact that the Court will grant anticipatory bail to the applicant only when he has reason to believe that he may be arrested on the accusation of a non-bailable cognizable offence. This reason to believe must be founded on reasonable grounds and not mere suspicion. There must be enough substance on the grounds that led to this belief of the applicant. The application must set out specific facts and events that led to the applicant forming that belief. The reasons cannot be sham or evasive. Mere fear is not ‘belief’, thus a vague apprehension that someone is going to make an accusation against him, in pursuance of which he may be arrested, is not enough. Such belief must be founded on some tangible grounds which the court can examine objectively.[7]

Judicial discretion

The legislature grants wide discretion to the High Court and the Sessions Court by including the term “may, if it thinks fit” in Section 438. The Court held that this discretion must not be narrowed down by introducing conditions into the statute not originally found, as done by the High Court. Judicial discretion in matters of anticipatory bail must be exercised in light of the facts and circumstances of every individual case and by imposing conditions that the case may warrant. Generalizations of any sort like “economic offences’ or ‘case of blatant corruption’ as made by the High Court destroy the very purpose of discretion granted to Courts by the legislature. Thus, there can be no straitjacket formulae for the exercise of power under Section 438. Any attempt to lay down a cast-iron rule by making generalizations will hamper the interest of the applicant adversely.

Balancing personal liberty and investigational powers of the Police

The Apex Court held that there is substantial public interest involved in the investigational powers of police, but the Court must strike a balance between the powers of the police and personal liberty of the applicant. The refusal of bail directly affects the freedom of movement of an individual, which has been held to be a component of Right to life under Article 21 of the Constitution of India. Thus, it is the task of the Court to balance the two interests in the exercise of power under Section 438. The imposition of usual conditions on the applicant of cooperating with the investigation agency and not tampering with the evidence while granting an order under Section 438, will ensure uninterrupted investigation thereby preventing the conflict in interest.

Power under Section 438 being extraordinary in character

The Apex Court held that the conclusion of the High Court that power under section 438 is extraordinary in nature is unjustified. The provision is extraordinary only in the sense that usually bail is applied for under Section 437 and Section 439 of CrPc. But that does not lead to the conclusion that the power has to be exercised sparingly. The Court reiterated its position that power under Section 438 should be exercised in light of the facts and circumstances of the specific case. As no two cases are similar, no formulae can be derived for the grant of bail in such cases.

No Blanket Order to be issued

Section 438 does not contemplate a blanket order of anticipatory bail. The applicant cannot be directed to be released on bail for whatever offence whenever committed. The application must make out specific accusations against which relief is prayed for. A blanket order without the specifying the specific offence or offences for which bail is granted will interfere with the right of Police to investigate the matter.

No Anticipatory Bail after Arrest

The Court held in clear terms that provision of anticipatory bail is to grant bail before the arrest of the applicant. Once the applicant is arrested, he can apply for bail under Section 437 or 439 of the CrPc but not under Section 438.

Registration of FIR, not a condition precedent

The provisions of Section 438 do not require the registration of an FIR against the applicant. The use of the terms ‘reason to believe’ indicates that merely reasonable grounds for the likelihood of arrest may lead the Court to grant bail.

Considerations to be kept in mind

While the Court clarified that considerations are numerous, it did prescribe a few considerations like; the nature and seriousness of the charges, a reasonable possibility of the applicants presence not being secured at the trial, reasonable apprehension that witnesses will be tampered with, apprehension of accused being capable of influencing investigation and the large interest of the public and the state, that the court has to keep in mind while deciding a case under Section 438.

Article 21 of the Constitution of India,1950

Section 438 seeks to protect the personal liberty of an individual which is a component of the right to life and liberty under Article 21 of the Constitution. The test of fairness is implicit while invoking the powers under Section 438 and the Courts cannot impose an unreasonable limitation on the liberty of an individual while determining the scope of the provision. Any such limit would be volatile of Article 21.

On-time period of bail

The Court held, it is not necessary to limit the time period of bail and usually it should continue till the end of the trial. However, the Court may, if there are reasons for so doing, limit the time up to a reasonable period after FIR and direct the applicant to obtain an order of bail under section 437 or 439. The normal should be to not limit the order under section 438 in point of time.

Judicial Decisions after ‘Sibbia’

Majority of the judgments of the Apex Court after ‘Sibbia’ have reiterated the law laid down in the case. However, there are also decisions which express slight divergence from the settled law.

In Samunder Singh v. State of Rajasthan [8] the Supreme Court observed that High Courts should not grant anticipatory bail to a person involved in a dowry death case as a matter of course.

In Directorate of Enforcement v. P.V Prabhakar Rao[9], a ‘urea scam case’ involving huge amount, the relief of anticipatory bail was refused by the Supreme Court. The Court held that the material collected disclosed an ‘accusing finger’ against the respondent and he also contributed to non-completion of the investigation. In such a case, exercise of power under section 438 is not justified.

In-State (CBI) v. Anil Sharma[10] anticipatory bail was refused to an MLA and son of a former Union Minister for Telecommunications on the ground that in cases of corruption in high places where accused has held high offices, he may wield wide influence and the investigation could suffer. The Court Observed “In a case like this effective interrogation of suspected person is of tremendous advantage in disinterring many useful information and also materials which would have been concealed Succession of such interrogation would elude if the suspected person knows that he is well protected and insulted by a pre-arrest bail during the time he interrogated”

In Sidhram Mhetre v. State Of Maharashtra [11], the Supreme Court set aside the order of the High Court refusing anticipatory bail to the appellant and reiterated its position on the grant of anticipatory bail relying on ‘Sibbia’. It was held that custodial interrogation should be avoided in a case where the accused has joined the investigation, willing to cooperate and there is no likelihood of his fleeing away from trial. The Court further clarified that the power under Section 438 is not extraordinary to mean that it should be exercised only in extraordinary or rare cases. The appellant was granted bail with the direction to join the investigation and fully cooperate with the investigation agency.

In Bhadresh Seth v. State of Gujarat (2016)[12], The division bench of the Supreme relied on principles laid down in ‘Sibbia’ and ‘Mheter’s’ case and granted bail to the appellant noting that there is no possibility of his fleeing from justice and appellant has participated in proceedings during period of investigation. The Bench further noted that as observed by the Constitution Bench of this Court in ‘Sibbia’, Section 438 calls for a liberal interpretation as it is conceptualized in Article 21 grants the right to life.

In P Chidambaram v. Directorate of Enforcement 2019[13], the appellant, a former Union Minister, appealed against an order of the Delhi High Court refusing to grant anticipatory bail in a case alleging money laundering in FDI transaction of INX Media. The appellant was accused of receiving ‘kickbacks’ for FIPB clearances for FDI of INX media. The High Court of Delhi refused the application observing “It is a classic case of money laundering”. The learned judge noted “considering the gravity of offence and the evasive reply given by the appellant while he was under the protective cover of the Court are the twin factors which weigh to deny pre-arrest bail to accused”. [14]The division bench of the Supreme Court relied on its decision in the case of State (CBI) v. Anil Sharma [15] and held that grant of pre-arrest bail at this stage would elude the success of investigation as the accused knows he is protected by the order. The Court further noted that the grant of pre-arrest bail in economic offences would definitely hamper the investigation. The bench observed “Anticipatory Bail cannot be granted as a matter of right. It has to be exercised sparingly, especially in economic offences which constitute a class apart”[16]

Conflict between rulings of ‘Sibbia’ and ‘Chidambaram’

The observation made by the Supreme Court while refusing anticipatory bail to  P Chidambaram has created unrest in the legal fraternity. The generalization made by the court with respect to economic offences that they constitute a ‘class apart’ deeply undercut the guideline laid down by the Court in ‘Sibbia’, that any generalization of such sort destroys the very purpose of grant of judicial discretion by the legislature. Further, the Court also held that power under Section 438 has to be exercised sparingly, whereas it has been observed by the Supreme Court in ‘Sibbia’ and reiterated in ‘Mhetre’ and ‘Bhadresh Sethi’ that power is extraordinary only in the sense that bail is usually applied under Section 437 or 439of CrPc. Considering the decision in Gurbaksh Singh Sibbia v. State of Punjab [17]was by a 5 judge constitution bench of the Court, the largest bench ever to rule on the subject of anticipatory bail, it forms a binding precedent. Judicial discipline warrants that binding precedents must be followed until overruled by a larger bench. The Apex Court reiterated the settled legal position in Subash Chandra and another v. Delhi Subordinate Services Selection Board and another[18] that a bench of smaller strength taking a contrary view to the Constitution Bench is per incuriam (decision passed through lack of care which need not be followed by a lower Court). The division bench in the case of P Chidambaram ought to have decided the matter in light of particular facts and circumstances of the case as directed by the Supreme Court in ‘Sibbia’ rather than on vague generalizations.

Conclusion

The laudable object of preservation of personal liberty of an individual until proven guilty drove the lawmakers to insert Section 438 in the Criminal Procedure Code. A crime is committed not against an individual, but against the interest of a society and therefore a society has a vital stake in a due investigation of a crime. These two competing interest of personal liberty and public interest have to be cautiously balanced by courts while exercising their wide discretion under Section 438. The scope and ambit of the law on anticipatory bail has been elucidated by the judiciary time and again. It is in larger public interest that Section 438 is interpreted in the light of the test of fairness under Article 21, in order to keep arbitrary and unreasonable limitations on personal liberty at bay. Further, inconsistency in successive judicial decisions on the law is a cause of concern, as it lays the law bare for misuse by the high and mighty and leaves little room for clarity on the settled legal position on anticipatory bail.


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Endnotes

[1] P Chidambaram v. Directorate of Enforcement Criminal Appeal No.1340 of 2019 (Supreme Court,05/09/2019)

[2] Gurbaksh Singh v. State of Punjab, (1980) 2 SCC 565

[3] 41st Law Commission of India Report, Code of Criminal Procedure,1898 available at http://lawcommissionofindia.nic.in/1-50/Report41.pdf last seen on 08/10/2013.

[4] Section 438, The Criminal Procedure Code, 1973

[5] (1980) 2 SCC 565

[6] Ibid

[7] Vaman Narayan Ghiya v State of Rajasthan, AIR 2009 SC 1362

[8] Samunder Singh v. State of Rajasthan (1987) 1 SCC 466

[9]Directorate of Enforcement v. P.V Prabhakar Rao (1997) 6 SCC 647

[10]State (CBI) v. Anil Sharma (1997) 9 SCC 187

[11] Sidhram Mhetre v. State Of Maharshtra 2011 SC (2011) 1 SCC 694

[12] Bhadresh Seth v. State of Gujarat, Criminal Appeal No.1134-1135 of 2015 (Supreme Court,01/09/2015)

[13]  Supra 1

[14] Ibid

[15] Supra 10

[16] Supra 13

[17] Supra 5

[18] Subash Chandra and another v. Delhi Subordinate Services Selection Board, (2009) 15 SCC 458

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The Employee Provident Funds, 1952 : A guide

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This article is written by Aiswariya.R, a 4th-year student studying in School of Excellence in Law. This article deals with the Employee Provident Funds, 1952, its online process to get the PF amount and other benefits under this Act.

Introduction

The Employee Provident Funds, 1952 is a beneficial legislation enacted for the betterment of the future of industrial worker:

  1. On his retirement.
  2. For his dependents in case of death of employment.

This Act is enacted as a social security measure which falls under the ground of “retirement benefit”, the object of this Act is to inculcate, non withdrawable financial benefit, the sum is payable normally on retirement or on the death of the employee. Administration of the scheme given under this act is done by the central board, state board, and regional committee, a chief executive committee appointed and constituted by the central government.

  • Central board _ Section 5A
  • Executive committee – Section 5AA
  • State board – Section 5B
  • Regional committee

Boards under the Act

Constitution and position

Central board: Section 5

Central border – Central board is created by official gazette notification given by the Central government.

Functions

  1. Section 6 and Section 6C discussions how the central board should use their fund vested on them.
  2. Duty of the central board is to send an annual report to the Central government, of its work and activities.
  3. The central government will submit a report to the comptroller and Auditor General of India. Comments of Central board is laid down before parliament.

Constitution of the following a person as a member:

  • Chairman and a vice-chairman appointed by the central government
  • The central Provident fund commissioner, ex-official
  • Among Central government officials (not more than five-person)
  • A representative of states (not more than 50)
  • Representing the employer of the establishment (10 people)
  • Representing the employee of the establishment (10 people)

Executive committee: Section 5AA

State Board: section 5 B 

The central government, after consulting with any of the states constitute the state board in the following state, as provided for in the scheme. Constitution of the state board is done by the notification in the official gazette. Central government from time to time prescribes the duties to be performed by the state board and the powers exercised by the state government. The following scheme will provide the terms condition subject to which a member of state board is appointed, time place and procedure for conducting meetings etc. Every board of trustee constituted under this section is a Body Corporate, being a body corporate, it has perpetual succession, a common seal and right to sue or get sued in its name.

Regional committee 

Until state board is constituted, the Central Government may set up Regional Committee, which is under the control of Central Government, it works under the advice of the following person:

  1. Central board, when matters referred to it from time to time.
  2. All the matter regarding “administration of the Scheme”, such as the progress of recovery of PF, contribution and other charges, speedy disposal of prosecution, settlement of claims and sanctions of advances.
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Appointment of central fund commissioner

  • The central government shall appoint Central provident fund commissioner, deputy provident commissioner and regional provident fund commissioner by discharging his duty they will assist central provident fund commissioner. 
  • Chief executive officer is appointed by the central provident fund commissioner. 
  • Central Board will appoint other officers, employees for the efficient administration of various schemes.

EPF Features

The employer is under a statutory obligation to deduct a specified percentage of the contribution from the employee’s salary for provident fund. The employer should also contribute such percentage for provident fund. An employee who gets more than 15,000 is eligible for getting the provident fund.

This Act contains nearly 20 sections and four schedules. Section 7E, F, G, H, M, N is omitted, section 20 is repealed.

Applicability of the Act – section 1 of this Act deals with the application of the Act. This is applicable to “every factory engaged in any industry specified in schedule I”. 

  1. Every establishment in which 20 or more are employed. 
  2. Any establishment notified by the central government. 
  3. Any class of such establishment employing 20 or more. This Act is applicable to home workers held in the case Mangalore Gandhi Beedi workers V. U.O.I and P.M.Patel V. U.O.I. 
  4. This Act is applied when the establishment satisfies the two tests, namely:
  • Whether there is an establishment is a ‘factory’?
  • Whether 20 or more person is employed which is held in the case Andhra University V. Regional Provident Fund Commissioner.

Some workers will not come under this Act. They are Casual, or temporary workers can’t be considered as employee held in the case Bikar cold storage co. Ltd. V. Regional PF Commissioner.

Non-applicability of the Act

The Act does not apply to the following things. Any establishment registered under the co-operative society Act, 1912. Any state-related co-operative society employed less than 50 people and working without the aid of power. From the date on which the establishment is set up, where the establishment as:

  • Only 50 or more persons, after the expiry of 3 years.
  • Only 20 or more, but less than 50 people before the expiry of 5 years, which is held in the case V.K. Bhatt V. A.C.B & T. Mfg. Co.

Central Government also has the power to exempt any class of establishment, on such condition mentioned in the notification:

  • On the ground of financial position.
  • Other circumstances of the case which is held in the case Mohammed Ali V. U.O.I.

Eligibility For getting EPF- Any person is eligible, who is employed:

  • For work of the establishment.
  • Through contractor.
  • Connection with work of establishment is eligible for the benefit of the Act.

This Act was constitutionally challenged on the ground that it is:

  • Discriminative in nature.
  • Article 14 is violated because it is applied only to a particular class of industry, but the Supreme Court said that it doesn’t violate article 14, it is certain, classification of a certain class of industry falls in reasonable classification which is valid.

Schemes under EPF

Employees provident fund scheme 1952

Section 5 gives wholly unrestricted unguided direction to the central government to frame a scheme, and it appears on the other hand that the Act is full of carefully laid down principles to guide the central government which is held in the case R.P.F. Commr. V. L.R.F Works, A.I.R 1962 Punj. 507

When they say that this scheme has retrospective effect, the employer cannot be asked to pay the employees contribution for the period antecedent to the notification applying the scheme because he has no right to deduct the same for the future wages payable to the employee. The payment of employee contribution by the employer with the corresponding right to deduct the same from the wages of the employees could be only for the current period during which the employer also has to pay his contribution, which is held in the case District exhibitors Assn.,Muzaffarnagar & others V. Union of India (1991) II LLJ 115 (SC).

They were re-employment by the petitioner on a temporary basis. It was held that the employer cannot be asked to pay a contribution in respect of re-employed employees on a temporary basis which is held in the case Bombay printers LTD. & Others V. Union of India and others (1992)I LLJ 816 (BOM).

The fund shall be administered by the central board constituted under section 5A of the Act. The scheme shall take effect either prospectively or retrospectively.

Employees deposit linked insurance scheme, 1976

The scheme Established the purpose of providing life insurance benefits to the employees. The benefit under the scheme is to provide the incentive to the members to save more in the Provident fund account. The benefit under this scheme is linked to the amount of accumulation in the Provident fund account of the member. All the members of the employee’s Provident Fund Scheme are covered as members of the employee’s deposit linked insurance scheme also.

Employee’s family pension scheme, 1995

For the benefit of providing family pension and life insurance benefit. Following benefit package is:

  • Pension for life to the member, on retirement and invalidation
  • To the member of the family upon the death of the members.
  • Facility for capital return ( corpus accretion) on an option formula basis
  • Commutation if pension up to 1/3 Rd of pension amount.
  • Retention of membership of the scheme till attaining the age of 68 

Retirement pension under the new scheme will be payable on fulfilling minimum 10 years eligible service and on attaining the age of 58 years.

EPF Form

Form 20 EPF settlements in case of employee’s death

This form is submitted by the beneficiary if the employee is departed, to the benefit of EPF, EPS and EDLI. The amount is paid directly to the beneficiary account, or they will send through money order.

Form 31 Withdrawal of EPF

This form is submitted for partial withdrawals, used for purposes of house renovation, availing loans, for education, medical treatment etc. eligible criteria will vary depending on the purpose of withdrawal.

Form 10C EPS withdrawal

 This form is used to claim the withdrawal benefit:

  • Before completing 10 years of service.
  • Has attained the age of 58 years but not completed 10 years of service.

This form is also used by the family member of the employee in the following circumstances like:

  • Employee departed (after attaining the age of 58 years but has not completed 10 years of service).
  • An employee who is above 50 years old but less than 58 years, who don’t wish to opt for a reduced pension can also use Form 10C.

Form 5 Registration form for new employees for EPS and EPF

This form is used by employers for enrolling new employees for this scheme. The new employee will give his personal details. This form helps the EPFO to register individuals who are joining the first time for this scheme. The form should be submitted by the employer before the 15th of every month, the official website of the EPFO provides the form where we can download.

Form 5(IF) Employees’ Deposit Linked Insurance (EDLI) scheme claim form

An employee who is contributing to the EPF scheme is already eligible for the employee linked insurance scheme. In case an employee is departed, this form helps the beneficiary to get the benefit. By submitting this form, the beneficiary is eligible to get insurance benefit of rs.4.5 lakhs and bonus benefit of rs.1.5 lakh (maximum benefit of Rs. 6 Lakh).

Form 10D to apply for a pension after retirement

This form is used for withdrawal of pension on a monthly basis after retirement.

Form 11 Automatic transfer of EPF

The employee must fill this form while joining a new company. This is a self-declaration regarding the transfer of EPF, details regarding last EPF account must be filled in this form.

Form 14 LIC Policy

This form is submitted to pay the premium amount for the LIC policy; this form should be submitted to EPF Commissioner after getting an attestation from the employer.

Form 15 G to save Tax Deducted at Source (TDS) for any interest that is generated from EPF

This form is submitted to use to online withdrawal of EPF amount; this form is used to withdraw the EPF amount (above 50,000) before completing 5 years of service. Senior citizens must submit 15H for this facility.

Form 19 Settlement of EPF

This form is submitted by the member who is not having UAN number after 2014.

Form 2 Nominations for the EPF and Employees’ Pension Scheme (EPS)

The employee who is under the scheme shall submit this Form 2 for nomination. The nominated person will get the EPF fund amount if the employee (EPF member) is departed.

UAN- Universal Account Number

Universal account number (UAN) is number given to an employee by the Ministry of Employment and Labour under the government of India, who is maintaining PF account. It used to know information or track information done by his employer regarding his provided fund (PF). When an employee joined in the new organisation, he was assigned with new PF account, after UAN came into existence, the member of the assemble (employee) all his PF account associated with multiple Ids of difference organization at one place. So through UAN, difficulties faced by the employee when he/she joins the new organization is overcome, with UAN they can track the activities if there are any payment issues.

Uses of UAN 

  • It is a unique number given to an employee, which is independent of employers.
  • UAN is used to link all the PF account when the employee is switching his company.
  • An employer can authenticate his employee by verifying this number and KYC documents.
  • EPF passbook can be verified by sending SMS EPFOHO UAN ENG TO 7738299899 from the mobile number which is registered under employee provident fund organization.
  • An employee can check his deposit done by his employer through online using UAN number, and you can also get a monthly update regarding your deposit done by the employer.

Transparency Through UAN

  • Through UAN employee can check the employer is depositing his PF amount periodically, by registering on EPF member Portal using his UAN.
  • The employee would be able to find out whether his employer is deducted or hold back his PF.

EPF Calculation and Example

Contribution for EPF is two parts, one is by the employee, and the other is by the employer.

Contribution by the employee is, including basic wage and dearness allowance is -12%.

Contribution on the part of the employer is-

  • 8.33% (for Employees Pension Scheme Account of Employee)
  • 3.67 % (for Employee Provident Fund Account of Employee)
  • 0.50% ( for Employees Deposit Linked Insurance Account of Employee) 
  • 0.50% ( is Employer has to pay an additional charge for an administrative account- minimum 500 rupees and if there is no contribution by the employer that month, an employer must pay rupees 75)
  • The interest rate for every month is 8.65%, which may differ every year (interest rate is calculated every month, but it is deposited in the account at the end of the financial year)

Example

For example, the employee is getting a basic salary and dearness allowances at rupees 15, 000.

Employee’s contribution to EPF is 12% of 15,000 that is 1,800. 

Employer’s contribution to EPF is 8.33 % of 15,000 that is 1,250.

  • Employers contribution for EPF is subtracted from employees contribution that is (1800-1250=550)
  • Total EPF contribution every month is 1800+550=2,350
  • Interest for every month is 8.65%/12= 0.7083% (4,700)

Online EPF Submission

https://www.epfindia.gov.in/site_en/For_Employees.php

Online claim process reduces the time from 20 days to 10 days, follow the below-given steps for EPF online submission.

  1. Activate UAN.
  2. Make sure mobile no. used to activate the UAN, is in use.
  3. By seeding your adhaar details, e-KYC take place through a onetime password- Aadhaar authority will send.
  4. Enter your bank account details, where the claim amount will appear.
  5. You should enter (PAN) permanent account number if you’re not an EPFO member for at least 5 years.

EPFO Claim status

EPF claim status can be checked through online or offline, 

The status of withdrawal/transfer claim submitted.

Online- Member can check the online claim status by visiting the UAN portal or through visiting the official website of EPFO.

Offline- Any of the PF office by accessing the EPFO website can track the status of the claim made.

Conclusion

Employees Provident Fund Scheme,1952 came to India through Para 83 of the government of India notification in 2008, October 1. Employee Pension Scheme.1995 was created by a special provision in respect of international workers as mentioned in para 43-A. After 2014 it became easily accessible through EPFO website portal. This Act is created mainly for the purpose of encouraging saving during the period of employment, where they use it in their old age, sickness or for any emergency purposes. 


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Legal Backdrop of Prison Reforms

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This article is written by Saloni Maheshwari and Surbhi Agrawal, 5th year BA.LLB students from DES Navalmal Firodia Law College, Fergusson Campus, Pune.

“It is not the prisoners that need reformation, it is the prisons” – Oscar Wilde

Introduction

Prison is where the criminal equity framework put its whole expectations. The correctional mechanism, if falls flat will make the entire criminal methodology futile. The regulation behind discipline for a crime has been changed considerably by the advancement of new human rights statutes. The idea of transformation has turned into the watchword for prison organization. Human rights statutes advocate that no crime ought to be punished in a pitiless, corrupting or in a cruel way. Despite what might be expected, it is held that any discipline that adds up to remorseless, humiliating or brutal ought to be dealt with as an offence by itself. The change caused to the criminal equity framework and its correctional mechanism has been embraced around the world and question of incorporation of the same in Indian scenario remains unanswered.

Internationally, it turns into an all-round acknowledged decision that the correctional mechanism in criminal equity organization ought to agree to reformative arrangements. It is likewise announced that all prisoners might be approached with deference because of their innate respect and incentive as human beings. There is an arrangement of rights distinguished by the international legal framework to spare the human poise and estimation of prisoners and thereby the reformative topic of rectification. It is additionally emphatically contended that the group can never endure a plan of adjustment that does not keep up an association with the evilness of the crime done. This discipline dependably keeps up a subjective point of view. The privileges of the imprisoned individuals must be perused regardless of this observation. It is genuinely implied that there can be changed disciplines for the same offence; however, one ought not to be dealt awfully while the sentence once pronounced by the Court goes on. In this domain, the rights ensured under the international legal framework are to be investigated and are to be incorporated in India.

Concept of Prison

Prisons serve as an arm of criminal justice system to punish the deviant behavior of a miscreant.

John Locke, the great English political theorist of seventeenth-century expressed that men were basically good, but laws were still needed to keep down ‘the few desperate men in society’.

The Online Oxford English dictionary defines prison as, “A building to which people are legally committed as a punishment for a crime or while awaiting trial”[1]. In our country “Prison” falls under State subject in List II of the Seventh Schedule to the Constitution of India. The administration of Prisons falls under the ambit the State Governments and is administered by the Prisons Act, 1894 and the Prison Manual of the respective State Governments. Thus, States have the preliminary responsibility and authority to change the current prison laws, rules and regulations. 

Importance of Prisons

The presence of prisons in our general public is an antiquated wonder since Vedic period where the counter social components were kept in a place recognized by the rulers to secure the general public against wrongdoing. Prisons’ were considered as a ‘Place of Captives’, the place prisoners were kept for retribution and discipline. At first, there was a conviction that detachment and custodial measures would change the guilty parties but gradually it is being substituted by the advanced idea of social defence. Various issues concerning prisons are recognized by government and specialists from time to time.

Justice V.R. Krishna Iyer has rightly observed: “In our world prisons are still laboratories of torture, warehouses in which human commodities are sadistically kept and where spectrums of inmates range from drift-wood juveniles to heroic dissenters”[2] 

Today prisons serve mainly three purposes, which may be described as custodial, coercive and correctional. Prison as a place of correction historically is developing in conception.

Earlier prisons served only the custodial function, where an alleged offender could be kept in lawful custody until he could be tried and if found guilty, punished.

The Digest of Justinian, in Roman law, established the custodial principle with the statement that “prison is for confinement, not for punishment”[3]. The coercive function means that imprisonment may be used to command a person to comply with an order made by the Court of law, whether civil or criminal; if he complies, he is released.

The purpose of prison can be clearly said to be as that of the imposition of punishment, rehabilitation of the prisoners and protection of prisoners.

Background

The cutting-edge prison in India began with the Minute by TB Macaulay in 1835. A committee to be specific Prison Discipline Committee was delegated, which presented its report in 1838. The committee prescribed expanded thoroughness of treatment while dismissing every single philanthropic need and changes for the prisoners. Following the proposals of the Macaulay Committee between 1836-1838, Central Prisons were developed from 1846.

The contemporary Prison organization in India is consequently a heritage of British run the show. It is in view of the thought that the best criminal code can be of little use to a group unless there is great hardware for the curse of disciplines. In 1864, the Second Commission of Inquiry into Jail Management and Discipline made comparative suggestions as to the 1836 Committee. In addition, this Commission made a few recommendations with respect to convenience for prisoners, improvement in diet, clothing, bedding and therapeutic care.

In 1888, the Fourth Jail Commission was designated. On the premise of its suggestion, a consolidated prison bill was formulated. Arrangements with respect to the jail offences and discipline were exceptionally analyzed by a meeting of specialists on Jail Administration. In 1894, the draft charge moved toward becoming law with the consent of the Governor General of India.

  • Prisons Act,1894

The Prisons Act, 1894 is the only consolidated framework with regards to jail management and administration which operates across all parts of India. This is an antediluvian act which operates without any amends to it. This act, however, failed to resolve certain issues. The loopholes in the act were subsequently addressed in the report of the Indian Jail Committee 1919-1920 pertaining to the rehabilitation and reformation of offenders, which were recognized to be as the key objective of prison administrator.

  • Indian Jail Reform Committee

In the year 1919-20, the Indian jail reform committee, appointed to suggest prison reforms was headed by Sir Alexander Cardew. The committee took a stand on an international perspective after observing the condition of prison across the globe and laid down an inference that prisons should not only have a deterrent effect but also have a reformative approach. The committee emphasized the need for a reformative approach to prison inmates and dejected the use of corporal punishment in jails. It suggested the utilization of an inmate in productive activities. The Committee underlined the need for aftercare programs for the released prisoners for the purpose of rehabilitation.[4]

As a measure of prison reform, the Jail Committee further suggested that the maximum intake capacity of each jail should be set, depending on its shape and size. In the meantime, there was an outcry for retention of solitary confinement as a method of punishment.

  • Government of India Act, 1935

The Government of India Act,1935 is an important legislative framework which resulted in the transfer of the subject of jails from the Center list to that under the control and administration of provincial governments. This further condensed the possibility of a uniform prison policy at a national level. Thereafter the States started having their own prison policies, rules and procedure.

  • The Reckless Report, 1951

The Government of India invited the United Nations expert on correctional work, Dr. Reckless in the year 1951, to embark a study on the prison administration and to recommend policy reforms. He made a plea of transforming jails into reformation centers through this report titled “Jail Administration in India”. Furthermore, he also laid emphasis on modification to be made in the outdated manuals.

International Legislations

  • The Universal Declaration of Human Rights

The General Assembly of the United Nations started a movement in the form of the Universal Declaration of human rights in the year 1948. It lays down principles of administration of justice. Following are few important provisions which have been embedded in the draft-

(1) No one should be subjected to torture or to cruel, inhuman or degrading treatment or punishment.[5]

(2) Everyone has the right to life, liberty and security of person.[6]

(3) No one shall be subjected to arbitrary arrest, detention or exile.[7]

(4) Everyone charged with a penal offence has the right to be presumed innocent until proved guilty according to law in a public trial at which he has had all the guarantees necessary for his defence.[8]

  • The International Covenant on Civil and Political Rights (ICCPR)

The International Covenant on Civil and Political Rights (ICCPR)remains the core international treaty on the protection of the rights of prisoners. India ratified the Covenant in 1979 and is bound to incorporate its provisions into domestic law and state practice.[9]

  • The International Covenant on Economic, Social and Cultural Rights (ICESR)

The International Covenant on Economic, Social and Cultural Rights (ICESR) states that prisoners have a right to the highest attainable standard of physical and mental health.[10] Apart from civil and political rights, the so called second-generation economic and social human rights as set down in the ICESR also apply to the prisoners.

  • Declaration on Protection from Torture, 1975

The UN General Assembly by consensus adopted a declaration on the protection of torture. This declaration acts in tandem with the human rights principles of an individual and protects that person from any kind of torture, or inhuman and cruel behaviour.[11]

  • General UN directives

The UN standard Minimum Rule also made it mandatory to provide separate residence for young and child prisoners from the adult prisoners. Subsequent UN directives have been the Basic Principles for the Treatment of Prisoners (United Nations 1990)[12] for the Protection of All Persons under Any Form of Detention or Imprisonment (United Nations 1988)[13]

  • Convention against Torture and other Cruel, Inhuman or Degrading Treatment

The UN Assembly adopted, a document called Convention against Torture and other Cruel, Inhuman or Degrading Treatment or Punishment wherein the responsibility is shouldered on the state to take steps for effective judicial, legislative and administrative methods. Further, it clearly lays down the rules for interrogation and certain other instructions have been enumerated.[14]Though this is a concrete piece of legislation but unfortunately India has yet not ratified to it. 

International Best Practices[15]

India is no less, no way behind in promoting prison reforms and incorporating them into practice but some practices which are laudable and can be easily adopted by India are mentioned under-

  • United States of America

  1. TeleMedicine Technology

Tele-medicine is a practice where two health professionals, or a health professional and a patient, are in long-distance communication with each other. This may be helpful in cases where it is difficult to transport prisoners, or in far-away rural prisons, or in difficult-to-reach places. Tele-medicine can provide improved security, personal safety, cost savings and access to specialists, which might otherwise be impossible.

  • United Kingdom

  1. Prison and Probation Ombudsman (Grievance Redressal)

A specialized inspection of prisons takes place every year in the UK. A routine Government follow-up takes place every year. This makes for greater accountability and increased system transparency. 

  • Singapore

  1. Yellow Ribbon Project (Community Involvement)

The goal of the yellow ribbon project is to reintegrate and rehabilitate prisoners. It involves prisoners voluntarily giving up all gang associations (including having tattoos removed). Part of the challenge prisoners faces after being released is that of the social stigma of having been in prison. Its objectives are:

(a) Creating awareness of the need to give ex-offenders a second chance;

(b) Generating acceptance of ex-offenders and their families in the community;

(c) Inspiring community action to support the rehabilitation and reintegration of ex-offenders.

Indian Committees and Acts

During the post-independence era various committees and acts have been constituted to tackle the problems relating to prison administration in India. The following entails brief insight into all the important committees and acts.

  • All India Jail Manual Committee

The Government of India in the year 1957 accorded its assent to appoint All India jail manual committee to prepare a model prison manual. The committee laid down its submission in the year 1960. The report made forceful pleas for formulating a uniform policy and latest methods relating to jail administration, probation, aftercare, juvenile and remand homes, certified and reformatory school, borstal schools and protective homes, suppression of immoral traffic, etc. Moreover, the report suggested amendments in the century old Prisons Act of 1894 to provide a legal base for correctional work. 

  • Model Prison Manual

The committee prepared the Model prison manual and presented it to the Government of India in 1960 for its implementation. The manual is the basis on which the current Indian prison management is regulated. The Model prison manual paved way for the Ministry of home affairs, Government of India in the year 1972, to appoint a working group on prisons. 

  • Working Group on Prisons

In 1972, the Ministry of Home Affairs, Government of India, appointed a Working Group on Prisons which presented its report in 1973[16]. This Working Group brought out in its report the need for a National Policy on Prisons. Its salient features are as under: –

(1) To make effective use of alternatives to imprisonment as a measure of sentencing policy.

(2) Emphasized the desirability of proper training of prison personnel and improvement in their service conditions.

(3) To classify and treat the offenders scientifically and laid down principles of follow-up and after-care procedures.

(4) That the development of prisons and the correctional administration should no longer remain divorced from the national development process and the prison administration should be treated as an integral part of the social defence components of the national planning process.

(5) Identified an order of priority for the development of prison administration.

(6) The certain aspects of a prison administration are included in the five-year Plans.

(7) An amendment to the Constitution be brought to include the subject of prisons and allied institutions in the Concurrent List, the enactment of suitable prison legislation by the Centre and the States, and the revision of State Prison Manuals be undertaken.

  • Mulla Committee

In 1980, the Government of India set-up a Committee on Jail Reform, under the chairmanship of Justice AN. Mulla. The basic objective of the Committee was to review the laws, rules and regulations keeping in view the overall objective of protecting society and rehabilitating offenders. The Mulla Committee submitted its report in 1983[17]. The All India Jail Committee focuses on bringing equilibrium between States and Union territories on the legal framework concerning prison administration.

The Committee suggested setting up of a National Prison Commission as an enduring body to bring about modernization of prisons in India. The Committee also made a proposition that the existing dichotomy of prison administration at Union and State level should be removed. It recommended a total ban on the atrocious practice of associating together juvenile offenders with hardened criminals in prisons. The Committee also recommended separation of mentally disturbed prisoners and their placement in mental asylums. Another recommendation of the Jail Committee was a vis-à-vis classification of prisoners on the scientific and rational basis[18].

Some of the prominent recommendations of the Mulla Committee are:

  1. The condition of prisons should be improved by making adequate arrangements for food, clothing, sanitation, ventilation etc.
  2. The prison staff should be properly trained and organized into different cadres. It would be advisable to constitute an All India Service called the Indian Prisons &Correctional Service for recruitment of Prison officials.
  3. After-care, rehabilitation and probation should constitute an integral part of prison service. Unfortunately, probation law is not being properly implemented in the country.
  4. The media and public men should be allowed to visit prisons and allied correctional institutions periodically so that public may have first-hand information about conditions inside prisons and be willing to co-operate with prison officials in rehabilitation work.
  5. Lodging of undertrials in jail should be reduced to bare minimum and they should be kept separate from the convicted prisoners. Since under trials constitute a sizable portion of the prison population, their number can be reduced by speedy trials and liberalization of bail provisions.
  6. The Government should make an Endeavour to provide adequate resources and funds for prison reforms [19].
  • Krishna Iyer Committee

The Government of India in the year 1987 appointed the Krishna Iyer committee to carry out a study on plight of the women prisoners in India. It has recommended the induction of more women in the police force with a view of their special role in controlling women and child offenders. The committee submitted its report in the year 1988 to the Government of India.

Subsequent Developments

The Supreme Court in Ramamurthy vs. State of Karnataka[20] laid directions to bring about a unified national consolidated framework on prison laws and to prepare a draft model prison manual, subsequently a committee was set up in the Bureau of Police Research and Development (BPR&D).

In 1999, a Draft Model Prisons Management Bill was circulated to replace the Prisons Act, 1894 by the Government of India but the bill is still limping to find its place.

The All India Committee on Jail Reforms (1980-1983), the Supreme Court of India and the Committee of empowerment of women (2001-2002) have all pressed on the need for a comprehensive revision of the prison laws but the process of revision and implementation have a remorseful future.

Prisoners Rights

  • Constitutional Provisions

The rights of all human beings are safeguarded by our constitution. Ironically, the prisoners are treated differently; not par with non- prisoners and their rights are denied and neglected.

This is a major concern which needs to be addressed to protect the edifice of the constitutional provision. The Supreme Court in its various judgments has declared prisoners as a natural as well as a legal person. It is the responsibility of the Courts to protect these détentes from torture, harassment and provide them with justice.

(a) Right to life and personal liberty

Right to life is much more than mere physical existence. Furthermore, the Supreme Court has widened its horizon while interpreting Article 21 of the Constitution by the inclusion of right to life with human dignity. Mere animal existence is not the criteria. The Supreme Court held that right to life is one of the basic human rights, guaranteed to every person by Article 21 and not even the State has authority to violate it.

(b) Right to health and medical treatment

The Supreme Court in various cases has declared the right to medical care comes under the ambit of Article 21 of the Constitution.

It imposes an obligation on the state to preserve life. This right is a basic human right. But we still find instances where the prisoners’ health is neglected, and no proper healthcare facilities are accorded. This can be clearly termed as a violation of one’s fundamental rights by the state. The state has a moral duty cast upon it to preserve and protect the life of the ailing convicts.

(c) Right to a speedy trial

The Supreme Court has considered the right to a speedy trial as one of the essential ingredients of Article 21 of the Constitution. Delay in the disposal of cases is a denial of justice, so the Court is expected to adopt necessary steps for expeditious trial and quick disposal of cases.[21] The Supreme Court has stated guidelines for affecting the right to a speedy trial but unfortunately, it has ignored the time frame for the trial of these offences. The right to a speedy trial can be demanded by the accused at any time during proceeding i.e. investigation, inquiry, and appeal and so on. The time limit for the offence changes with various circumstances. The Court comes to conclusion in the interest of natural justice that when the right to speedy trial of an accused has been infringed the charges of the conviction shall be quashed.[22]

The unreasonable detention of the prisoners is clearly violative of Article of 21. The constitutional guarantee of speedy trial is an important safeguard to prevent undue and oppressive incarceration prior to trial; to minimize anxiety and concern accompanying public accusation and to limit the possibilities that long delays will impair the ability of an accused to defend him.

(d) Right to free legal aid

Right to free legal aid is one of the facets of Article 21 of the constitution which casts a duty upon a state to provide legal recourse. The State is under a constitutional mandate to provide legal redressal to the ones who are unable to afford it. The state cannot sway away from its liability on the ground of unavailability of funds and deformities in administration.

The only pre-condition for providing free legal aid is that the accused who is charged with an offence, the conviction of that being imprisonment, and the social need requires that he been given free legal aid. But there may be some cases such as economic offences, prostitution, where social justice requires that the accused must not be given free legal aid. The prisoners should also have access to legal justice without any interference from the prison authority. Any arbitrary procedure to regulate the interviews between the prisoners and the legal advisor is completely unjustified. Regarding the right of free legal aid, Justice Krishna Iyer declared that “this is the State’s duty and not Government’s charity”.  If a prisoner is unable to exercise his constitutional and statutory right of appeal including Special Leave to Appeal for want of legal assistance, the Court will grant such right to him under Article 142, read with Articles 21 and 39A of the Constitution.[23]

(e) Right to reasonable wages for work

The notion behind the payment of reasonable wages to the prisoners for the work is that it will create a healing effect on the minds of the prisoners. It is not only the legal right of a workman to have wages for the work, but it is a social imperative and an ethical compulsion.

The wages should be equitable to fulfil the objective of rehabilitation of the prisoner and the compensation to be paid to the victim. Fair and equitable wages if not paid would result in bonded labour and further would violate the fundamental right enumerated in Article 23 of the Constitution. In order to decide the quantum of wages to be paid to the prisoners, the state should constitute a wage fixation body and allow suggestions and recommendations from that body. 

(f) Directive Principles of State Policy

Article 39A of the Constitution of India deals with the obligation of the State to provide free Legal Aid to such accused prisoners both in the prison and outside, as are unable to engage a lawyer due to lack of means to defend themselves in the Court for the criminal charges brought against them.

  • Other Rights 

  • Right to Bail

The bail ought to be allowed to the persons when there is no sensible worry with respect to the accused that he will flee and will evade the appearance under the steady gaze of the Court. Bail can be an extremely helpful apparatus for mingling a detainee. In addition, the bail candidate should have the capacity to set up his protection more productively than one who stays in jail custody. This advances the social and open equity as well as maintains a strategic distance from the extensive open costs in keeping the under trial in custody, where no threat or unsettling influence or vanishing on the substance of the record. 

  • Right to basic amenities

Every prisoner shall be provided by the administration at the usual hours with food of nutritional value adequate for health and strength, of wholesome quality and well prepared and served and accommodation of suitable nature. 

  • Right against Arbitrary prison punishment

In the Right against Arbitrary prison punishment, the prisoner has a right to entitlement in case of disciplinary violation to have precise information as to the nature of violation of prisons Act and Rules, to be heard in defense, to communication of the decision of disciplinary proceedings and to appeal to the Inspector General of Prisons as provided in the rules under the Act. 

  • Right to leave and special leave (Furlough and Parole)

Right to leave is matter of right of the prisoners granted only after a condition prescribed in various manuals, acts etc. Ironically there is no national framework which prescribes the number of days for which the parole or furlough is to be granted. The grant of parole is discretionary in nature and depends on the facts and circumstances of each case.

Special Treatment

The law extends its protection to the most vulnerable section of the society, i.e. the youth and women offenders who are in actual need of security, safety.

  • Females

The element of security and safety in the lockups, prisons have to be given it due accord while considering the female suspects.

Further, the Court directed that the concerned prison authorities should take into consideration before sending the prisoner to jail that all reasonable facilities of ensuring pre- natal and post-natal care for the mother and the child are provided.

The children of the women prisoners should be provided with facilities of health care, education and recreation. Facilities such as crèches, foster homes can add to the better care and custody of the child.

  • Youth Offenders

The youth offenders if kept with the adult offenders will impact the mindset of these youth.

It is very important to keep in mind, is that the younger the offender the greater the care he needs and the more tactful and sympathetic has to be his handlings.[24] The young offenders should be sent to borstal school where the young offenders are endowed with opportunities of educational and vocational training to reform them. These schools can be precisely described as “Reformative schools”. The facility of foster care also has to be given an impetus to enhance the reformation in the youth offender.

Approaches

  • Socialistic Approach

The prisoners are human beings like us. The society still looks down upon them. They are socially outcast from every sphere of society. It is not only the prisoners’ reformation which is required but most importantly it is the mindset of the society which needs reformation. If the society neglects it then it fails to accord equal status to human being irrespective of various terms. Society, as an important institution, endeavours the development of an individual. The aftercare programmes will give an impetus to the growth and development of an offender. Community basis participation will help the offender to interact with the community and to pace his degree of rehabilitation and reformation.

  • Educational Approach

The mechanism for achieving this revolution in approach to prisons is to confer responsibility for education and freedom to design their own curriculum. Education will be a key part of prison life. The educational approach will not only help the illiterate ones but also the literate ones. Incarceration should not act as a hindrance in the overall development of the personality of the offender. The prisoners should be provided with ample opportunities to pursue his education and furthermore if any training or special teaching is required for pursuing; the same should be made available. The Universities should collaborate with prison authorities and can start ahead with distance learning programs, degree courses, etc. so that the prisoners do not feel differentiated from being a citizen who has right to education.

  • Reformative and Therapeutic Approach

India still holds and believes in its spirit, the reformative theory of punishment. The reformative approach is a holistic one and focuses on reforming the individual through various channels. This approach has been devised to reform the individuals to repent for a crime committed and it works as a device of self- realization of one’s mistake. Furthermore, the therapeutic approach deals with the offender being under the continuous supervision and care of the counsellor or the psychoanalyst. In this way, the prisoner will share his grievances and his behaviour will be understood in a clear manner. The alternative of meditation can help achieve mental peace to the prisoners, it can be sought to construe as a channel of relief for them. This approach merely revolves around the concept of mental study of the human mind. The concept of psychological analysis is briefly discussed as under

Psychoanalysis is a school of psychology founded by Sigmund Freud. This school of thought emphasized the influence of the unconscious mind on behaviour.

Freud believed that the human mind was composed of three elements: 

  • The id – The id consists of primal urges

  • The ego – The ego is the component of personality charged with dealing with reality.

  • The superego – The superego is the part of personality that holds all the ideals and values we internalize from our parents and culture.

Freud believed that the interaction of these three elements was what led to all the complex human behaviors. Freud’s school of thought was enormously influential, but also generated considerable debate. This controversy existed not only in his time but also in modern discussions of Freud’s theories.[25] 

  • Recreational Approach

Recreational activities should be given equal impetus. These activities include outdoor activities like sports, cultural programs, handling prison industries. The prisoners who are interested in developing a career through these activities should be supported. These activities not only would develop prisoners’ physique but would refresh his mental state and would serve as a break from the tiresome work and would imbibe in him a spirit of sportsmanship. The inclination towards the literature should be given due consideration by making available various books on self-help, motivation, novels, etc. The library should be available 24*7 to the prisoners. The most innovative is the idea of setting up souvenir shops and handling the prison business; this would not only serve as an activity but would also generate income for the prison.

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Alternatives to Punishment

  • Parole

Parole is thus a grant of partial liberty or lessening of restrictions to a convicted prisoner, but released on parole does not, in any way, change the status of the prisoner. Parole is a penal device which seeks to humanize prison justice. It enables the prisoners to return to the outside world on certain conditions. The main objects of the parole as stated in the Model Prison Manual are:

  1. a) To enable the inmate to maintain continuity with his family life and deal with family matters
  2. b) To save the inmate from the evil effects of continuous prison life.
  3. c) To enable the inmate to retain self-confidence and active interest in life.[26]
  • Fine

Fines are a common punishment for an assortment of violations, particularly for less serious offences committed by first-time offenders. Offences that are normally rebuffed with fines incorporate minor drug possession, fish and game violations, traffic violations, first-time drunken driving cases. In more serious offences or where the litigant has a criminal record, many judges combine fine with other punishment, for example, detainment, community service, suspended sentence and probation.

  • Suspended Sentence

As another option to detainment, a judge can issue a suspended sentence where he or she either forgoes passing on a sentence or settles on a sentence yet avoids doing it. This is by and large saved for less serious offences or first-time offenders. Suspended sentences can be unconditional or conditional. 

  • Probation

Another alternative to prison is probation. Like a suspended sentence, probation discharges a defendant back into the community, but he or she does not enjoy the same level of freedom as a normal citizen. Courts normally allow probation for first-time or low-risk offenders. Statutes decide when probation is conceivable, yet it is up to the condemning judge to decide if to really allow probation.

Probation accompanies conditions that confine conduct, and if the probationer disregards one of those conditions, the Court may repudiate or change the probation. Courts have a great deal of watchfulness while probation conditions.

  • Restitution

Restitution is like a fine, but the payment made by the culprit goes to the victims of that crime rather than to the Court or municipality. This was suggested in the 78th Law Commission Report[27]. Judges usually order restitution in cases where victims endured some sort of monetary loss due to the crime committed. The payment is intended to make the victims whole and restore them financially to the point they were at prior to the commission of the crime.

For example, a litigant who harmed the victim in a fight might be asked to pay the victim for his medicinal expenses.

  • Community Service

Judges can condemn litigants to perform unpaid community work called “community service” to compensate an obligation to society for having committed the offense. The litigant might be required to perform community service notwithstanding getting some other type of punishment, for example, probation, a fine, or compensation.

  • Diversion

Certain sort of offences and offenders may qualify for programs that bring about having charges rejected if the respondent completes indicated conditions. It can be called diversion or deferred adjudication; these projects take out the respondent from the common procedure of indictment so he or she can complete certain conditions. When he or she is done, either the prosecutor or the Court expels the charges.

The objective of diversion programs is to permit a litigant a chance to show that they are fit to act responsibly, and this method is commonly used for drug offences or first-time offenders. Normally the conditions imposed include counseling or probation. 

Problems

The Supreme Court, in its landmark decision in Ramamurthy v. State of Karnataka[28] has identified nine major problems which need immediate attention for implementing prison reforms.

The Court observed that the present prison system is affected with major problems of-

  • Rampant Overcrowding

India’s prisons are overcrowded with an occupancy ratio of 14% more than the capacity of the prisons. Due to severe overcrowding in these prisons, the segregation of serious criminals and minor offenders has turned out to be difficult, which can, in turn, cause bad influence over minor offenders. They might turn into professional offenders due to their continuous contact with hard criminals. Prisons in India have a sanctioned strength of 49030 of prison staff at various ranks, of which, the present staff strength is around 40000.

  • Delay in Trials

According to what statistics represent, 67% of the people in Indian jails are undertrials. Under trials refer to those people who are detained in jail amid trial, investigation or inquiry yet not indicted of any crime in the Court of law. The share of the jail populace anticipating trial or sentencing in India is commendably high when compared to other countries. 

  • Torture and Ill-treatment

The prisoners including the undertrials are forced to do severe labour without any remuneration and treated with utmost torture and are made to do rigorous work which is barred by law. There has been a continuous rise in the custodial deaths due to torture and ill-treatment towards prisoners in jail. Women prisoners are more vulnerable to abuse.

  • Severe staff crunch

While 33% of the aggregate prerequisite of jail authorities still lies vacant, right around 36% of opening for regulating officers is yet unfulfilled. The ratio between the prison staff and the prison population is approximately 1:7. It means only one prison officer is available for 7 prisoners, while in the UK, 2 prison officers are available for every 3 prisoners.

Without adequate prison staff, overcrowding in the prisons prompts widespread savagery and other criminal exercises inside the prisons.[29]

  • Neglect of Health and Hygiene

The prisoners in India suffer from severe unhygienic conditions, lack of proper medical facilities and consistent risk of torment and misuse. Women prisoners suffer more in these prisons due to lack of hygiene facilities. It may be at the time of their pregnancy or other complications.

  • Insufficient food and Inadequate clothing

 Food and clothing provided in the prisons are barely enough to survive. It is inadequate and insufficient for the prisoners which lead to harsh effects on their health.

  • Deficiency in Communication

The prisoners are left to live in isolation without any contact with the outside world, their family members and relatives. They remain uninformed about the lives and wellbeing of their family.

  • Management of Open-Air prisons

It becomes very difficult to manage open-air prisons due to the prevailing overcrowding scenario in the prisons, staff crunch and weak management in prisons.

  • Psychological effect

Lack of inspection and crude usage of oversight mechanisms transform prisons intro startling wrecks with poor living conditions. This rot in the criminal justice framework affects the psychological condition of the prisoner. It causes adverse psychological effects such as depression, claustrophobia, anxiety and panic attacks, stress etc. it makes the prisoner more vulnerable than before to criminal penchants. The prisoner leaves the prison more demolished than improved.

  • Lack of transparency

Another issue confronting the Indian justice system is the absence of transparency. It is seen that the Right to Information (RTI) Act is thoroughly out of the ambit of the legal framework. Hence, in the working of the judiciary, the significant issues like the nature of equity and responsibility are not known appropriately.

  • Disparity in Laws and Dispensing Justice

It is evident that disparity exists in the implementation and application of the law. There is a lack of uniformity in the remission laws governing each state. The quantum of punishment differs at varied length.

Remedies

  • Increase in wages

The remuneration given to the prisoners should be enough to suffice their sustainable living.

  • Speedy Trials

The prisoners languishing in jail should be given legal aid at the earliest by accelerating the pace of the criminal justice system.

  • Separation of Under Trials, women offenders, first-time offenders and youth offenders

Under trials are usually people who haven’t been convicted of the offence yet and such prisons should be kept in a separate prison cell, away from hardened criminals so that they do not get influenced by such offenders.

  • Increasing to number of prisons

To deal with the problem of overcrowding the number of prisons should be increased in the country and prisoners should be transferred from overcrowded prisons to prisons where there are prisoners are sparse. People should be appointed with such management skills that are required to deal with overcrowding. Imprisonment should not be the punishment but should be substituted with high penalty in case of petty offences.

  • Improved Transparency

The transparency in the judicial system should be increased to understand the actual scenario in the prisons. Transparency can be brought by NHRC inspections and Court mandated inspections and mainly the follow up of these would serve the purpose.

Suggestions

  • Touch-screen Kiosk Application: There are numerous touch-screen kiosks around the prison for prisoners to use. At these kiosks’ prisoners can access their PDR, remission earned, prisoner property and cash details, parole/furlough application status, transfer status and under-trial detention alarm. Most prisoners are literate, but those, that are not, can get education classes inside the prison, including how to read and write in English.
  • A mobile complaint box should be installed outside the prisoner’s cell to ensure the problems of the prisoners are taken into consideration. The key to such should be only with the bodies which will inspect the prison.
  • The prison waste which is collected should be turned into a biofertilizer and sold to various companies and the profit should be shared with the prisoners.
  • Mentally ill should be accommodated in the psychiatric wing if such wing exists in the prison hospital, or he should be sent to the nearest mental hospital for treatment. Further, if the prisoner fails to recover from mental illness even after completing half of the maximum term of conviction, the State Government should consider his case for release.
  • Campus placements to the ones who have completed their education in the prisons.
  • Prisoners Welfare Fund with Government contribution shall be created in all the States to undertake various welfare measures for Discharged Prisoners and their families.
  • To set up a State Board of Visitors to visit prisons at regular periodicity and to report on conditions prevailing in the prisons for consideration of the State Government;
  • Sanitation and hygiene: Some of the important recommendations in this area are properly equipped laundries for washing, disinfecting and fumigating clothes and beddings; ratio of latrines should be 1:7 prisoners; cubicles for bathing at the rate of 1:10 prisoners; covering of open gutters in prisons; inspection of every prison by the local Public Health Officer periodically.
  • Inspection shall be carried by the advisory body at regular intervals without interference from the prison authorities. The prison administration should be brought under the ambit of the Right to Information, Act 2005.
  • Use of Technology: For people on parole and for first-time offenders, it would be better if, instead of imprisoning them, the State could simply put an ankle tracker on them and provide them with a relative degree of freedom. This would also cost the State far less money to house, feed and care for them. While the state has the technical capability to do this, it does not yet have the system to monitor and ensure that people on GPS software are doing what they are supposed to do.
  • Installation of CCTV cameras in the cells.
  • Appointment of the Welfare Officer
  • Extensive use of Probation Services in deserving cases by amending the appropriate provisions of the Probation of Offenders Act, 1958, adequately strengthening the infrastructure of the Probation Services and arranging sensitization programs regularly for judicial Officers, Prosecuting Officers and Police Officers.
  • Insertion of a new Section 357-A in the Cr.P.C, 1973 for the payment of compensation to the victims of crime out of the earnings of the Prisoners under Wage Earning Scheme.
  • Amending the existing Section 53 of the Indian Penal Code to include the Community services as one of the punishments prescribed under this Section.
  • Amending suitably the existing Section 433 of the Cr.P.C to consider and release under the Advisory Board Scheme the Lifers who offer a good prognosis for reformation and rehabilitation even before the completion of 14 years of actual imprisonment say 8-10 years.
  • Allowing NGOs and Philanthropists who are really interested in the welfare of Prisoners liberally in all the treatment programs in Prisons like Classification, Education, Vocational training, Medical and Health care, Sanitation and Hygiene, Recreation Activities etc.
  • As per the existing provision, the duties, rights and privileges of Prisoners should be printed in bold letters in vernacular language and pasted at several prominent places inside the Prison to make the prisoner aware of the same. Ahead of this, marquee of the above with picturization may be installed in conspicuous places for better understanding and learning of the prisoners.
  • To alleviate the misuse of Adolescent offenders by the Adult Prisoners in Prisons they may be segregated and confined in Borstal Schools (Remand).
  • There should be a minimum fixed tenure for the investigating officers to ensure timely completion of investigation and trial.
  • Role of National Human Rights Commission should be widened.

Conclusion

Prison is the important wing of administration of crime and criminology in the country.  Ironically the research in the development of it is still in infancy. There are many hurdles to cross for the prisons to be a reformative institution than a custodial home of torture. The progress is mainly hindered by factors such as resource allocation, deterrent functions of punishment and rehabilitation approach. Prisons in the country shall endeavour to reform and re-assimilate offenders in the social milieu by giving them appropriate correctional treatment. Though there have been suggestions and recommendations by various committees, the major concern in India stands to be that of actual enforcement.

In conclusion it must not be overlooked that the issue of prison administration and reformation of prisoners is just a piece of the bigger picture of social recovery. The jail organization alone can’t effectively reform the prisoners. It can just try its modest endeavours to set right the prisoners; however, endeavours will succeed only when our economics, education, social institution and values are appropriately coordinated into a cogent and congenial whole in view of the learning of the human establishment.


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Endnotes

[1] “Prisons” <http://Oxforddictionaries.com/definitions/english/prison?q=prison> last seen on 05/10/2019

[2] P Diwan and P Diwan, Human Rights and the Law (Deep & Deep Publications 1996) 169

[3] Heinrich Oppenheimer, “The rationale of punishment” (1970) Core <https://core.ac.uk/display/9063232 > last seen on 5/10/2019

[4] Paranjape NV, Criminology & Penology with Victimology, (Sixteenth Edition, Central Law Publications, 470,479 (2014)

[5]Universal Declaration of Human Rights, 1948, Art 1

[6]Ibid., Art 3

[7]Ibid., Art 9

[8]Ibid., Art 11

[9]U.N. General Assembly, The International Covenant on Civil and Political Rights,1966, Res. 2200, Sess. 22, U.N. Document A/RES/2200XXI available at https://treaties.un.org/doc/publication/unts/volume%20999/volume-999-i-14668-english.pdf last seen on 7/10/2019

[10]U.N. General Assembly, The International Covenant on Economic, Social and Cultural Rights, 1966, Res. 2200. Sess. 23, U.N. Document A/RES/2200XXI available at https://www.ohchr.org/Documents/ProfessionalInterest/cescr.pdf last seen on 7/10/2019

[11]The Declaration on Protection from Torture, 1975, Art 2 and 3

[12] U.N. General Assembly, Res 45/111 (14th December 1990),  UN Document A/RES/45/111 available at https://www.unodc.org/pdf/criminal_justice/UN_Standard_Minimum_Rules_for_the_Treatment_of_Prisoners.pdf last seen on 07/10/2019

[13] U.N. General Assembly, Res 43/ 173 (10th December 1984) UN Document A/RES/43/173 available at https://www.unodc.org/pdf/criminal_justice/UN_Standard_Minimum_Rules_for_the_Treatment_of_Prisoners.pdf last seen on 07/10/2019

[14] U.N. General Assembly, Convention against Torture and other Cruel, Inhuman or Degrading Treatment, Res 39/46 (1984),  UN Document A/RES/39/46 available at https://redress.org/wp-content/uploads/2018/10/REDRESS-Guide-to-UNCAT-2018.pdf last seen on 07/10/2019

[15]National Consultation on Prison Reform, Report on the National Consultation on Prison Reform, 3-4 April 2010, New Delhi

[16]Amarendra Mohanty, Narayan Hazary, Indian Prison Systems, (Ashish Pub. House, 1990)

[17]Zubair Ahmed, “Jail reforms in India in- A study of Indian jail reform committees” 1 International Journal of Multidisciplinary Education and Research, Page No. 01-04, (2016)

[18]Supra note 2, at 481

[19]Ibid, at 482

[20] Ramamurthy v. State of Karnataka, (1997) S.C.C. (Cri) 386.

[21]Kadra Pahadiya v. State of Bihar, AIR 1983 SC 1167

[22]AR Antulay v. RS Nayak, [AIR 1984] SC 1630, again some directions were passed by SC in the case of Common Cause Society v. Union of India, AIR 1996 SC 1619

[23]MH Hoskot v. State of Maharashtra, (1978) 3 SCC 544

[24] Roy, Joy tilak Guha, Prison and Society, 112 (Gian Publishing House, 1989)  

[25] Saul McLeod, ‘Psychodynamic Approach’(Simply Psychology  2013) <https://www.simplypsychology.org/Sigmund-Freud.html> last seen on 08.10.2019

[26] Bhikhabhai Devshi v. State of Gujarat, AIR 1987 SC 136

[27]78th  Law Commission of India Report, ‘ Congestion of under trial prisoners in jail’ 78, 1979 available at http://lawcommissionofindia.nic.in/51-100/Report78.pdf last seen on 08/10/2019

[28] Supra 20

[29]Basant Rath, ‘Why  We Need to Talk About the Condition of India’s Prisons’(The Wire, 26 July, 2017) available at https://thewire.in/uncategorised/india-prison-conditions last seen on 08/10/2019

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The application of information technology has reached almost all sectors of our lives. However, regulation of this sector is necessary due to the risks posed to financial and commercial transactions, national security systems, banking and communication networks and all other sectors and individual availing of the benefits of the internet and the Information Highway.

The rapid development of information and communication technologies has revolutionized business practices and brought in an era of ‘electronic commerce’ which needs legal protection and safeguards to prevent abuse of technology. Some of the most important issues that arise with respect to information technology laws in India are as follows.

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The Information Technology Act, 2000 

The Act aims to facilitate the development of a safe environment for growth of electronic commerce by creating a body of law governing electronic contracting, security and integrity of electronic transactions, the use of digital signatures and other incidental issues. The Act is based on the Model Law on Electronic Commerce with Guide to Enactment 1996 created by the United National Commission on International Trade Law (UNCITRAL) to offer national legislators a set of internationally acceptable rules as to how best to overcome legal obstacles and encourage e-commerce.

The Model Law has informed the debate on electronic commerce legislation as it contains rules and norms that validate and recognize electronic contracts, sets default rules for contract formation, defines the characteristics of valid electronic signatures and writing and contains rules that support admission of computer evidence in courts. The Act also contains elements of Singapore’s Electronic Transactions Act, 1998. 

The IT Act’s primary purpose is to ensure that information is not denied legal validity or effect solely by virtue of it being in electronic and not paper form by authorizing the use of Electronic Data interchange, electronic records and electronic signatures. This is achieved by replacing paper instruments such as records, documents, signatures etc with their electronic counterparts. 

The Act also deals with issues such as privacy, fraud, data protection, hacking, theft of electronic records and other offences in contravention of it’s provisions.  

Jurisdiction

This is one of the most controversial issue in the area of IT laws because of the nature of internet transactions and website ownership in different countries vis a vis applicability of domestic laws. The IT Act extends to the whole of India and also extra-territorial jurisdiction in that it covers offences or contraventions of its provisions committed outside the territory of India by any person under Section 1.

With respect to nationality of offenders, that is considered irrelevant so long as the act or contravention involves a computer, computer system or computer network located in India (Section 75).  

With respect to subject matter jurisdiction, the approach of the Act is termed Functional-Equivalent as it exercises jurisdiction over data in electronic form and emphasis is laid on giving electronic data the same level of recognition as is given to data on paper (Sections 4 & 5). Section 2(1)(r) specifies that where law requires any information to be in writing or printed, such requirement will be deemed to be satisfied if the information is in electronic form. 

Electronic Contracts and Digital Signatures

The enactment of the Information Technology Act has rendered legitimacy to electronic documents thereby facilitating the formation of contracts using electronic medium. The sender of any electronic message is bound in law by his words.

Digital Signatures are considered to be ‘functional equivalents’ of paper-based signatures and a valid electronic signature has the characteristics of unique identification of a person, providing certainty of personal involvement and proof of legal intention.  Section 15 prescribes that to achieve the above purposes, the signature creation data at the time of affixing the signature must be within the sole and exclusive control of the signatory.  

Information Technology Offences 

The Information Technology Act has brought in certain amendments to the Indian Penal Code so as to bring within its scope offences committed electronically. Further, it prohibits certain conduct or act under Chapter XI. Some broad offences are as follows : 

  1. Privacy Violations – This includes the act of  knowingly communicating to the public, the image of a private area of a person without his/her consent. Punishment for such offence includes a fine of upto two lakhs and/or imprisonment upto two years under Section 66E. 
  2. Identity Theft – This offence is said to have been committed when fraudulent or dishonest use is made of an electronic signature or identification devices unique to a person. Impersonation is considered a serious offence under the IT Act under Section 66C.
  3. Obscenity – is said to have occurred when any material that appeals to the prurient or lascivious interests is published or transmitted in electronic form, the effect of which is to deprave and corrupt persons likely to have access to such material. Prohibited under Section 66F which also prescribes punishment in the form of imprisonment upto five years and a fine of upto ten lakhs. The publication of sexually explicit acts is also prohibited under Section 67A with the exception of the material being justified for public good or preserving heritage or religious identity. 
  4. Cyber Terrorism – With the increasing number of terrorist attacks, accessing a computer resource by an unauthorized person with the intent of obtaining information that is restricted for reasons of state security, national interest, preserving foreign relations etc and using such data to cause injury to the nation is considered an act of terrorism and is prohibited under the IT Act. 
  5. Apart from the above, casing damage to a computer, computer system by dishonestly accessing any data or causing the system any damage, disruption, deleting or altering of information etc is also considered offensive under the Act. Similarly, source code attacks which conceal, destroy or alter any  computer source code that is mandated to be preserved by law is prohibited under Section 65 of the Act. 

The IT Act also provides for the setting up of Cyber Regulations Advisory Committee under Sec 88 to advise the Central Government as regards rules and provisions under the Act.  Passing of the IT Act has led to amendments in the Indian Penal code, the Indian Evidence Act etc.  

Other issues that are of relevance are the various ways in which the Internet is abused by persons. ‘Phishing’ is a form of internet fraud whereby a person misrepresents his/her association with a legitimate association such as a bank, insurance company etc in order to have access to personal information and personal gain. 

The high incidence of ‘Cyberstalking’ is another evil perpetrated by the internet. Cyberstalking or on-line harassment are situations where a stalker takes advantage of the ease of communication and access to personal information over the internet and the assured anonymity of the crime. 

Domain name disputes have also arisen before Courts all over the world. Commonly known as ‘Cybersquatting’ , it involves the use of a domain name by a person with no trademark or any other rights over that name. The most common method is to make profits off a well established company name by slightly mis-spelling the name on the Domain so that search results will direct users to the ‘pirated’ website.  

Money Laundering

Money laundering is the term used to describe the act of converting ‘black’ or ‘dirty’ money into white money by giving the illegally obtained money, the appearance or cover of having originated from a legitimate source or activity. It is the method by which money obtained from crimes such as drug trafficking, mafia activities and other serious crimes or bribes accepted by public officials and politicians are channeled into the economy, essentially covering up the crime committed to obtain the money.

In India, the best known scandal is the Ketan Parekh one wherein large amounts of money were transferred to Swiss Banks to evade tax. Tax evasion and hiding of illegal activities are the common intentions behind this act which is done in three stages.

Placement which involves cash being deposited in banks or cash used to buy high value goods, property or business assets. This is followed by what is called ‘Layering’ via media wire transfers abroad (often using shell companies or funds disguised as proceeds of legitimate business) to deposit the cash in an overseas banking system. Finally, the illegitimate money is ‘Integrated’ by creating false loan repayments or forged invoices used as cover for laundered money.

In India, The Prevention of Money Laundering Act, 2002 (PMLA) is the primary legislation enacted to combat money laundering and the PMLA and the Rules notified thereunder were brought into effect from July 1, 2005.

The Act imposes obligation on banking companies, financial institutions and intermediaries to verify identity of clients, maintain records and furnish information to FIU-IND. FIU-IND is  Financial Intelligence Unit – India  which was set by the Government of India on 18th November 2004 as the central national agency responsible for receiving, processing, analyzing and disseminating information relating to suspect financial transactions.

FIU-IND is also responsible for coordinating and strengthening efforts of national and international intelligence, investigation and enforcement agencies in pursuing the global efforts against money laundering and related crimes. 

PMLA defines money laundering offence and provides for the freezing, seizure and confiscation of the proceeds of crime. Section 3 of the Act makes the offense of money-laundering cover those persons or entities who directly or indirectly attempt to indulge or knowingly assist or knowingly are party or are actually involved in any process or activity connected with the proceeds of crime and projecting it as untainted property, such person or entity shall be guilty of offense of money-laundering.

Section 4 of the Act prescribes punishment for money-laundering with rigorous imprisonment for a term which shall not be less than three years but which may extend to seven years and shall also be liable to fine which may extend to five lakh rupees and for the offences mentioned specifically, the punishment shall be up to ten years.

Section 12 (1) prescribes the obligations on banks, financial institutions and intermediaries (a) to maintain records detailing the nature and value of transactions which may be prescribed, whether such transactions comprise of a single transaction or a series of transactions integrally connected to each other, and where such series of transactions take place within a month; (b) to furnish information of transactions referred to in clause (a) to the Director of FIU-IND within such time as may be prescribed and to (c) verify and maintain the records of the identity of all its clients. Section 12 (2) prescribes that the records referred to in sub-section (1) as mentioned above, must be maintained for ten years after the transactions finished.

Post the 9/11 terrorist attacks, the need to curb money laundering has become all the more urgent and countries have adopted stringent laws against financing of terrorist organisations such as The USA PATRIOT Act of 2001, and in the UK The Terrorism Act, 2000 and The Anti-Terrorist Crime & Security Act, 2001.  The Reserve Bank of India’s extensive Anti-Money Laundering (AML) guidelines have also become effective from March 2006. 

The AML norms such as “Know Your Customer” emphasize that banks must keep a record of their customers’ backgrounds in order to reduce and control the risk of money laundering. Under the UK law, it is a money laundering offense when a person enters into, or becomes concerned in, an arrangement which facilitates by whatever means the acquisition, retention, use, or control of criminal property by another person. This gives a much broader scope to the concept of money – laundering.  

Insider Trading

This refers to the act of buying or selling of a securities by a person who has access to privileged information that is not available publicly with the intention of making profits It is the trading that takes place when those privileged with confidential information about important events use the special advantage of that knowledge to reap profits or avoid losses on the stock market, to the detriment of the source of the information and to the typical investors who buy or sell their stock without the advantage of “inside” information. Such information, if released, materially affects the price of such securities.

Such action is considered as an offence under law due to the undue advantage one may have with respect to price sensitive information and the abuse of such advantage by a person. People who may have access to inside information include brokers, stock analysts, investment bankers, and company employees etc. Regulation by SEBI prohibiting Insider Trading is akin to several countries and provides investors against price rigging.

The first country to legislate against such acts that undermine investor confidence was the USA wherein the Securities and Exchange Commission is empowered under the Insider Trading Sanctions Act, 1984 to impose civil penalties in addition to criminal proceedings.

Information that could be price sensitive includes periodical financial results of a company, intended declaration of dividend, issue or buyback of securities, any major expansion plans or execution of new projects, amalgamation, merger, takeovers, disposal of the whole or substantial part of the undertaking and any other significant changes in policies, plans or operations of the company etc.

Insider Trading is prohibited as it causes a highly detrimental impact to small investors as well as the healthy competition in a free market wherein all participants, big and small are ‘informationally efficient’ or have access to the same amount of information. Insider Trading goes against the rules of fair play in capital markets. 

In India, SEBI (Insider Trading) Regulations 1992, framed under Section 11 of the SEBI Act, 1992, are intended to prohibit and bring to an end the offence of Insider Trading. These Regulations have been amended since in the year 2002. Although the Regulations do not directly define the term insider trading, definitions have been provided for an ‘insider’ and ‘price sensitive information’. 

According to the Regulations an ‘insider’ is any person who, is or was connected with the company or is deemed to have been connected with the company, and who is reasonably expected to have access, connection, to unpublished price sensitive information in respect of securities of a company, or who has received or has had access to such unpublished price sensitive information.

Further, a ‘connected person’ means means any person who (i) is a director, as defined in clause (13) of section 2 of the Companies Act, 1956 (1 of 1956) of a company, or is deemed to be a director of that company by virtue of sub-clause (10) of section 307 of that Act or(ii) occupies the position as an officer or an employee of the company or holds a position involving a professional or business relationship between himself and the company whether temporary or permanent and who may reasonably be expected to have an access to unpublished price sensitive information in relation to that company.

Lastly,  Price Sensitive Information has been defined as  any information, which relates directly or indirectly to a company and which if published, is likely to materially affect the price of securities of company. Under the Regulations, penalties include a fine of Rs 25 Crores or three times the amount of profit made out of insider trading; whichever is higher , initiation of criminal prosecution by SEBI or orders with respect to affected transactions by SEBI.  
 

Corporate Criminal Liability 

A Corporation means a group of individuals coming together to carry on a business and in includes within its scope a company as defined under the Companies Act, 1956 in Section 2(7). Corporations are juristic entities meaning they are creations of law and are recognized as having a separate legal identity distinct from its shareholders.

Nearly three centuries after the industrial revolution, the structure and number of companies has increased tremendously with large corporations controlling huge amounts of capital and wealth in countries.

This has brought about previously unanticipated changes in the role and functions corporations play in the society. Shareholders are considered almost entirely dissociated from any liability of the company and corporations wield enormous amounts of power and have several interests besides shareholder interests to fulfill. 

The purpose of attributing criminal responsibility to companies is to ensure that corporations do not act as a vehicle for illegal activities and go unpunished. The Doctrine of Corporate Criminal Liability has also been accepted to act as a deterrent for crimes and to hold corporations accountable to the state and the public.

Previously, due to the separate legal identity of companies, members and shareholders could not be held liable for certain acts. Moreover, imprisonment or other corporeal punishment could not be meted out to corporations. Thus, previously, a corporate veil was drawn.

However, the Apex Court in India has accepted the doctrine of Corporate criminal Liability which refers to the imposition of criminal liability on either the corporation or its employees and agents. The landmark judgment delivered in 2005 in the case of Standard Chartered Bank and Ors. etc. v. Directorate of Enforcement and Ors. Etc, the law has evolved to state that a company is liable to be prosecuted even if the offence is punishable both with a term of imprisonment and fine. In case the company is found guilty, the sentence of imprisonment cannot be imposed on the company due to impossibility and under these circumstance,  the sentence of fine may be imposed.

It was expressly held that courts have the judicial discretion to do so in cases where the company is found guilty after prosecution for criminal offences.  In case of natural persons however, the full punishment must be made applicable. Corporations can be held criminally responsible for a wide variety of crimes such as  
Contempt in disobeying decrees and other court orders, directed to it, Conspiracy, Bribery etc.  

Corporate Governance

The subject of corporate governance has acquired global  limelight from relative obscurity after a string of collapses of high profile companies such as Enron, the

Houston, Texas based energy giant, and WorldCom, the telecom behemoth etc which led to attack on corporate practices in the US. However, with the recent Satyam scandal in India and a collapse of several investment banks, it appears that the problem exists in several countries. Satyam raised the veil on the complete lack of accountability in the company and prompted questions on corporate governance practices of the country’s biggest listed corporations.

Corporate Governance is the term given to a general set of customs, regulations, habits, and laws that determine to what end a firm should be run.  Issues such as executive compensation, financial scandals, and shareholder activism are all tied up with CG.

In India, Report of SEBI committee (India) on Corporate Governance defines corporate governance as the acceptance by management of the inalienable rights of shareholders as the true owners of the corporation and of their own role as trustees on behalf of the shareholders.

It is about commitment to values, about ethical business conduct and about making a distinction between personal & corporate funds in the management of a company.” Key elements of good corporate governance principles include honesty, trust and integrity, openness, performance orientation, responsibility and accountability, mutual respect, and commitment to the organization.

Some issues that principles of corporate governance seek to tackle include keeping a professional management. Although primarily corporate governance deals with effective safeguarding of the investors’ and creditors’ rights and these rights can be threatened in several other ways.

For instance, family businesses and corporate groups are common in many countries including India. Inter-locking and “pyramiding” of corporate control within these groups make it difficult for outsiders to track the business realities in these large organizations. Also, minority stakeholders lack any control or representation of their interests. This often leads to expropriation of minority shareholder value through actions like “tunneling” of corporate gains or funds.  

It is the 1956 Companies Act that governs the functioning of joint-stock companies and protecting the investors’ rights. Perhaps the single most important development in the field of corporate governance and investor protection in India has been the establishment of the Securities and Exchange Board of India (SEBI) in 1992 and its gradual empowerment since then. From 1994, the Board for Financial Supervision (BFS) inspects and monitors banks using the “CAMELS” (Capital adequacy, Asset quality, Management, Earnings, Liquidity and Systems and controls) approach.

Audit committees in banks have been stipulated since 1995. Also, the CII Code for Desirable Corporate Governance developed by a committee chaired by Rahul Bajaj. The committee was formed in 1996 and submitted its code in April 1998. 

The Companies Act, 1956 is the central legislation in India that empowers the Central Government to regulate the formation, financing, functioning and winding up of companies. It applies to whole of India and to all types of companies, whether registered under this Act or an earlier Act. It provides for the powers and responsibilities of the directors and managers, raising of capital, holding of company meetings, maintenance and audit of company accounts, powers of inspection, etc.

That is, it empowers the Central Government to inspect the books of accounts of a company, to direct special audit, to order investigation into the affairs of a company and to launch prosecution for violation of the Act. These inspections are designed to find out whether the companies conduct their affairs in accordance with the provisions of the Act, whether any unfair practices prejudicial to the public interest are being resorted to by any company or a group of companies and to examine whether there is any mismanagement which may adversely affect any interest of the shareholders, creditors, employees and others.

The main objectives with which this Act has been introduced are to:- (i) help in the development of companies on healthy lines; (ii) maintain a minimum standard of good behavior and business honesty in company promotion and management; (iii) protect the interests of the shareholders as well as the creditors; (iv) ensure fair and true disclosure of the affairs of companies in their annual published balance sheet and profit and loss accounts; (v) ensure proper standard of accounting and auditing; (vi) provide fair remuneration to management and Board of Directors as well as to company’s employees; etc. 

Moreover, the Ministry of Corporate Affairs, Government of India, has set up National Foundation for Corporate Governance (NFCG) in partnership with Confederation of Indian Industry (CII), Institute of Company Secretaries of India (ICSI) and Institute of Chartered Accountants of India (ICAI) to foster a culture for promoting good governance, voluntary compliance and facilitate effective participation of different stakeholders etc.

The Companies Bill, 2004, also contains some important provisions relating to corporate governance such independence of auditors, relationship of auditors with the management of company, independent directors with a view to improve the corporate governance practices in the corporate sector etc.  


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A Case Study on Corporate Crimes in India

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This article has been written by Ritika Saxena, LLB 2nd year, Shri Ramswaroop Memorial University, Lucknow.

Abstract

White Collar Crimes are committed by various Individuals in greed of self-enrichment. But when this crime is conducted collectively by group of people or association in any business, then such crime becomes Corporate Crime. The loss being suffered from other Conventional Crimes such as theft, trespass, burglary, arson, etc. is far less than the loss being suffered from White Collar Crimes. It causes an adverse impact on the commerce and economy of our country. And it also leads to loss of trust of the investors in the market. This study deals with the cases of white collar crimes and corporate crime in India and its types. The statistical data of the past years relating to white collar crime is also shown. This study also enlightens the provision and laws which provides protection against this matter.

Introduction

White Collar Crimes are the crimes which are committed by the men of high class society during the course of their business or occupation. White Collar Crime is an illegal act done in order to achieve illegal objective known as Wrongful Gain[1] or in order to avoid payment of legal or formal dues, or to retain money or property etc. All of this encompasses criminal and civil violations.

Meaning of White Collar Crimes 

https://lawsikho.com/course/diploma-m-a-institutional-finance-investment-laws

According to Professor Sutherland, “when a person of respectability and high social status in course of his legitimate occupation commits an act which is approximately a crime, it is a White Collar Crime”[2]. But afterwards he modified his own definition and gave a new definition as “A person of upper Socio-economic class who violates the criminal law in course of occupational or professional activities.”[3]

Classification of White Collar Crimes

  • Ad hoc crimes: In this category a person or the offender pursues his own individual objective having no face-to-face interaction with the Victim. E.g. Credit Card frauds, hacking, etc.
  • Bribery: When money, goods, services or any type of information is offered with intent to influence the action, opinion and decisions of the taker, constitutes Bribery.[4]
  • Embezzlement: When a person, who has been entrusted with the money or property, appropriates it for his or her own use.
  • Counterfeiting: Copies or imitates an item without having been authorized to do so.[5]
  • Forgery: When a person passes false instruments such as cheque.[6]
  • Tax-evasion: frequently used by middle class to have extra-unaccounted income.
  • Professional Crime: Crimes committed by Medical practitioners, Lawyers in course of their occupation.
  • Fraud: In a broadest sense, fraud means, an intentional deception made for personal gain or to damage another person or entity. Fraud is defined in both criminal as well as civil code. 

“FRAUS OMNIA VITIATE”

“Fraud violates everything”

Under Indian Contract Act, 1872

Fraud’ defined.—‘Fraud’ means and includes any of the following acts committed by a party to a contract, or with his connivance, or by his agent1, with intent to deceive another party thereto or his agent, or to induce him to enter into the contract:

  1. the suggestion, as a fact, of that which is not true, by one who does not believe it to be true;
  2. the active concealment of a fact by one having knowledge or belief of the fact;
  3. a promise made without any intention of performing it;
  4. any other act fitted to deceive;
  5. Any such act or omission as the law specially declares to be fraudulent.[7]

Under Indian Penal Code, 1860

‘Fraudulently’ means, a person is said to do a thing fraudulently if he does that thing with intent to defraud but not otherwise.[8]

Corporate Crimes

A corporate crime or fraud occurs when a company or an entity deliberately changes and conceals sensitive information which then apparently makes it look healthier. Companies adopts various Modus-operandi to commit such corporate frauds, which may include misrepresentation in prospectus, manipulation of accounting records, debt hiding, etc.

Types of Corporate Fraud 

  • Fraudulent Financial Statements
  • Employee Fraud
  • Vendor Fraud
  • Customer Fraud
  • Investment Scams
  • Bankruptcy Fraud
  • Misappropriation of Assets
  • Corruption

(Common element is Deceit and Trickery).

Financial Fraud includes, 

  1. Manipulation, falsification, alteration of accounting records.
  2. Misrepresentation or intentional omission of amounts.
  • Misapplication of accounting principles.
  1. Intentionally false, misleading or omitted disclosures.

Misappropriation of Assets includes,

  1. Theft of tangible assets by internal or external parties.
  2. Sales of proprietary information.
  • Causing improper payments.

Corruption includes,

  1. Making or receiving improper payments.
  2. Offering bribes to public or private officials.
  • Receiving bribes, kickbacks or other payments.
  1. Aiding and abetting fraud by others.

Famous cases on Corporate Frauds

East Indian Company

The East India Company was a Crown chartered trading company. It was owned privately but had a mandate to benefit the British State commercially and politically. First and foremost, the EIC was an agent of the Crown. 

It was first Multinational Corporation in the world that pursued investment opportunities as well as territorial power. EIC employees based in India sought commercial profits for themselves, the Crown, and East India House; while they acquired Indian Territory aggressively on behalf of the Empire. In late 1700s Edmund Burke had Robert Clive, (the founder of the empire) and Warren Hastings, (India’s Governor General), brought up on impeachment charges laden with corruption issues. Though the trail failed to convict anybody.

To achieve all of these ends, the EIC’s corporate conduct was inconsistent. Sometimes, the Company complied with ethical practice in safety and financial matters. At other times it readily engaged in economic theft and bribes, or breached civil liberties and human rights. The concept of corporate social responsibility was secondary to its interests. The company was subsequently wound up under East India Company Stock Redemption Act.[9]

Mundhra Scam- First Scam of Independent India

Haridas Mundhra, an industrialist and stock speculator sold fictitious shares to Life Insurance Corporation (LIC) and thereby defrauding LIC by 125 crores. Mr. Jawahar Lal Nehru, (the then Prime Minister), set up a one-man commission headed by Justice Chagla to Investigate. Justice Chagla concluded the matter and Haridas was found guilty and was sentenced to imprisonment of 22 years and T.T. Krishnamachari, the then Finance Minister, resigned from his position.

Enron Scam 

Enron scandal, publicized in October 2001, eventually lead to the bankruptcy of the Enron Corporation, an American energy company based in Houston, Texas and De-Facto dissolution of Arthur Andersen. 

  • In February 2000, Fortune Magazine Chooses Enron as its “Best Managed and Most Innovative Company”.
  • August 2000: Stock at $73 Billion.
  • March 2001: Financial Year 2000 revenues at $100 Billion.
  • September 16, 2001: Enron buys more shares.
  • October 2001: Enron pays its regular Dividend.
  • October 16, 2001: 3rd quarter loss was shown as $618 million and further made deduction of $1.2 billion in equity shares.
  • October 31, 2001: SEC upgrades inquiry into a formal investigation.
  • December 2, 2001: Enron files for Bankruptcy.

Result of this was 4,000 employees were fired, 20,000 workers loses their jobs and $73 billion was lost in the stock value.

Reason behind Enron Fiasco: Enron Senior Management used complex and murky accounting schemes,

  • To reduce Enron’s tax payments.
  • To Inflate Enron’s income and profits.
  • To inflate Enron’s stock Price and credit rating.
  • To hide losses in off-balance-sheet subsidiaries.
  • To engineer off-balance-sheet scheme to funnel money to themselves, friends and family.
  • To fraudulently misrepresent Enron’s financial condition in public report.

Satyam – Enron of India

Satyam Scam, 2009: Satyam was the biggest scam in the history of India. The Satyam scam of 2009 has shatter the peace and tranquility of investors in the share market. The chairman Ramalinga Raju has manipulated the financial statement and the books of accounts. Satyam’s books of account shows:

  • Over stated Assets of Rs. 490 crores.
  • Fake cash balance over Rs. 5000 crores in the balance sheet.
  • Interest component of Rs. 376 crores which never flowed into the company’s coffers.
  • Understated Liabilities of Rs. 1,230 crores.

He has also inflated with revenues and net profit figures of the company, with which he was charged with heavy penalty.

Aftermath Effect

  • Investors panicked as Stock Plummeted.
  • Employees were stranded in many ways, like; morally, financially, legally and socially.
  • The incident resulted in immeasurable and unjustifiable damage to Brand India and Brand IT in particular.
  • Chairman, Managing Director, Chief Executive Officer and Chief Finance Officer and the Key Managerial Personal were arrested.
  • Partners of audit firm were also arrested.
  • People lost staggering Rs. 100 billion in Satyam in market capitalization as investors reacted sharply and dumped shares, pushing down the scrip by 78 percent to Rs. 39.98 on Bombay Stock Exchange (BSE).

Harshad Mehta Scam Case[10] 

The Harshad Mehta Scam shocked the entire economy of India. He fooled many investors by taking advantage of the loopholes of the system.

Scandal details

  • Harshad Mehta obtained fake Bank receipts from small Banks.
  • The said Bank Receipts were further passed on to other banks as security to obtain cash.
  • This money was used to drive up the prices of stocks in the stock market.
  • Bubble of stock market manipulation and fake bank receipts busted.
  • Drastically impacted the stock market, economy and progress of the country.
  • Banking system was swindled was swindled of a whopping of Rs. 5000 crores.
  • Even, the chairman of one of the bank committed suicide.

This scam can be called as one of the biggest white collar crime as the case was mainly regarding the manipulation of accounts and providing misleading information. 

Sahara vs. SEBI[11]: It was a case of issuing misleading information and clause in prospectus of company. 

  • Here the question raised that whether the private placement of shares can be treated as offer? 
  • In this cases, Sahara India Real Estate Corporation Limited (SIRECL) and Sahara Housing Investment Corporation Limited (SHICL) floated an issue of option of fully convertible debenture (OFCD’s) to more than million investors and termed their issued debenture as private placement, with a defense that the company did not intend to get their OFCD’s listed because the security which have been issued is a Hybrid Security. 
  • During this period, the company had total collection of over Rs. 17,656 crore. This amount was collected from 30 million of investors.
  • The Hon’ble Supreme Court on 31st august, 2012 in one of the most anticipated judgment of recent times has directed the Sahara Group and its two group companies SIRECL and SHICL to refund around Rs. 17,400 crore to their investors within 3 months.
  • Supreme Court also ruled that SEBI has myriad powers to invest listed and unlisted companies functioning regarding the issue of securities in order to secure the interest of investors. This was the landmark judgment in the field of Indian corporate Law.

2G Spectrum Scan Cases

2G scam was basically a telecommunication and a political scandal. In this scandal many Politicians and government were involved. The scam was about the allocation of unified access service license. The former telecom minister A Raja has evaded norms at every level and carried out the dubious 2G scam in the year 2008.

There are many corporate scams which has taken our economy to a greater loss, Coal Scam, Bofors scandal etc. were also famous in this regards.

Corporate Crime in India

Corporate Crime is being increasing with the change in the decade, the reason behind this enormous increase behind this is found in the fast developing countries and industrial growth in the developing countries. The fast growth of industries and the technologies is the reason behind this crime. 

One of the major havoc that has been found in recent times is disappearing of companies. Out of 5651 companies listed in BOMBAY STOCK EXCHANGE, 2750 has been vanished. It means that one out of two companies that comes to the stock exchange to raise crores from the investors and then run away[12]. We have SEBI, RBI and Department of Companies Affairs to monitor the stock exchange but none has documented the whereabouts of these 2750 odd companies suspended.

Regulatory Legislations

Some Anti-Fraud regulations or legislations or guidance regarding corporate fraud are as follows:

  • Indian Contract Act[13] (Section-17)
  • Indian Penal Code[14] (section-25)
  • Prevention of Corruption Act[15]
  • Prevention of Money Laundering Act[16]
  • The Companies Act[17]
  • Clause 49 of Listing Agreement
  • Securities and Exchange Board of India Act[18]
  • CARO Act[19]
  • Essential Commodities Act[20] (Section-6)
  • Information Technologies Act[21] (Section 43-44)

Prevention of Corruption Act, 1988: The issue of corruption is very dangerous to nation. The Sanathan Committee Report[22], 1964 defines the problem of corruption as a complex problem having its roots and ramification in the society itself as a whole. This Act consolidated the provision of IPC, CrPC and Criminal Act, 1952. This act has provided the definition of ‘Public Duty’, ‘Public Authority’ and ‘Public Servant’. These definition are sufficient to determine the criminal liability of Public Officer.

Prevention of Money Laundering Act, 2002: In India, money laundering is being practiced in large scale from past few decades. Due to which the socio-economic crimes have been increased rapidly. The process of conversion of black money into white money or the process of conversion of tainted money into untainted money is called money Laundering. Thus the main purpose and the objective of this act is to prevent Money Laundering.

The concept of Money Laundering is an International concept and menace and for the same reason, United Nations adopted a political declaration in June 1998 and asked its members to enact the national legislations for the prevention of Money Laundering[23].

Companies Act, 2013: The Companies Act, 2013 is the legislation which Focusses on issues related to Corporate Fraud. Fraud in relation to company or corporate body is defined under section 447 of this Act.

  • Section 212- investigation into the affairs of the Company by Serious Fraud Investigation Office[24].
  • Section 447- Punishment for Fraud[25].
  • Section 448- Punishment for False Statement[26].
  • Section 449- Punishment for False Evidence[27].
  • Section 450- Punishment where no specific Penalty or Punishment is provided[28].
  • Section 451- Punishment in case of Repeated Defaults[29].

Conclusion

The advancement of science and technologies in last few decades has created a new form of crime which is known as ‘White Collar Crime’. And due to personal greed on section of this crime has shown a tremendous growth, i.e. Corporate Fraud. Corporate fraud is responsible for most of the economic loss in the society. The people of nation also lose their trust in the investment in private sector. Where private sector can help in huge economic growth, nowadays it is more indulged in the field of Fraud.

Government of India has taken many steps to prevent this type of Crime in India. There are certain mechanisms that have been cited by the Government of India by which the frauds can be prevented under the Companies Act, 2013.

Section 211 empowers the Central Government to establish an office called Serious Fraud Investigation Office (SFIO) to investigate fraud relating to Companies (section 212). Further, Central Government can also order investigation into the affairs of a company and on the receipt of the report of the registrar or the inspector. 

Suggestions

To prevent Corporate Crimes there are certain steps to be taken by the government and the organization. 

What an Organization can do?

  • Tone at the top: create an ethical environment.
  • It should be lead by example.
  • Corporate code of Conduct should followed.
  • There should be strict rules regarding the Call in Service for Unethical Practices.
  • There should be reliable Internal Control.
  • Training courses should be organized, such as:
  • Ethics Training
  • Internal Controls
  • Fraud Prevention
  • Technological and Business changes
  • Special trainings for Monitors.
  • Reference check on New Employees should be done.
  • Anti-Corruption & Anti-Bribery practices should be adopted. 
  • New Code of Governance should be developed.

Endntes

[1] Section 23 of Indian Penal Code (45 of 1860)

[2] Dr. S.S Srivastava, Criminology, Criminal Administration (3rd Edition, Central Law Agency, 2007) pg. no. 40.

[3] Ahmad Siddique’s’ criminology and penology (16th Edition, Eastern Book Company, 2011) pg. no. 438.

[4] Section-171-B of Indian Penal Code (45 of 1860)

[5] Section 489A, 489B, 489C, 489D, 489E of Indian Penal Code (45 of 1860).

[6] Section 463 of Indian Penal Code (45 of 1860).

[7] Section 17 of Indian Contract Act of 1872.

[8] Section 25 of Indian penal Code (45 of 1860).

[9] 1874

[10] Harshad Shantilal Mehta vs. Custodian & Ors 1998 ECR 1 SC, JT 1998 (4) SC 323.

[11] (2012) 10 SCC 603

[12] Survey on Fraud in India,2012

[13] 1872

[14] 1860

[15] 1988

[16] 2002

[17] 2013

[18] 1992

[19] 2003

[20] 1955

[21] 2002

[22]  https://abhimanuias.com/state/Searchdetail.aspx?type=BL&id=8412

[23] Sangeet Kedia’s Economic and Commercial Law (June 2018, Pooja Law Publishing Co.)

[24] The Companies Act (12 of 2013)

[25] The Companies Act (12 of 2013)

[26] The Companies Act (12 of 2013)

[27] The Companies Act (12 of 2013)

[28] The Companies Act (12 of 2013)

[29] The Companies Act (12 of 2013)


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A Need for Criminalization of Marital Rape

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This article has been written by Liza Arora.         

Marital Rape

Marital rape is serious and societal issue that we should have to concede as soon as possible so that no more such offence took place further. Any sexual intercourse between husband and wife without wife’s consent is called marital rape. the act of cohabitation against the will of wife is a heinous offence, and cannot be condoned just because the husband has been brought up in a society with a mindset  that it is right of the husband to cohabit wherever and whenever he desires so. Wives are not the assets of their husbands but in our society, marriage in a way, gives men a ‘licence to rape’ with their wives. Marriage should not be seen as a permit for unconsented sexual intercourse everyone has a right on their body more than anyone else. Sex should only be done with the mutual consent, love, caring and clear communication.

The legislative development under rape law since the 18th century

The definition of rape is codified under section 375 of Indian Penal Code 1860 includes all forms of sexual assault involving non-consensual intercourse with a woman[1]. However exception 2 to Section  375 Exempts unwilling sexual intercourse between a husband and a wife over 15 years of age. For thirty years, after the enactment of IPC’ 1860[2], Rape law remained the same. The later change was owing to a number of cases in Bengal in which the child wife died due to consummation of marriage. Out of these, the most notable was Queen Empress v. Haree Mohan Mythee. This case tells the pathetic story of phulmonee Dassee, who was eleven years and three months old when she died as a result of rape committed on her by her husband. The medical evidence showed that Phulmonee had died of bleeding caused by ruptured vagina.[3] 

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In 1891, Sir Andrew Scoble introduced the Bill, which culminated into Indian Criminal Law (Amendment) Act’ 1891[4]. This act raised the age of consent to 12 years both in cases of marital and extra-marital rapes. The object of Act was humanitarian, viz., “to protect female children from immature prostitution and from pre-mature cohabitation”. Pre-mature cohabitation resulted in immense suffering and sometimes even death to the girl and generally resulted in injury to her health and that of her progeny. In 1922, Rai Bahadur Bakshi Sohan Lal, MLA, introduce a Bill in the Assembly to amend section 375, Indian Penal Code, 1860 (IPC) by raising the age of consent in both marital and extra-marital cases[5]. On September 1, 1925 Sir Alexender Muddiman introduce the amendment in 1925 for the first time introduced a distinction between marital and extra-marital rape cases by providing different age of consent in marital rape cases. The distinction was further emphasised in section 376 by incorporating the words – “unless the woman raped is his own wife and is not under twelve years of age”. In which case the punishment was diluted by prescribing a maximum of two years. Thus, the purpose aimed to be achieved by raising the age of consent to 13 years, stood mitigated to a large extent by the diluted punishment provided by amended section 376. 

The question of age of consent was not considered as finally settled and Hari Singh Gaur again introduced a Bill in 1927 to raise the age to 14 and 16 years in marital and extra-marital cases respectively. It was followed by the appointment of Age of Consent Committee[6], which reviewed the prevailing situation and suggested few amendments.

The committee was of the opinion that the amended law was ineffective due to the nature of the offence, particularly in case of marriage as consummation necessarily involves privacy. The prevalent view among the awakened sections of society was that prohibiting the marriage of a girl under a particular age would be a better measure than to increase the age of consent for sexual intercourse. The dissenting group among these classes felt that law was partly futile because it Committee recommended the use of term ‘marital misbehaviour’ instead of rape in marital cases. The offence of marital misbehaviour would be committed by a husband in case of sexual intercourse with his wife below 15 years of age. The Committee recommended the inclusion of offence of marital misbehaviour in Chapter XX of IPC  and section 375 and section 376 of the IPC should be confined to rape outside the marital relation.

The Committee also recommended maximum punishment of either description for 10 years and fine where the wife was below 12 years of age and imprisonment, which may extend upto one year or fine or both, where wife was between 12-15 years[7].

Present legal position

Under Indian law, exception to section 375, IPC embodies that when the woman is married and not less than fifteen years of age, sexual intercourse by the husband is not rape. Prior to the amendment in IPC in 2013, when the wife was between 12 – 15 years, the drastically reduced quantum of punishment was provided, which may have extended to two years or fine. It amounted to rape only when the wife was below 12 years of age. The amendment in 2013[8] has done away with this clause but at the same time has not recognized the concept of marital rape and has chosen to continue with the earlier legal approach. It would be pertinent to point out that Justice Verma Committee Report[9] has recommended that marital rape exemption in the IPC should be withdrawn.

Thus, under Indian law, no effort has been made to give even a veneer of protection to the right of a married woman to her physical or sexual autonomy. In the existing scenario, there is hardly any feeble hope of future changes as far as recognition of marital rape of adult women is concerned and even in case of minor wives between 15 – 18 years of age, the offence is treated for less seriously. In 156th Law Commission Report, the Commission expressed its reluctance to raise the age for wife from 15 years to 18 years in the Exception to S-375 IPC[10], without assigning any reasons in particular. In 172nd Law Commission Report[11], the Commission found the deletion of the exception to Section 375 IPC, unnecessary as it may amount to excessive interference with the marital relationship. However, the Commission recommended that the age limit for the wife be raised to 16 years from the existing 15 years.

The Hon’ble Supreme court and various high courts are currently flooded with writ petitions challenging the constitutionality of exception 2 of section 375 Indian penal code 1860.

Recently, In the matter of ANUJA KAPUR VS. UNION OF INDIA[12], a PIL was filed by the petitioner before High court of Delhi to frame necessary guidelines or appropriate laws or bye laws related to marital rape as ground of divorce and fix the appropriate punishment /penalties for violation of the above framed guidelines and laws .

It was held by the Hon’ble High court of Delhi that as it appears to the court that the main prayers are about drafting of the guidelines, appropriate laws and bye-laws relating to the marital rape so drafting of law is the function of legislature and not of the court. Court is more concerned with the interpretation of law rather than drafting of laws. This is the function of the legislature to be performed. We should not give any direction to draft the laws or bye-laws or to fix the appropriate, punishments penality.

Another PIL which is still pending before High court of Delhi  has generated a judicial debate on the constitutionality of exception 2 to section 375, IPC – the marital rape exemption clause. A division bench of acting Chief Justice Gita Mittal and C. Hari Shankar J hearing the PIL against the penal code provision noted that “marital rape is a serious issue, which has notoriously become a part of the culture.”

The RTI Foundation has filed the PIL in 2015 and other individuals and institutions have also approached the High Court of Delhi challenging the exemption under section 375 as well as section 376B IPC on the ground that it excludes marital rape as a criminal offence. It has been argued in the 

PIL that the exemption is unconstitutional and violates the right of married women under articles 14, 15, 19 and 21 of the Constitution. One of the petitioners has challenged the provisions of Cr PC, which are to be read with section 376 IPC on the ground that differential procedure as well as differential punishment is prescribed, which is arbitrary and unconstitutional[13].  

Violation of article 14 

Article 14 of the Indian constitution ensures that state shall not deny to any person equality before laws with in the territory of India although the constitution guarantees equality to all. Indian criminal law discriminates against female victims who have been raped by their own husbands.

At the time the IPC drafted in the 1860s a married women was not considered an independent legal entity .rather she was considered to be the chattel of their husband .

As a result, she didn’t possess many of the rights now guaranteed to her as an independent legal entity including the right to file a complaint against another under her own identity.

 Exception2 distinction between married an unmarried women also violates article 14 insofar as the classification created has no rationale to the underlying purpose of the statute.

In Budhan Choudary vs State of Bihar[14] and State of West Bengal vs Anwar Ali Sarkar[15] the supreme court held that any classification under article 14 of Indian constitution is subject to a reasonableness test that can be passed only if the classification has some rational nexus to the objective that the act seeks to achieve but exception 2 frustrates the purpose of section 375 to protect women and punish those who engage in the inhumane activity of rape. Exempting husbands from punishment is entirely contradictory to that objective put simply the consequences of rape are same whether a women is married or unmarried moreover, a married women may actually find it more difficult escape abusive conditions at home because they are legally and financially tied to their husbands.

In reality, exception 2 encourages husbands to force fully enter into sexual intercourse with their wives, as they know that their acts are not discouraged or penalized by law because no rationale nexus can be deciphered between the classification created by the exception and underlying objective of the act it doesn’t satisfy the test of reasonable and thus violates article 14 of the Indian constitution .

 Violation of Article 21

Exception 2 is also violation of article 21 of the Indian constitution Article 21 states that no person shall be denied of life and person shall be denied of life and personal liberty except according to the procedure established by law.

In recent years ,court have begun to acknowledge a right to abstain from sexual inter course and to be free from unwanted sexual activity enshrined under these broder  rights to life and personal liberty in the State of Karnataka vs  Krishnappa[16] the Supreme court held that non –consensual  sexual intercourse amounts to physical and sexual violence later in case of Suchita Srivastava and Anr vs Chandigarh Administration 2009 (a) scc 1[17], supreme court held in para 22 of the judgement “had recognized a women’s right to male her reproductive choices as a dimension of personal liberty as understood under article 21 of the constitution of india it is important to recognised that reproductive choices can be excercised to procreated as well as to abstain from procreating the crucial consideration is that a women’s right to privacy dignity and bodily integrity should be respected forced sexsual cohabitation is a violation of the fundamental rights the above rulings do not distinguish between the rights of married women and unmarried women and there is no contrary ruling stating that the individual right to a privacy is lost by marital association. 

The latest judgment by Gujrat High Court in Nimeshbhai Bharat bhai Desai vs. State of Gujrat[18] termed marital rape as a disgraceful offence and elaborately dealt with the issue of Marital rape stating that “ making wife rape illegal or an offence will remove destructive attitudes that promote the marital rape is recognized as court held that the husband is liable only for outraging her modesty and unnatural sex. 

Similarly, Hon’ble Supreme Court in the matter of Independent Thought Vs. Union of India and Anr[19],2 017, 10 SCC, 800 has criminalized sexual intercourse with the minor wife aged between 15 to 18 years but has refrained for making any declaration regarding marital rape of a woman who is above 18 years of age.

The Hon’ble Supreme Court in the case of State of Maharashtra Vs. Madhukar Narayan Mandikar[20] had referred to the right to privacy over One’s body. In this case, it was decided that a prostitute had a right to refuse sexual intercourse what is said to know is that all stranger Rapes have been criminalized and all the females, other than wives – have been given right to privacy over their bodies thereby envisaging the right to withhold consent and refuse sexual intercourse.              

Endnotes

[1] S. 375, The Indian Penal Code, 1860.

[2] S. 375 exception 2, The Indian Penal Code, 1860.

[3] Queen Empress v. Haree Mohan Mythee, 1891 Cal 49

[4] Act No. X of 1891, published in Gazette of India, (1891), Pt.V.

[5] Report of the Age of Consent Committee, Calcutta, Government of India, 11 (1928-29).

[6]  Supra note 5 at 17,18

[7] Supra note 5 at 124 ,125

[8]  The Criminal Law (Amendment) Act no. 13 of 2013.

[9]  Justice Verma Committee Report, (2013).

[10] Law Commission of India – 156th Report on The Indian Penal Code, Ministry of Law and Justice, Government of India,161 (August, 1997). The NCW had recommended that the age limit in the Exception to S-375, IPC be raised from 15 years to 18 years.

[11] Law Commission of India – 172nd Report on Review of Rape Laws, Ministry of Law and Justice, Government of India, (2000), para 3.1.2.1.

[12]  DLT, 7256, 2019

[13] Delhi High Court to Hear NGO’s Plea Opposing Marital Rape”, Indian Express 28, 2017

[14] Budhan v.State of  Bihar, AIR (1955) SC 191(India).

[15] State of West Bengal v. Anwar Ali Sarkar, AIR (1952) SC 75(India)

[16] The State of Karnatka v. Krishnappa, (2000) 4 SCC 75 (India).

[17] (2008)14 SCR 989(India)

[18] 2018 SCC Guj,732

[19] 2 017, 10 SCC, 800

[20] AIR, 1991,SC, 207


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The evolution of the doctrine of promissory estoppel

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This article has been written by Priyanka Dhage.

“The Rise of the Doctrine of Equity and Estoppel”

For a law to be administered in such a way so as to ensure justice, it is very important for that law to be inclusive and not exclusive. Inclusivity comes into picture when the law seeks to protect the underlying rights of the individual and not exclude him on the basis of rigid interpretation of law. One such legal doctrine that revolves around this concept is the principle of “equity”. Derived from the Roman term ‘aequitas’ – equity deals with determining what is right and fair and levels down arbitrary preferences to ensure equal justice. 

English law was governed by the ‘Commune Ley’ (Common law) before the introduction of the principle of equity. Blackstone defined Common Law as the “municipal law of England or the rule of civil conduct prescribed to the inhabitants of the kingdom.”[1] The King’s Chancellors held great power to administer law and prevent injustices in the courts of Chancery but this application of common law was gradually seeming to be applied unfairly and rigidly. It suffered through certain deficiencies while providing remedies which consequently paved way for decisions being given in good conscience in a mitigating fashion and hence, leading to the rise of the Principles of Equity. Though equity faced conflicts in its earlier stages in the English courts, it eventually found a major role to play in the Law of Contracts. It finds a place in concepts such as unjust enrichment, restitution and promissory estoppel.

Promissory estoppel has widely been considered as one of the most remarkable developments in the law of contracts. Promissory estoppel is also called as the concept that ensures “enforcement of unbar gained-for promises that induce reliance”[2]. Promises and agreements under the law of contracts have largely been governed based on the presence of considerations given for them but, what is to be noticed is that there are certain moral rules too that govern agreements and promises. Under this doctrine, a promise becomes irrevocable when the promisee acts on it which leads to a change in his position irreversibly. The rationality behind this doctrine is that nobody should suffer to their detriment for acting on a promise made in good faith and receiving no consideration for it. It seeks to enable recovery of an injured party due to detrimental reliance on a promise.             

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The Emergence of Promissory Estoppel in English law

 In order to trace the evolution of the Doctrine of Promissory Estoppel, one must look at some landmark English decisions which shaped its existence from being a doctrine of ‘raising equity’ to that of ‘estoppel’. Its known origin  dates back to 1877 in the case of Hughes v. Metropolitan Railway Company[3]  where the lessor of the premises (Thomas Hughes) gave six months to the lessee to perform certain repair work on the premises but the lessor began certain sale negotiations with the lessee within this period which did not work out and broke off. On completion of the six months’ time period, the lessor said that the lease was forfeited and tried to evict the company. The House of Lords in this case said that the lessees were made to falsely believe that the contract was intact due to the negotiations being made and hence they cannot back down from their agreement saying it has forfeited. Lord Cairns delivered the leading judgement where he spoke about this equitable doctrine of Promissory Estoppel and said that – “if parties who have entered into definite and distinct terms involving certain legal results—certain penalties or legal forfeiture—afterwards by their own act or with their own consent enter upon a course of negotiation which has the effect of leading one of the parties to suppose that the strict rights arising under the contract will not be enforced, or will be kept in suspense, or held in abeyance, the person who otherwise might have enforced those rights will not be allowed to enforce them where it would be inequitable having regard to the dealings which have thus taken place between the parties.”[4]

This case remained unremarkable and the principle was used infrequently applied until it was ‘unearthed’ by the remarkable jurist Lord Denning, in the case of Central London Property Trust Ltd. v. High Trees House[5] where it was acknowledged and restated by him in 1946. High Trees House Ltd. leased a block of flats from Central London Property Trust Ltd. and the agreed rent was 2,500 pounds per year. Due to adverse war conditions in 1940, the rent amount was halved following a fall in demand and this half amount was paid until 1945. In 1945, when the demand rose again, the tenants asked for the originally agreed amount thus backing off from their promise. Here, the question that arose was whether such a promise that was intended to create a legal obligation be avoided after a change in the promise’s initial position? Denning J in his landmark judgement said estoppel would apply when- “a promise was made which was intended to create legal relations and which, to the knowledge of the person making the promise, was going to be acted on by the person to whom it was made and which was in fact so acted on. A party would not be allowed in equity to go back on such a promise.”[6] This judgement of Denning J by its obiter dictum had become the new established doctrine of ‘promissory or equitable estoppel’ which looked at the law of contracts from the viewpoint of equity and justice giving it a new vision altogether.

Evolution of Promissory Estoppel in India with respect to State Liability

Today, in a democracy as large as India, any promise that the government makes to its citizens, especially of contractual nature matters a lot in the eyes of law. The Indian judiciary has done a gradual but overwhelming job when it comes to making the state accountable towards its promise and abide by it in matters pertaining to Contracts. There are certain essential criterions which must first be fulfilled for a promise to be made binding on the government such as- 

  • The promise was intended to create legal obligations,
  • The promise was made by the State within the ambit of law, and
  • The contracting party has done or omitted from doing an act in furtherance of the promise.

Since the essence of the doctrine of Promissory Estoppel lies in ‘equity’, equity must be delivered irrespective of the party being a private individual or government body and this notion has been recognized by the Indian courts to a great extent. But, even though this has been recognised by the Indian courts, there is little difficulty in determining the exact limitations and scope of the application of this doctrine which can be noticed by looking at a number of cases in the past century.

One of the earliest citing of this doctrine in the Indian law would be in the case of Ganges Manufacturing Co. v. Sourjmull[7] where in it was held by the Calcutta High court that estoppel does not only limit to the law of evidence but a party can also be estopped from doing certain acts or relying on some arguments. ‘Promissory Estoppel’ as a  term was first used by the Supreme court in the case of Collector of Bombay v. Bombay Municipal Corporation[8]

When it came to the post-constitution period, it was the case of  Union of India v. Anglo Afghan Agencies[9] which applied the doctrine of Promissory Estoppel against the government. In the aforementioned case, certain concessions were announced by the government for import of raw materials in order to encourage the production and export of woollen garments from India to Afghanistan. The government later said that only partial concessions would be allowed and not full concessions to which the court said that the government was estopped to its promise and cannot take it back arbitrarily. According to Justice Bhagwati in the Anglo-Afghan case, “the doctrine of promissory estoppel found its most eloquent exposition[10]. Although these developments took place with respect to application of this doctrine against the state, there was a lack of uniformity in the rulings rendered by the Supreme Court as well as the High Courts. Applying the doctrine against the Government authorities when an individual or private party had suffered to their detriment due to a promise made by the authorities remained a matter of concern in the Judiciary. For instance, in the case of State of Kerala v. Gwalior Rayon Silk Mfg. (Wvg.[11]) the Supreme Court did not find it valid to apply the equitable doctrine against the state, the rationale being that estoppel cannot be exercised against the government’s power to legislate. Also in the case of C. Sankaranarayanan v. State of Kerala[12], where the contention was with respect to the government’s power to make rules regarding the services of teachers in aided schools, the court did not allow estoppel stating that constitutional power(here under article 309) cannot be curtailed by any agreement whatsoever. This further gives us an insight into how estoppel wasn’t applied when constitutional powers of the government could be jeopardized.

In 1979  the case of M.P. Sugar Mills Ltd. v. State of Uttar Pradesh[13] came out as a trendsetting case in the doctrine of Promissory Estoppel. It was called as the “sheet anchor of the doctrine of promissory estoppel[14]. In this case, the Chief Secretary of the government had given a categorical affirmation to new industrial units for total exemption of sales tax for 3 years for setting themselves up. the appellant subsequently set up a hydrogenation unit for their sugar mills by taking a huge loan. The government then changed their policy saying that the exemption would be rendered at different rates in the period of 3 years. The contention raised by the appellant was they incurred a huge loan on the affirmation given by the government thus changing their position in furtherance of the governments promise. The Supreme court in its ground breaking and justifiable decision held that the government was liable to exempt them from tax for 3 years thus giving the doctrine of estoppel a whole new direction.    It was observed by Justice Bhagwati that there should be no distinction between a governmental and sovereign function and also business or trading activity when it comes to the application of the doctrine of promissory estoppel. 

Post this judgement, the establishment of this new doctrine was welcomed widely in the judiciary in various cases. For example, in Bhim Singh v. State of Haryana[15] the government had offered certain incentives to their employees for joining a new department to which they later denied. The Supreme Court held that the employees were entitled to the incentives if they had acted on the reliance of the government.                                    

“Analysing the other side of the coin: Executive necessity”

In cases of contracts entered into with government bodies, one very important aspect that the courts have repeatedly laid emphasis on in their judgements is the doctrine of ‘executive necessity’. One of the drawbacks that hampers the utility of the doctrine of Promissory Estoppel is that it cannot operate against the state’s exercise of its executive functions. A very conflicting decision which contradicts that of the M.P Sugar Mills case was given in Shri Bakul Oil Industries v State of Gujarat[16] which had similar facts. In this case the Gujarat government partially exempted certain categories of sales and purchases from the sales or purchase taxes by issuing a notice under the Gujarat Sales Tax Act, 1969 for furtherance of industries in rural areas. The appellants set up a plant for crushing of groundnut seeds for manufacturing oil, later claiming exemption as they satisfied all the criterions required. The government instead of granting the exemption rejected their application and made amends to the notification issues earlier saying that this industry was already well established in the respective area. The doctrine of promissory estoppel was not allowed in this case and they weren’t stopped from amending the notice previously issued. Here we see a clear divergence in the opinions in both the similar cases. The Bakul case shows how sudden policy changes can act to the detriment of parties who acted in furtherance of such policies earlier. The decision issued in the M.P. Sugar Mills case can be seen to be closer to the principles of equity and thus complying with it.  The Bakul case shows how executive necessity is being used as a defence against the application of the doctrine of promissory estoppel rousingly. It is well agreed that the government is justified in exercising its powers but what should also be taken into consideration is the kind of effect any such policy change or exercise brings in on the parties who have acted on such promises.           

However, in the case of Union of India vs. Godfrey Phillips India Limited[17] a bench of three judges along with Justice Bhagwati delivered a judgment which held the government liable under promissory estoppel and reiterated the judgement given in M.P Sugar mills case and established it as the correct law under the doctrine of promissory estoppel thus overruling the previous conflicting judgements delivered.

 Though the Supreme Court has played a significant role in the application of this doctrine, there is a sort of restrictiveness that is evident in its overall application. But looking at the bright side, the Indian judiciary can be appreciated for having given certain wonderful judgements (for example- M.P. Sugar Mills Ltd. v. State of Uttar Pradesh) which have clearly held the government liable for its breach of promises thus establishing a sense of justice and fair play at large leading to protection of the citizens by the law in the coming years.

Endnotes

[1]  Blackstone: Commentaries on English Law, 4th edition, Eastern Book Company.

[2] Jay. M. Feinman, “Promissory Estoppel and Judicial Method”, 97 Harv. L. Rev. 678

[3]   (1877) 2 A.C. 439.

[4] Supra note 3.

[5] Central London Property Trust Ltd v High Trees House Ltd [1947] KB 130.

[6] Supra note 6

[7] (1880) I.L.R. 5 Cal.670.

[8] (1952) S.C.R. 43.

[9] A.I.R 1968 S.C 718.

[10] M.P. Sugar Mills Ltd. V. State of Uttar Pradesh, 1979 SCR (2) 641

[11] (1973) 2 SCC 713

[12] (1971) 2 SCC 361.

[13] Supra note 10

[14] R.K. Deka v. Union of India, A.I.R. 1984 Del.

[15] A.I.R. 1980 S.C. 768

[16] A.I.R. 1987 S.C. 142

[17] A.I.R. 1986 S.C. 806


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Legal Developments in Indian Telecom Sector

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This article has been written by Uma Shankar Mishra.

Introduction

The Indian telecom sector has come a long way since 1991 from the Monopoly of state-run BSNL, MTNL to the launch of Reliance -Jio Infocomm in the year 2016. Within a year of the launch of JIO Data prices have gone down drastically Its Tariff – plans and Predatory pricing led to a Domino effect of Mergers among the companies

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Vodafone – Idea merger

One of the prominent mergers which occurred as part of a major consolidation was that of between Vodafone Plc. and Idea Cellular limited, Bharati Airtel Limited and Tata Docomo where Tatas gave the company to Airtel for a negligible amount. It also led to the closure of other major telecoms such as Reliance Communication and Aircel. Among these various transactions the most important event was the Formation of Vodafone – Idea limited and it became the largest player by Market share. However, its financial position deteriorated after the merger from a stock price of Rs. 60 per share it has now crashed to Rs. 5.60 per share. The merger which was undertaken to solve the problem has further aggravated the problem and has the potential to affect the Indian Telecom Industry. The problem lied in the assumption that merger leads to synergy. This assumption cannot work always. As Vodafone and Idea were Competitors for about 20 years, each of them had towers and other equipment’s in the vicinity. Therefore, it is taking time, effort and cost for the merged entity to look for synergies i.e. for de-duplication and redeployment of the equipment, segregating equipment’s of different manufacturers which is taking a toll on its performance and subscribers are migrating to Rival telecom providers. The situation is like that of a vicious cycle of debt i.e. to fund operating losses the promoter company takes debt which leads to interest outgo, to fund the interest outgo it takes further debt which leads to more debt[1]

The most important aim of a merger between two companies is cost-cutting due to synergy in the operations which as of now has not been achieved by the merger. Instead, the company has been losing market share and has plunged into crisis. While Airtel which was under stress of heavy debt was able to make a comeback due to its Consumer Focussed initiatives the Merger blues and Network – Integration issues. While the Rights issue by the Promoters to Raise   Rs25,000 crore may provide some stability but is not enough to suit the needs of the sector. The Company which viewed the merger as an attempt to save the promoters from Financial onslaught but now itself is reeling under Huge Debt burden. The merger was agreed between the two companies due to the Reliance Jio’s arrival as well as their inherit strengths of the network in India as Vodafone was primarily strong in Urban areas and Idea Cellular strong in Rural Markets[2] which at least in theory would have been a strong player to reckon with. The actual scenario is quite different as both the Telecos suffer from Human Resource integration issues as Vodafone being a Multinational Corporation had a work -culture different from Idea cellular which was Conservative in its spending which causes Friction among the employees and further hampers performance and profitability[3]

But why would an average Consumer in general worry about a telecom Company in the sector. It is due the fact that the Company has a debt of around 1.2 lakh crore majority of which are spectrum liabilities to Union Government and around 15,000 jobs. If the Company fails the sector would be reduced to a Duopoly (As BSNL and MTNL have negligible Market Share) which could lead to an escalation of tariffs and burden on an average consumer which has become more dependent on Consumption of Mobile data after 2016. Moreover, the closure of Vodafone Idea limited would lead to a Domino effect of closure of allied jobs and discourage foreign investment which is urgently required to Jump start the economy affected by slowdown.

Merger between Bharati Airtel limited and  Tata teleservices limited

Another issue which is of great concern came to light during the acquisition of Tata – Docomo by Bharati Airtel Ltd. Though the Parties first made Public their merger in October 2017 and Tata’s agreed to give the mobile telephony business  to Airtel in a Debt- free Cash – free merger, it came into force only on July 2019, by the time most of the Docomo subscribers had exited the telecom and Airtel lost a Chunk Of subscribers who would virtually have been part Of its network . Though the Scheme of arrangement for merger was sanctioned by NCLT Ahmedabad bench(Ahmedabad being registered office of Idea cellular limited)  in January 2018 , the merger was effective only from August 31, 2018 The delay primarily arose due to demand of  Rs.8,00,00,000  from airtel by DoT (Department Of  Telecommunication) as one time spectrum charges(OTSC)  as a precursor to merger[4]. The Telecom Dispute Settlement and Appellate Tribunal ruled in favour of Airtel waiving off the demand of OTSC from Department Of telecommunication. The DoT has still not approved the deal and may challenge the order in the Supreme Court.  The Telecos are already reeling under high debt and imposing further charges on them would derail the telecom sector. The Telecom regulator TRAI and Department of Telecommunication (DoT) should exercise restraint and not be eager to bridge the revenue shortfall by meeting their Tax – collection targets.

Participation of Huawei in Indian 5 G Infrastructure

Another issue which is causing debate among the various stakeholders of the telecommunication industry is about the Fate of Chinese Telecom Gear makers Huawei and ZTE. Though the US has urged its allies to stop using their equipment’s and even banned them in its territory, India cannot afford to do it because of financial and diplomatic implications. The cost -escalation which occurs due to the ban on Huawei and ZTE from Indian 5G gear Market could raise cost by 15- 20% in an already stressed industry marked by debts and Closures. We also need to be aware of the fact that out of three major telecom  Only Vodafone Idea  and Airtel use Huawei equipment’s whereas JIO sources only  from Samsung[5] which means that in an event of a Ban the Major losers would be struggling telecoms  Vodafone Idea Limited and Bharti Airtel Limited and the Biggest gainer would be Reliance Jio Infocom and would give Jio further leeway and an added competitive advantage which does not augur well for the sector as a whole. With – respect to an escalation in costs, the telecos would have no choice due to their stressed Financial situation but to pass of it as tariff to consumers which could be avoided by permitting Huawei and ZTE. India also runs a Risk of alienating Chinese Investments due to banning of Huawei and other Chinese gear Makers as it is one of the Largest Investors in Country and as opposed to the US has invested in Labour – Intensive industries of manufacturing of electronic items such as Mobile phones, Television Etc. It is also a fact that India is Heavily reliant on China for Its Goods and there exists a trade – deficit between them amounting to  57.4 billion dollars.

The Chinese Threat Of putting reverse sanctions on Indian Companies operating Out of China cannot in an event of ban on Huawei cannot be ruled out[6] Though Officials at Various levels of US government have categorically stated that the United States has given this advice only to protect allies and friends from subsequent security risk due to adoption of Huawei’s Technology . The pertinent question which arises here is Whether security Risks can be eliminated due to the banning of Huawei. Can we be sure that there won’t be any security Risk arising from Equipment of other 5 G gear makers and manufacturers?  There is no clarity on this matter that other gear makers would not indulge in activities which we are accusing Huawei of. Therefore, we should allow Huawei and other Chinese makers to take part in building India’s 5G infrastructure by keeping appropriate Checks and Inspections. It would be beneficial for India if Huawei signs a No – Spy agreement with Indian Government as well as telecom service providers such as Airtel and Vodafone Idea which can act as a safeguard against any future attempt related to data – sharing which could compromise National Security. Bharati Airtel Chairman Sunil Bharati Mittal speaking at World Economic Forum at New Delhi has made a Comparison among Nokia, Ericsson and Huawei’s 4G equipment and has stated that the efficiency and affordability of Huawei equipments is far more superior to Nokia as well as Ericsson[7] and he can make a genuine decision as his company uses all the three equipment’s.

Conclusion

The Telecom industry apart from having an economic advantage also has a social obligation. In an era of Digital India where the government wants to take internet to the remote village of our Country, the government is examining the proposal to shut down state – Run BSNL and MTNL terming them as Sick PSU” s. These were the same PSU’s which we’re giving it a dividend of about Rs.5,00,000 Crores. It was due to utter – mismanagement of BSNL i.e. not providing 4G airwaves on time, political interference in decision making which have caused the Financial troubles at BSNL and MTNL. The private enterprises look for-profit and therefore would not cater to the village or ensure landline as well as mobile telephony services to remote corners to Country. Therefore, the government should continue its presence in a strategically important sector for Economic as well as internal security. It could restructure liabilities of BSNL, sell the surplus land which is available with them, pursue a VRS scheme where most of the employees above 50 could retire which will help the BSNL to lessen its salary bill which today accounts for 60% of its expenditure. It should also ask the government to Compensate it for serving the far-flung and remotest corners of the country where other operators are not interested to go due to the lack of profits.

The Indian telecom sector is going through a bad phase first time after the telecommunication sector was liberalised, which had the main objective to increase the competition leading to a decrease in prices. The fact is that exactly opposite to  what  outlined in the policy there is now lesser competition and exit of both private sector, as well as public sector operators, would lead to more harm than good of consumers in long run as history has been witness of the fact that monopoly or to an extent Duopoly will lead to erosion of profits of consumers. The Government should not solely look at revenues from Taxes as a way to enhance its coffers. It should look at the Financial health of the sector. It is a fact that the Union government is earning Crores of rupees as a spectrum charge from the Teleco’s. Hounding of Teleco’s for the purpose of earning taxes may lead to Collapse of Company itself which will lead to fewer Competitors’ fewer bids at Spectrum auction Ultimately leading to loss of Spectrum Charges as the Remaining will not bid for the Spectrum as aggressively, they used to bid when there was no Competition. The downfall of BSNL, MTNL and Air India was due to the attitude of the government treating them as a cash cow for revenues and not maintaining or taking care of overall health of the sector, the result is for every one of us to see. These public sector Companies are saddled with huge debts and the government is forced to either shut down these companies taking into account VRS and other requirements related to closure or forced to take large haircuts of debts in order to make the company attractive for a private investor. There is a chance of the same thing happening to the telecom sector if the government does not take steps to address the liquidity crunch in the telecommunication sector and suggest remedies. The government will be the sole loser if spectrum auctions yield less revenue in future than they used to in pasts as it is only the government which had not taken care earlier.

Endnotes

[1] https://prime.economictimes.indiatimes.com/news/70986022/media-and-communications/a-merger-without-a-plan-wasnt-a-good-idea-for-vodafone-heres-a-to-do-list-for-course-correction-

[2] https://economictimes.indiatimes.com/industry/telecom/telecom-news/vodafone-idea-focusing-on-merging-networks-to-offer-superior-4g-volte-in-india-km-birla/articleshow/66360218.cms

[3] https://telecom.economictimes.indiatimes.com/news/vodafone-ideas-biggest-challenge-culture-difference-and-managing-employee-moral-amid-huge-job-losses/69548135

[4] https://economictimes.indiatimes.com/industry/telecom/telecom-news/bharti-airtel-tata-tele-say-merger-complete-dot-yet-to-formally-clear/articleshow/70030734.cms?from=mdr

[5] https://economictimes.indiatimes.com/industry/telecom/telecom-news/got-enough-4g-equipment-for-a-year-says-huawei/articleshow/69420467.cms?from=mdr

[6] https://globalriskinsights.com/2019/09/china-subdue-possible-indian-ban-huawei/

[7] https://economictimes.indiatimes.com/industry/telecom/telecom-news/bharti-chairman-sunil-mittal-says-india-should-allow-huawei-in-5g/articleshow/71421798.cms


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Multidimensional Approach to Data Protection Laws in India, Loopholes and Solutions

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This article is written by Deep Kumar Mohanty, a Third-year student from University Law College, Utkal University, Bhubaneswar.

Introduction

In recent times there is an unending occurrence of cybercrimes throughout the globe. The pilfering and sale of stolen data is happening transversely continents where physical territories façade no restraint or appear non-existent in this technological era. It is pertinent to note that India being the biggest mass of outsourced data might become the centre of cyber crimes as there is no express legislation for data protection in India.

Meaning of Data Protection

Data protection refers to the safeguarding of sensitive information from falling into the wrong hands in order to prevent corruption and nepotism. Sensitive information protection is based on 3 important functions such as a) controlling physical and logical access to sensitive information  b) Individual accountability of that sensitive information and identification of people who have access to it c) audit trails both physical and logical of who accessed the sensitive information i.e. who, when, how, what and why. [1]

Jurisprudential Dimensions of Data Protection

Data sharing is an intrinsic part of the right to privacy. Personal data such as birth date, financial capabilities, health are all included within the ambit of privacy. Privacy is a human right enjoyed by every human being which may extend to bodily integrity, personal autonomy, informational self-determination, protection from state surveillance, dignity, confidentiality, compelled speech and freedom to dissent or move or think.  The right of privacy is the right to be free from unwarranted publicity, to live a life of seclusion, and to live without unwarranted interference by the public in matters with which the public is not necessarily concerned. [2]The Semayne’s Case (1604)[3] relates to the entry into a property by the Sheriff of London in order to execute a valid writ wherein Sir Edward Coke, while recognising a man’s right to privacy famously said that “the house of everyone is to him as his castle and fortress, as well for his defence against injury and violence, as for his repose”. The concept of privacy further developed in England in the 19th century and has been well established in today’s world. In case of Campbell v. MGN[4], the court held that if “there is an intrusion in a situation where a person can reasonably expect his privacy to be respected, that intrusion will be capable of giving rise to liability unless the intrusion can be justified”.

International Conventions and Reports

  1. Article 12 of the Universal Declaration of Human Rights states, “No one shall be subjected to arbitrary interference with his privacy, family, home or correspondence, nor to attacks upon his honour and reputation. Everyone has the right to the protection of the law against such interference or attacks.”
  2. Article 17 of the International Covenant on Civil and Political Rights states that “No one shall be subjected to arbitrary or unlawful interference with his privacy, family, home or correspondence, nor to unlawful attacks on his honour and reputation.”  Everyone has the right to the protection of the law against such interference or attacks.
  3. Article 16 of the UNCRC states that” No child shall be subjected to arbitrary or unlawful interference with his or her privacy, family, or correspondence, nor to unlawful attacks on his or her honour and reputation. The child has the right to the protection of the law against such interference or attacks.
  4. The gathering and holding of personal information on computers, data banks, and other devices, whether by public authorities or private individuals or bodies, must be regulated by law. Every individual should have the right to ascertain in an intelligible form, whether, and if so, what personal data is stored in automatic data files, and for what purposes. Every individual should also be able to ascertain which public authorities or private individuals or bodies control or may control their files. If such files have been collected or processed contrary to the provisions of the law, every individual should have the right to request rectification or elimination.[5]

Indian Jurisprudence on Privacy of Data

The Hon’ble Supreme Court in the case of K. S. Puttaswamy (Retd.) v Union of India[6] , in which case the ‘Aadhaar Card Scheme’ was challenged on the ground that collecting and compiling the demographic and biometric data of the residents of the country to be used for various purposes is in breach of the fundamental right to privacy embodied in Article 21 of the Constitution of India. The Hon’ble Supreme Court by its decision pronounced on August 24, 201711 unanimously held as under: –

  • M P Sharma[7] decision which mandates that the right to privacy is not protected by the Constitution stands over-ruled;
  • The decision in Kharak Singh[8] to the extent which states that the right to privacy is not protected by the Constitution stands over-ruled;
  • The right to privacy is protected as an intrinsic part of the right to life and personal liberty under Article 21 and as a part of the freedoms guaranteed by Part III of the Constitution.
  • Privacy is a constitutionally protected right which emerges primarily from the guarantee of life and personal liberty in Article 21 of the Constitution. Elements of privacy also arise in varying contexts from the other facets of freedom and dignity recognised and guaranteed by the fundamental rights contained in Part III.
  • Privacy includes at its core the preservation of personal intimacies, the sanctity of family life, marriage, procreation, the home and sexual orientation. Privacy also connotes a right to be left alone. Privacy safeguards individual autonomy and recognises the ability of the individual to control vital aspects of his or her life. Personal choices governing a way of life are intrinsic to privacy. Privacy protects heterogeneity and recognises the plurality and diversity of our culture. While the legitimate expectation of privacy may vary from the intimate zone to the private zone and from the private to the public arenas, it is important to underscore that privacy is not lost or surrendered merely because the individual is in a public place.
  • As per Article 21, an invasion of privacy must be justified on the basis of a law which stipulates a procedure which is fair, just and reasonable. An invasion of life or personal liberty must meet the three-fold requirement of (i) legality, which postulates the existence of law; (ii) need, defined in terms of a legitimate state aim; and (iii) proportionality which ensures a rational nexus between the objects and the means adopted to achieve them.

Various legislative enactments in India do not confer protection of all types of data

Information and Technology Act

  1. Section 43A of the IT Act mandates that where a body corporate possessing, dealing or handling any sensitive personal data or information[9] in a computer resource which it owns, controls or operates, is negligent in implementing and maintaining reasonable security practices and procedures[10] thereby causing wrongful loss or wrongful gain to any person, such body corporate shall be liable to pay damages by way of compensation, which shall not exceed a sum of INR 5,00,00,000 (Rupees Five Crore).
  2. Section 66 C deals with identity theft and states that whoever, fraudulently or dishonestly makes use of the electronic signature, password or any other unique identification feature of any other person, shall be punished with imprisonment for a term which may extend up to three years and shall also be liable to a fine of up to INR 1,00,000
  3. Section 72 requires that any person who has secured access to any electronic record, book, register, correspondence, information, document or other material without the consent of the person concerned and thereafter, discloses such electronic record, book, register, correspondence, information, document or other material to any other person shall be punished with imprisonment for a term which may extend to two years, or with fine which may extend to INR 1,00,000 (Rupees One Lakh) , or with both. 
  4. Section 72A mandates, any person, including an intermediary [11]who, while providing services under the terms of a lawful contract, has secured access to any material containing personal information.

Loopholes

  1. The IT Act does not contain a definition of a data breach.
  2. The provisions of the IT Act only deal with the collection and distribution of information by a ‘body corporate’.
  3. IT Act does not include the overarching stipulation that interception can only transpire in the case of public emergency or in cases involving public safety. Additionally, section 69 of the IT Act mandates that any person or intermediary who fails to assist the specified agency with the interception, monitoring, decryption or provision of information stored in a computer resource shall be punished with an imprisonment for a term which may extend to seven years, and shall be liable for a fine.
  4. The term “consent” has not been defined under the IT Act.

The Rules and provisions of the IT Act principally sought to shelter ‘personal information’ and ‘sensitive personal data or information’, i.e. the information related to (i) password; (ii) financial information such as bank account or credit card or debit card or other payment instrument details; (iii) physical, physiological and mental health condition; (iv) sexual orientation; (v) medical records and history; and (vi) biometric information. However, the information which is freely accessible in the public domain is not considered within the ambit of ‘sensitive personal data or information’.

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Aadhar Act, 2016

  1. Biometric information means photograph, fingerprint, iris scan, or such other biological attributes of an individual as may be specified by regulations.[12]
  2. Core biometric information means fingerprint, Iris scan, or such other biological attribute of an individual as may be specified by regulations.[13]
  3. Demographic information includes information relating to the name, date of birth, address and other relevant information of an individual, as may be specified by regulations for the purpose of issuing an Aadhaar number, but shall not include race, religion, caste, tribe, ethnicity, language, records of entitlement, income or medical history.[14]
  4. The Authority shall ensure the security of identity information and authentication records of individuals.[15]
  5. No court shall take cognizance of any offence punishable under this Act, save on a complaint made by the Authority or any officer or person authorised by it.[16]

Loopholes

  1. Section 28 of the Act says that the Authority shall ensure the security of identity information and authentication records of individuals. Section 2(e) of the Act defined ‘authority’ which refers to the Unique Identification Authority of India established under sub-section (1) of Section 11 of the Act. It is to be noted that Section 139AA of the Income Tax Act, 1961 provides for the linking of Aadhaar to PAN. The provision was challenged in the Supreme Court and was subsequently upheld by a Hon’ble Division Bench of Justices A.K. Sikri and Ashok Bhusan in Binoy Viswam Case[17]. However, when Aadhaar is linked, the data which were collected by the UIDAI would be shared with the Income Tax Authorities. But, the Income Tax Act doesn’t provide for any designation or any authority for the purpose of protection of that information and data. Therefore, a major loophole remains in the decision.
  2. Section 33(1) of the Act says that disclosure of information including identity information or authentication records may be made pursuant to an order of a court not inferior to that of a District Judge and further says that no order by the Court may be made under the sub-section shall be made without giving an opportunity of hearing to the UIDAI. However, it doesn’t provide for an opportunity of hearing to the data principal, which against the principles of natural justice and in contravention of observation of the Hon’ble Apex Court in Puttaswamy’s Constitutional Morality requires a Government not to act in a manner which would become violative of rule of law and not giving opportunity to the affected party is against the notion of rule of law. Hence, it is against constitutional morality.
  3. As the centralised body for the storage and organization of information is Central Identities Data Repository (CIDR) there is an enormous possibility of data breach or piracy and once the centralised repository is hacked, it may lead to the breach of the personal data and information of millions of people.
  4. As per Section 47(1), a court can take cognizance of an offence punishable under the Act only if a complaint is given by UIDAI or any officer or any other person authorised by it. Section 47 of the Act is arbitrary, irrational and illogical as it doesn’t provide a method to individuals to seek effectual remedies for violation of their right to privacy. Thus, it can be safely said that section 47 violates the rights of citizens to seek remedies in case of violation of their fundamental rights.
  5. It is a fundamental principle that ownership of an individual’s data must at all times vest with the individual. But it is pertinent to note that the proviso to Section 28(5)[18] of the Aadhaar Act, disallows individual access to the biometric information that forms the core of his or her unique ID and thereby violates this fundamental principle.
  6. As per Section 23(2)(s)[19] UIDAI which is administering the Aadhaar project is also accountable for establishing a grievance redressal mechanism in order to address grievances arising from Aadhar thereby massively compromising the independence of the grievance redressal body.

Section 29(4)[20] is too broad as it renders wide discretionary power to UIDAI to display, publish or post core biometric information of any person for purposes specified by the regulations.

Non Compliance of the mandates laid down by the Supreme Court in the Aadhar Amendment Act 2019

  1. The Supreme Court in the Aadhar Judgement[21] (Para 322) has held, “ No doubt, the Government cannot take umbrage under the aforesaid provision to enlarge the scope of subsidies, services and benefits. ‘Benefits’ should be such which are in the nature of welfare schemes for which resources are to be drawn from the Consolidated Fund of India. Therefore actions by CBSE, NEET, JEE and UGC requirements for scholarship shall not be covered under Section 7 unless it is demonstrated that the expenditure is incurred from Consolidated Fund of India. We are of the opinion that the respondents shall not unreasonably expand the scope of ‘subsidies, services and benefits’ thereby widening the net of Aadhaar, where it is not permitted.” The court went on to elaborate that Sections 24 & 25 of the Aadhar Amendment Act 2019 mention about the utilize of Aadhaar by telecom service providers, banks and financial institutions for doing reporting functions under the Prevention of Money Laundering Act ( PMLA) which have no connection with subsidies, benefits, welfare or DBT. Merely making Aadhaar ( online or hard copy) as two out of four options in these sections, without mentioning the third one ( merely empowering the government to do so) and providing passport as the fourth one ( which a large majority do not possess) does not comply with the SC intent which primarily constrained use of Aadhaar to “ benefits” from the Consolidated Fund of India, as above restrictively defined.
  2. Section 57 of the original act states, “Nothing contained in this act shall prevent the use of Aadhaar for establishing the identity of an individual for any purpose whether by the State or any body, corporate or person.” In a lengthy discussion on the Aadhaar Judgment (paras 355 to 367), Section 57 was declared unconstitutional and struck down of being too wide. The re-embodiment of the same invalid 57 is available in 5(7) of 2019 amendment Act, where an alike provision, expressly overriding all other provisions, allows compulsory use of Aadhaar alone if Parliament by any law ( not yet specified) so provides. Sections 24 and 25 discussed above, additionally reflect a similar reincarnation.
  3. The Supreme Court in the Aadhar Judgement(Para 349), while upholding Section 33 which dealt with compulsory disclosure in interests of national security, altered the decision-maker from Joint Secretary to a higher level and considerably added, “ There has to be a higher ranking officer along with, preferably, a judicial officer.”

In the 2019 Aadhar Amendment Act though a Secretary level officer has been designated, no judicial element along with has been provided, thereby palpably violating the mandate laid by the Supreme Court.

Critical Analysis of Personal Data Protection Bill, 2018

It is pertinent to note here that there is no specific legislation for the protection of data in India. In 2006, the Personal Data Protection Bill, 2006 was introduced in the Rajya Sabha with a vision of providing protection to personal data and information of an individual collected for a particular purpose by an organisation and to prevent its usage by other organisations for commercial or other purposes. Subsequently in the wake of the decision of the Apex Court in Justice (Retd.) K.S. Puttaswamy v. Union of India (Right to Privacy matter), right to privacy being declared as a fundamental right, it was felt that it is essential to protect personal data as a facet of informational privacy. Hence, the Personal Data Protection Bill, 2018 was introduced in the Parliament with provisions covering aspects of protection of data. 

Loopholes

Though the bill provides a skeletal framework of a data protection law and attempts at covering some aspects of data protection yet it suffers from major loopholes.

1. Absence of guidelines for fair and reasonable data processing

As per the recommendations of Justice Srikrishna Committee courts of law and regulatory authorities should be allowed to develop principles of fair and reasonable data processing.  The Bill places the obligation on data fiduciaries to collect data in a fair and reasonable manner that respects the privacy of the individual but does not explicitly specify fair and reasonable manner of personal data processing which could result in fairness and reasonability principles to vary across fiduciaries processing similar types of data and fiduciaries in the same business may evolve and follow different standards.

2. Proposal for data localization is quite concerning

Data localization could cast an adverse impact on smaller data fiduciaries who resort to alternative cheaper storage mechanisms with compliance burden and raised costs and some of them may be dismayed from investing in India as a market because of extra costs arising from putting up duplicate servers as a result of which consumers may not have the choice of availing services of all data fiduciaries. In some cases where the data fiduciary is registered as an entity in a foreign country, law enforcement may not essentially be expedited. Furthermore, India needs to invest and enhance data centre infrastructure and grid capacity before mandating data localization.

3. Functions of the legislature for non-consensual processing of data is uncertain

Personal data may be processed if such processing is necessary for any function of Parliament or any State Legislature.[22] The Bill allows for processing of an individual’s personal data without their consent if it is necessary for any function of the Parliament or state legislature which is irrational and it is quite uncertain to predict about the possible requirement of the Parliament or State Legislature to access any personal data without the consent of the individual.

4. Certain types of data are exempted which may not satisfy test of proportionality

The State can process data for the purposes of (i) national security, (ii) prevention, investigation and prosecution of violations of law, (iii) legal proceedings, (iv) personal or domestic purposes, and (v) research and journalistic purposes.  A vital question is whether all exceptions provide in the Bill are justified. The Supreme Court, in Puttaswamy vs Union of India, allowed exceptions to the right to privacy of an individual only in cases where a larger public purpose backed by law is satisfied by the infringement of privacy of an individual and highlighted that the exemption must be necessary for and proportionate to achieving the purpose. Thus it is apparent that an exception for national security, pursuant to a law, may be justified.   But, it is uncertain if exceptions for legal proceedings, or for research and journalistic purposes meet the requisites of necessity and proportionality.

5. Data processing for providing all services of the state without consent  is unjustified

Personal data may be processed if such processing is necessary for the exercise of any function of the State authorised by law for (a) the provision of any service or benefit to the data principal from the State; or (b) the issuance of any certification, license or permit for any action or activity of the data principal by the State.[23]  The recommendations of Sri Krishna Committee cite that only those government entities which are exercising functions directly related to the provision of welfare should be allowed non-consensual processing of data and acknowledges that non-consensual processing by government entities for all types of public functions may be too broad to an exception to consent.  But the Bill utterly disregards the recommendation and allows non-consensual data processing for all services of the State.

6. A complaint may be filed only  in case of possibility of harm

A data principal may raise a grievance in case of a violation of any of the provisions of this Act, or rules prescribed, or regulations specified thereunder, which has caused or is likely to cause harm to such data principal, to— (a) the data protection officer, in case of a significant data fiduciary; or (b) an officer designated for this purpose, in case of any other data fiduciary.[24] It is questionable as to why the sheer violation of the rights of the principal isn’t sufficient to file a complaint. Nothing contained in sub-section (1) shall render any such person liable to any punishment provided in this Act if she proves that the offence was committed without her knowledge or that she had exercised all due diligence to prevent the commission of such offence. [25] The data principal also has to exhibit and prove that harm has been caused to them as a result of unlawful data processing thereby placing an unnecessary burden on the data principal.

7. No stipulated time limit for reporting data breach

If we take into consideration notifications of data breaches the bill states that the data breach notifications are to be made by the data fiduciary to the Data Protection Authority For India(DPAI) “as soon as possible”, in case they pose potential “harm” to data principals.[26] However, there is ambiguity in this provision as it does not explicitly mention how soon and within what stipulated time the breach is to be notified.

8. Discretionary reporting of data breaches could result in clash of interests

The Bill states that the fiduciary shall inform the DPA in the event of a data breach (i.e., accidental or unauthorised use or disclosure of data) only if such a breach is likely to cause harm to any data principal.[27]  The question which remains unanswered is whether the fiduciary should have the discretion to determine whether a data breach needs to be reported to the DPA. From a plain reading, we can interpret that the fiduciary has the discretion to determine if the data breach has caused data principal any harm. This could result in choosy reporting of data breaches which will avoid the DPA from being loaded with a high volume of low-impact data breach reports on one hand and on the other also not make the fiduciary responsibilities of the duty reporting. Conversely, there may be a clash of interest while deciding whether a breach is to be reported, as the fiduciary is regulated by the DPA and cases of breaches and promptness of notification are evaluated  in independent data audits ordered by the DPA whose  results are summarised into a score, made public and influences the insight of a fiduciary’s trustworthiness.

9. Arrest, Detention, Attachment of Properties in the form of compensation can be made by DPA without court order

The Recovery Officer, per the orders of the Data Protection Authority, may conduct several enforcement actions against a person including (i) attachment and sale of the persons movable property; (ii) attachment of the persons bank accounts; (iii) attachment and sale of the persons immovable property; (iv) arrest and detention of the person in prison; (v) appointing a receiver for the management of the persons movable and immovable properties.[28] The Bill vests unfettered power to the Recovery Officer to act in pursuance of the orders of the Data Protection Authority and do not stipulate approval of a court order for the above enforcement actions unlike the RBI[29] or the IRDA.[30]

10. The definitions of ‘Serving copy’ and ‘Critical personal data’ are not provided

It is uncertain what is meant by a ‘serving copy’ of data.  It might be alive, an actual time reproduction of data on a server within India, or it might be a backup at a particular frequency. The exclusive definition needs to be provided, as expenses, implications and execution timelines for fiduciaries would differ substantially with the exact nature of a ‘serving copy’.  Furthermore, what covers the ambit of ‘critical personal data’ needs to be explicitly mentioned, as it is an indispensable prerequisite for fiduciaries to prepare for storing this data solely in India.

Comparative Study of the European Union’s General Data Protection Regulation (GDPR) and the Personal Data Protection Bill, 2018

  1. However Section 27(1) which says that the data principal shall have the right to restrict or prevent continuing disclosure of personal data by a data fiduciary related to the data principal where such disclosure (a) has served the purpose for which it was made or is no longer necessary; (b) was made on the basis of consent. The major difference is that in India, a citizen has not been warranted the right to demand his/her data to be erased. Data reassure, which is an article in itself in GDPR does not even find a mention in the Indian draft bill.

  2. Sharing of source of personal data to data principal
    The data fiduciary does not need to share the source of the personal data to the data principal in case the data has not been collected from him/her as per PDPB which is an explicit requirement in GDPR.
  3. As per the Personal Data Protection Bill notifications of data breaches are to be made by the data fiduciary to the Data Protection Authority For India(DPAI) “as soon as possible”, in case they pose potential “harm” to data principals but does not explicitly mention how soon and within what stipulated time the breach is to be notified in contrast to GDPR which has a time limit of 72 hours.
  4. Breach notification to data subject is required in GDPR whereas in PDPB it depends upon discretion of DPA
    In case of a breach, there’s no requirement by Indian draft bill to share it with the data principal; rather, the data protection authority shall determine whether such breach should be reported to the data principal. This is also in contrast to GDPR provisions.
  5. Accountability
    GDPR places more emphasis on explicit accountability for data protection thereby putting a straight responsibility on companies to prove that they comply with the principles of the regulation, rather than the hands-off approach of the Data Protection Act which means firms will have to perform mandatory activities such as staff training, internal data audits and keeping detailed documentation if they wish to avoid falling foul of the GDPR rules.
  6. GDPR explicitly requires data principal to be provided a copy of data processing whereas PDPB vaguely mentions summary of data to be provided
    GDPR requires that the data subject (data principal) is provided with a copy of data undergoing processing. The Indian legislation mandates a summary of that data to be shared, with no definition of what that summary is.
  7. Obligation on data fiduciary
    There is no obligation on data fiduciary in the Bill to share with the data principal for how much time period the data will be stored while collecting or at any time, as GDPR mandates.
  8. The Data Protection Bill does not mandate the data fiduciary to allocate the names and categories of other recipients of the personal data with the data principal, unlike GDPR.
  9. Consent policies
    Under the PDPB data compilation does not essentially mandate an opt-in but under GDPR apparent privacy notices are provided to consumers, allowing them to make a well-versed decision on whether they should consent to allow their data to be stored and used and the consent can be withdrawn at any time.

Recommendations

  • The PDPB should exclusively mention rules and guidelines for the fair and reasonable principles of data processing by data fiduciaries because the provisions of Section 4 of the Bill mandates that the data fiduciary should collect data in a logical and fair method.
  • The Data Protection bill should authorize the Data Protection Authority to declare templates for an assortment of consent, and the required businesses should comply with these templates.
  • The mention of incidental purposes and the ambiguous language of Section 5(2) of the Bill should be abrogated in order to avoid misinterpretation.
  • Section 32 of the Personal Data Protection Bill should incorporate a specific time limit to report the breach of data by the data fiduciary to the data processor instead of using a vague term like as soon as possible.
  • The provisions of Section 13 are very wide and there is a possibility that this provision might be arbitrarily used under the blanket of state functions and therefore this provision must define in a more elaborate and detailed manner the realm of necessary data.
  • Data fiduciaries might be required to supply information about any data breaches on their website to ensure transparency.
  • Insertion of a qualified right to erasure in the Bill as mandated in the GDPR will be of significant importance to the privacy rights of the people.
  • In case there is a breach of data then in such a case the Data Protection Authority in order to maintain transparency could make the data protection impact estimation and data audits available publicly.
  • Though the bill prescribes broad principles, more work needs to be done in order to make consent work in practice.

Conclusion

Though the existing laws in India do not confer necessary data protection but India is on the way of drafting a legislative enactment for data protection. A deep insight into the above loopholes and further debates and discussions in the Parliament to provide necessary recommendations to eradicate the same would pave the way for creating a strong data protection law in India. 


Students of Lawsikho courses regularly produce writing assignments and work on practical exercises as a part of their coursework and develop themselves in real-life practical skill.

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Endnotes

[1]  W. Boni and G.L.Kovacich, Netspionage: Global Threat to Information, 147( 1st ed., 2000)

[2] Strutner v Dispatch Printing Co., 2 Ohio App. 3d 377 (Ohio Ct. App., Franklin County 1982).

[3] Peter Semayne v Richard Gresham, 77 ER 194.

[4] 2004 UKHL 22.

[5] UN Doc. HRI/GEN/1/Rev.9, General Comment No. 16: Article 17, para 10.

[6] (2015) 8 SCC 735.

[7] M. P. Sharma and Ors. v Satish Chandra, District Magistrate, Delhi and Ors 1954 SCR 1077

[8] Kharak Singh v State of Uttar Pradesh and Ors, (1964) 1 SCR 334

[9] The term “sensitive personal data or information” of a person is defined to mean such personal information which consists of information relating to— (i) password; (ii) financial information such as Bank account or credit card or debit card or other payment instrument details; (iii) physical, physiological and mental health condition; (iv) sexual orientation; (v) medical records and history; (vi) biometric information; (vii) any detail relating to the above clauses as provided to body corporate for providing service; and (viii) any of the information received under above clauses by body corporate for processing, stored or processed under lawful contract or otherwise: provided that, any information that is freely available or accessible in public domain or furnished under the Right to Information Act, 2005 or any other law for the time being in force shall not be regarded as sensitive personal data or information for the purposes of these regulations.

[10] The term “reasonable security practices and procedures” has been defined to mean security practices and procedures designed to protect such information from unauthorised access, damage, use, modification, disclosure or impairment, as may be specified in an agreement between the parties or as may be specified in any law for the time being in force and in the absence of such agreement or any law, such reasonable security practices and procedures, as may be prescribed by the Central Government in consultation with such professional bodies or associations as it may deem fit.

[11] The term “intermediary” with respect to any particular electronic records, has been defined to mean any person who on behalf of another person receives, stores or transmits that record or provides any service with respect to that record and includes telecom service providers, network service providers, internet service providers, web hosting service providers, search engines, online payment sites, online auction sites, online market places and cyber cafes.

[12] S.2(g), The Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016

[13] S.2(j), The Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016

[14] S.2(k), The Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016

[15] S.28, The Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016

[16] S.47, The Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016

[17] Binoy Viswam v. Union of India and Ors (2017)7 SCC 59

[18] Notwithstanding anything contained in any other law for the time being in force, and save as otherwise provided in this Act, the Authority or any of its officers or other employees or any agency that maintains the Central Identities Data Repository shall not, whether during his service or thereafter, reveal any information stored in the Central Identities Data Repository or authentication record to anyone: Provided that an Aadhaar number holder may request the Authority to provide access to his identity information excluding his core biometric information in such manner as may be specified by regulations.

[19]  Section 23(2)(s) states, ”Without prejudice to sub-section (1), the powers and functions of the Authority, inter alia, include— (s) setting up facilitation centres and grievance redressal mechanism for redressal of grievances of individuals, Registrars, enrolling agencies and other service providers;”

[20] Section 29(4) states that”No Aadhaar number or core biometric information collected or created under this Act in respect of an Aadhaar number holder shall be published, displayed or posted publicly, except for the purposes as may be specified by regulations.”

[21] K.S. Puttaswamy v. Union of India

[22] S.13(1), Personal Data Protection Bill 2018

[23] S.13(2), Personal Data Protection Bill, 2018

[24] S.39(2), The Personal Data Protection Bill, 2018

[25] S.96(2), The Personal Data Protection Bill, 2018

[26] S.32(3), The Personal Data Protection Bill, 2018

[27] Ibid

[28] S.78, The Personal Data Protection Bill, 2018

[29] Reserve Bank of India

[30] Insurance Regulatory and Development Authority

The post Multidimensional Approach to Data Protection Laws in India, Loopholes and Solutions appeared first on iPleaders.

Blog Competition Winner Announcement – 2nd week of October

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So today is the day! We are finally announcing the winner of our Blog Writing Competition of 2nd week of October 2019 (From 7th October 2019 To 13th October 2019) 

We’d like to say a big thanks to everyone for participating! It has been a great pleasure receiving your articles on a different legal topic, they were all amazing! 

And now we’d like to congratulate our top 5 contestants who become the undoubted winners. Their entries (see below) received marks ranging from 7 to 9 out of 10 based on the average marks given by the panel of editors, the most of any entrant, and has been crowned the winners. Each of them will get prize money of INR 2000.

S.no

Participants Name

About Participants

Name of the Selected Articles

1

Ojas Chitre

Pursuing a  Certificate Course in Trademark Licensing, Prosecution and Litigation from LawSikho.com.  

Patentability of Biotech Innovations in Light of Recent Monsanto and Naziveedu Dispute

 

2

Saloni Maheshwari and Surbhi Agrawal

Guest Post

Legal Backdrop of Prison Reforms

3

Deep Kumar Mohanty

Guest Post

Multidimensional Approach to Data Protection Laws in India, Loopholes and Solutions

4

Sonali Chauhan

Intern at LawSikho 

A Brief Guide to Special Marriage Act

5

Pearl Narang

Intern at LawSikho

Everything you must know about Legal Notice and its format

 

 

We also have winners who made the top 10. Their entries (see below) received marks ranging from 5 to 6 out of 10 based on the average marks given by the panel of editors,

S.no

Participants Name

About Participants

Name of the Selected Articles

6

Aakanksha Jadhav

Guest Post

Devolution of Interest in Coparcenary Property: Scope and Interpretation Post Amendment

 

7

Siddharth Pareek

Guest Post

Dynamics Of Transgression Of Women’s Human Rights: The Contemporary Legal Framework In India

 

8

Anjali Dixit

Guest Post

The Law on Anticipatory Bail: from ‘Sibbia’ to ‘Chidambaram’

9

Suryansh Verma

Guest Post

When can a victim be deemed as competent to give evidence: Legal Provisions and Judicial Pronouncements

10

Ritika Saxena 

Guest Post

A Case Study on Corporate Crimes in India

 

Click here to see all of the contest entries.

Our panel of judges, which included editors of iPleaders blog and LawSikho team, choose the winning entry based on how well it exemplified the entry requirements.

Congratulations all the participants!

Regards,

Team LawSikho.


Students of Lawsikho courses regularly produce writing assignments and work on practical exercises as a part of their coursework and develop themselves in real-life practical skill.

LawSikho has created a telegram group for exchanging legal knowledge, referrals and various opportunities. You can click on this link and join:

https://t.me/joinchat/J_0YrBa4IBSHdpuTfQO_sA

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Are the People Around you Stopping you from Growing?

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This article is written by Ramanuj Mukherjee, CEO, LawSikho.

I am going to talk about something that is very important, but kind of unpopular. You may not like what you read here onwards.

I started smoking by accident, thinking that I am just smoking a few and I will never get addicted. It started with the odd smoke after drinking. It felt amazing. I started smoking every time I drank alcohol. How did this happen? My college friends used to smoke and drink. Smoking and drinking was the way to party and have fun. I resisted it for one whole year. And then one day, just like that, I thought I will try it out. I learned that behavior. 

For 3 years, I smoked only when I drank, never otherwise. And I drank maybe once or twice a month. It wasn’t much to talk about.

Then I realized smoking with the morning tea feels great. 

How did this happen? 

In my fifth year, I started hanging out in the morning near the university gate with a bunch of friends, who all drank tea and had a smoke along with that. We did not have classes in the morning usually, the benefit of being in the senior year. So we chilled at a tea stall until class.

Smoking was a way to socialize and connect with people. Nobody said I had to, but it was a subtle influence. Smoking and drinking tea was an excuse to go and experience some human company and a bit of banter. That’s when I really began to get addicted to smoking.

Then came life in a law firm. The only respite from sitting at your desk for 14 hours a day was the smoke breaks with a view from the 13th floor of One Indiabulls in Lower Parel. Smoking was also an excuse for connecting and socializing with other lawyers. In the evenings, that would be drinking and smoking after office.

Pretty soon, I was smoking and drinking more than I ever did.

Then I was dating someone who smoked a lot. One of my flatmates went through a couple of packets every day. So now I began to smoke at home.  

Reinforced from all directions, smoking and drinking became a way of life for me. 

Later, when I dated people who didn’t smoke, I would naturally quit smoking for a while, or cut down drastically. The same happened with drinking as well. But if I dated anyone who smoked a lot, it immediately had a telling effect on my smoking habit. 

By the way, all through this time I quit smoking many a time. Sometimes I went without smoking for several months, only to fall prey to it again in some unsuspecting moment. 

Currently, I have been off smoking for almost a month. I gave in once and smoked a lot for one night around the 14-day mark, but has been completely off since then. I may have had 2-3 drinks in between as well. That must be the lowest in 10 years. I feel amazing and very healthy. My sleep has improved, so has overall health and energy. 

It helps a great deal that people around me mostly do not smoke or drink.

I finally feel in control with respect to smoking and drinking. I am no more helpless for giving in to the urges that drive me nuts. However, I doubt that this would have been possible without my environment being so drastically different than what it used to be once upon a time. 

In my current environment, if I smoke or drink, I am frowned upon, told off by several people and reminded of all the ill effects. Imagine how hard that makes to continuing self-harming activities. Binge drinking and smoking is neither normalized nor justified. 

Quitting smoking was one of the hardest things I have ever done. But I want to share a greater lesson than how to stay away from smoking or how to quit it. Now if I go to a party, I order a mocktail and not a hard drink.

I told you this long story to highlight one important lesson – that the people around you, people in your life, house, workplace, communities and society – have a great deal of say in how you live your life and who you get to be. 

If people do not accept your behavior, they will find you unbearable and will demand that you change. If you don’t, they would leave, retaliate, disassociate or just fade away. They will make it hard for you to be what you are being. They won’t live right next to you or put up with it.

Those who put up with you or encourage you, enable your behavior. They enable you to be who you are. Good and bad, both.

Just like the victim of an abusive person often stay and enable the abuser to continue being that way. 

If all people forcefully rejected one for being an abuser and did not tolerate or justify his behavior, it would be insanely difficult for him to not change.

But people do put up, and others even justify abusive actions and bullying, even publicly, and that is why there are so many abusive people and so many abused people in the world. 

What you are in life, where you are in life, and where you want to be but cannot reach, are all because of the people you are surrounded with. People around you vote for who you are, even if they crib about it.

Someone I used to date would tell me not to smoke every day, used to crib about my smoking a lot, and tried to ration how much I smoked. However, whenever she was distressed or experienced stress herself, she was the first one to smoke. You bet her persuasion of me to quit smoking didn’t work. She was voting for me to smoke when I was stressed or worried, which is exactly what I did. 

However, when the people in my life unequivocally rejected smoking, not only in words but their own behavior too, it was not possible for me to not smoke anymore, at all. 

Are you lazy? Then I bet that the people around you have accepted you to be lazy and work around it. You could not afford to be lazy if they didn’t support your laziness one way or the other. 

Are you amazing at photography? I bet people around you support, admire or at least accept this one way or the other. Even if they didn’t help you or push you to be that way, there is at least a passive vote by allowing you to be that way. 

Nonetheless, if you are going to be great at photography, and very successful as a photographer, you will need an environment that is not merely passively allowing you to be an OK photographer but actively pushing you towards that greatness, demanding that you become amazing at it.  

Why do tens of thousands of law students graduate from law colleges around India completely unprepared for the legal profession, with very little practical skills and expect people to give them work and teach them how to do their job while they are on the payroll?

It is a ridiculous expectation if you think about it, and a vast majority of them are getting terribly disappointed every year. And still the behavior and the expectation does not change. Why is that?

It is because the entire college system, from teachers to parents to classmates all reinforce that behavior and that entitled belief. 

As if it is fine to spend 5 years learning nothing but some sections and a few case laws in the name of legal education. As if getting lots of marks in the exam by memorizing class notes is going to set them up for a great career in law. What a joke!

But this notion exists in the world, in the mind of young law students, because the legal education system votes for this behavior, this mindset to exist. Many senior lawyers also like this situation. It allows for competition to stay in check! They do not want young law graduates to be super dynamic and smart, they do not want these young lawyers to be amazing at their work from the get-go. It is not good for their business.

So they dole out outdated, irrelevant advice which poor young lawyers follow blindly and find themselves in a ditch. 

If you are not doing very well in the legal profession, it is because you are part of the wrong tribe, people pursuing the wrong angle, engaging in unproductive behavior, or following the wrong advice and the wrong path.

You need to follow and associate with people who are doing something different, and seeing early success if you want to succeed early, and at a bigger scale, yourself. 

If you are not rich, it is because people around you reinforce beliefs and behavior that keep you that way.

If you do not exercise, overeat and drink too much, it is because people around you do so too, or encourage such behavior, or even identify as a group who engage in that kind of behavior. 

Hey, we are foodies! 

Hey, we are the party animals! 

We have a lot of fun and drink like a fish! 

We are potheads!

These things reinforce and teach people to behave in a certain way, as a part of a community.

If you saw your parents work out every morning as a kid, looking super hot in their 40s, would you not want to look as good or better in your 30s and 40s? I bet kids of parents who work out also tend to work out regularly and build great exercise and healthy habits early in life. 

If all your friends work out and look great, and you don’t, how would you feel to be the odd one out who is out of shape, tending towards obesity?

If people around you are rejecting all the time that you are smoking too much, complain about it and ask you to stop, you will either have to leave that environment altogether or consider stopping. That happened to me. Everyone around me was dead against me smoking, so it led to me finally being able to quit. I wanted to quit all along, but my environment and the people around me truly enabled me to do it. 

https://lawsikho.com/course/diploma-m-a-institutional-finance-investment-laws

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You cannot alter your life without altering your relationship with the people around you. Who are you? Who do you want to become? Are the people around you supportive of you changing your habits and behavior? 

I bet that you will find that they are not.

And that is when you need to find a different kind of tribe or people to associate with.

Have no doubts, whatever may be the life you are living, good or bad in your opinion, in the long term, it has been enabled and fostered by the people around you. Your parents, teachers, bosses, co-workers, friends, everyone plays a role in keeping it the way it is. They are the guardians of the status quo.

Even if they say they don’t want you to remain in the same place, even if they say that they want you to improve and reach greater heights, they are the ones enabling you to stay the way you are. They are all weighing in to keep you at the same place. They are not allowing you to slip away even further down, but they are preventing you from going upwards too.

A big part of success in life is being able to severe attachments with people who are keeping you where you are and replace them with people who help you to take the great leap forward, who are surging forward in their own life and will accept no less from you.

Please make no mistake about this if you are committed to personal and professional growth.

Do you want to grow in terms of your knowledge and skills of law by leaps and bounds? Do you want to grow the time you spend on becoming a better lawyer and surround yourself with people who have the same goal and teachers who would push you to become a better lawyer every single day? Do you want to earn drastically more from your law practice?

Try LawSikho. We are a tribe of lawyers and business people and are always learning, always growing and always demanding greatness from ourselves. 

If you love reading our emails and watching our YouTube channel or just following us on Instagram, you have no idea how much you will love to see your legal career transforming into what you always wanted to be, supported by the LawSikho community and tribe of lawyers committed to personal and professional growth. 

Do share this with your friends and encourage them to join us as well. You could tell them to download this book or this book for example. Of course, they are both free. When your environment changes as your friends become committed to growth, your life will change for the better, too.

If you do not want to abruptly stop getting our mails due to email delivery problems, please create a filter to ensure that our mail is delivered to your inbox every day. Here is how you can do that: Click

Here are the courses in which we are currently taking enrollments:

DIPLOMA

Diploma in M&A, Institutional Finance and Investment Laws (PE and VC transactions)

EXECUTIVE CERTIFICATE COURSES

Certificate Course in Legal Practice Development and Management

Certificate Course in Advanced Criminal Litigation & Trial Advocacy 

Certificate Course in Real Estate Laws

Certificate Course in Prevention of Sexual Harassment at the Workplace

Certificate Course in National Company Law Tribunal (NCLT) Litigation

LIBRARY

Litigation Library by LawSikho

Corporate Law Library by LawSikho

TEST PREPARATION

Judgment Writing and Drafting Course for Judicial Services


Students of Lawsikho courses regularly produce writing assignments and work on practical exercises as a part of their coursework and develop themselves in real-life practical skill.

LawSikho has created a telegram group for exchanging legal knowledge, referrals and various opportunities. You can click on this link and join:

https://t.me/joinchat/J_0YrBa4IBSHdpuTfQO_sA

Follow us on Instagram and subscribe to our YouTube channel for more amazing legal content.

 

The post Are the People Around you Stopping you from Growing? appeared first on iPleaders.

Comparaitive Analysis of IBC Vis-a-Vis other Developed Jurisdictions “How can we Improve”

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This article is written by N SANJIT KRISHNA, pursuing a Certificate Course in Insolvency and Bankruptcy Code from LawSikho.com. Here he discusses “Comparative Analysis of IBC Vis-a-Vis other Developed Jurisdictions “How can we Improve”.

Introduction

Enactment of Insolvency and Bankruptcy Code, 2016 (‘Code’) is one of the biggest revolutionary reform in the Indian economy. It has re-conceptualized the insolvency framework in India. With the passage of time the Code has turned out to be an effective and efficient yardstick to restructure the debt of the sick companies, to preserve the value of the assets of the debt struck companies, to continue the revival process of the sick companies while keeping them as a going concern and to administer the mounting level of the stressed assets and non-performing assets of our Indian ecosystem. The players of the Code are using this statute as a rearrangement tool to strike a balance between the debt and equity structure of the company which has gone imbalanced due to growing debts, lower creditworthiness and meagre performance of the assets of the company. At present, the Code deals with resolving the insolvency and bankruptcy issues of the Corporates and Limited Liability Partnerships whereas soon insolvency and bankruptcy pertaining to individuals and partnership firms will also come under its umbrella. Since its enforcement the Code has passed many litmus tests whether it be in the terms of identification of the role of its key stanchions, viz., Adjudicating Authority, insolvency professionals, Insolvency and Bankruptcy Board of India (‘Board’), etc., or categorization. of home buyers as financial creditors , constitutional validity of section 29A of the Code, role of committee of creditors in ensuring the timeliness of the Code, importance of authorised representative in safeguarding the interest and rights of class of creditors, importance of resolution over liquidation, etc.

As on 30th June 2019 the progress made under the insolvency regime is as follows : 

  • Out of 2162 cases admitted under corporate insolvency resolution process (‘CIRP’), 120 cases have stemmed into resolution, 475 cases landed into liquidation, 101 cases have been withdrawn under section 12 A of the Code, 174 cases are under appeal/review and remaining are still ongoing. (Source: IBBI Quarterly Newsletter | Apr-Jun, 2019)
  • Out of the total outstanding loans, financial creditors are able to recover 48.24 per cent of their admitted claims whereas operational creditors are able to recover 48.41 per cent of their admitted claims. Out of the first 88 cases that resulted in resolution, in 11 cases financial creditors have got 100 per cent recovery without zero haircut whereas in 6 cases operational creditors have got 100 per cent recovery. (Source: News Report from Financial Express dated 14th April 2019)
  • Out of the dirty dozen being sent by RBI under the Code, 6 cases have resulted in big-ticket takeovers through the resolution.

However, in spite of all of the accolades garnered by the Code, there are few grey areas that have to be addressed for the efficient implementation and to pep up for the introduction of the Insolvency process against Individuals and partnership firms.

Levels of the Adjudicating Authority

 

 

One of the oldest and the most efficient Jurisdiction in India is the Indian Taxation System. The 68-year-old law provides for numerous levels of the Statutory Authorities for the resolution of disputes and they are as follows:

  • Principle Chief Commissioner of Income Tax
  • Chief Commissioner of Income Tax
  • Principle Commissioner of Income Tax
  • Commissioner of Income Tax
  • Additional Commissioner of Income Tax
  • Deputy Commissioner of Income Tax
  • Joint Commissioner of Income Tax
  • Assistant  Commissioner of Income Tax
  • Income Tax Officer and
  • Tax Recovery Officers.

Additionally, there are numerous forums where the appeal can be preferred for faster resolution of disputes and such avoids the mushrooming of cases at a single level:

  • Commissioner of Income Tax Appeals
  • Income Tax Tribunal
  • Income Tax Appellate Tribunal
  • High Court and
  • Supreme Court

However, in the IBC, 2016 there are no separate statutory authority barring the IBBI and further, the appeals are limited to Two Levels of Authorities (NCLAT and Supreme Court). Though the Insolvency and Bankruptcy Code is in its nascent stages, a thought in the above-mentioned direction shall yield fruitful results.

Protection to the Resolution Professionals

 

 

Once the Resolution Professional is appointed they are charged with the complete responsibility of the Corporate Debtor, Managing the Operations, Safeguarding the assets, Collection and collation of the claims, Formulation of the Committee of Creditors and selection of the appropriate Resolution plan for the revival of the Corporate Debtor. Further, all of these activities should be completed in a time-bound manner so the CIRP process under the IBC, 2016 does not slip into the ways of the erstwhile laws. 

With so much responsibility to shoulder, the Resolution professional often face frequent threatening and flak from the erstwhile management and promoters of the Corporate Debtor. Further, false and misleading allegations are launched against the Resolution Professional to the IBBI to delay the proceedings under the IBC, 2016 and also to tarnish the image of the Resolution Professional. (Case in Point: Gee Ispat Pvt Ltd).

So a robust and swift mechanism must be established by IBBI to weed out faultless and baseless allegations made against the Resolution Professional so that CIRP can be carried forward with proper mental space to revive the Corporate Debtor.

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Capitalising on Information Technology

 

The Resolution professional must collect and verify the authenticity of the claims within a period of 7 days. Further, the IBC, 2016 imposes responsibility on the Resolution professional to identify the “PUFE Transaction” (Preferential, Undervalued, Fraudulent and Extortionate Credit Transactions) and reporting to the Adjudicating Authority.

As the scale of the Corporate Debtor increases, it shall be a burden on the RP to finish verification of claims and identification of the PUFE Transactions within the stipulated time limit unless the information technology, Data Analytics and Business Analytics are made use of to find out the outliers. 

Therefore, there is an inherent responsibility cast on IBBI to capitalize on the advancement of the information technology and create awareness among the Resolution Professionals to ease up the process of CIRP in a time-bound manner.

Case Law Handbook

 

 

The IBBI website provides an updated list of all of the cases ongoing at the NCLT, NCLAT and the Supreme Court Level. Further, a filter is also provided to extract only those cases which have been Admitted or Resolution Plan proposed or Liquidation order passed. There is no provision made to filter case laws based on specific section numbers or regulations of IBC. Additionally, IBBI can go a step ahead and create an advanced filter, which shall help to filter case laws based on keywords or a combination of keywords.

Uniformity of Judgements

 

 

The NCLT is the Adjudicating Authority as per IBC, and the order of the NCLT shall be binding on the Corporate Debtor, Resolution Professional, Financial creditors and all other stakeholders. However, to ensure faster resolution of disputes the NCLT has to stick to its Judgement given in other cases at different NCLT benches. One such illustration is as follows:

As per the provisions of IBC, the extension of the time limit can be sought under Section 12, whereby a single extension of not more than 90 days can be granted. This means that in a particular scenario where the resolution professional has applied for the extension for the time limit under the IBC, and the NCLT has granted extension by only say 45 days, the Resolution professional can no longer apply for any further extension. However, in the case of Forward Shoes India Private Limited (Corporate Debtor), second extension was granted for remaining period of 60 days as the first extension was provided for only 30 days by NCLT, Chennai whereas other NCLT benches have differed on other cases.

Lack of such uniformity shall make the proceedings under NCLT and NCLAT ambiguous as no proper reference to case laws can be made when arguing before the NCLT or NCLAT or the Supreme Court.

Establishment of CPE (Continuing Professional Education)

 

The ICAI (The Institute of Chartered Accountants of India) imposes a mandatory obligation on all of the qualified Chartered Accountants to attend specific hours of the CPE programmes organized to stay abreast with the happenings in the industry with respect to Management Consultancy, Forensic Audit, Statutory Audits and Tax Audits.

A similar framework can also be brought under the IBC, 2016 whereby all of the Resolution Professional shall be directed to compulsorily attend a stipulated hour of Continuing Professional Education (CPE) to obtain valuable insight from industry experts that shall help in their own work areas.

Awareness and Workshops on IBC

 

Though the IBC has created a massive impact by resolution of the stressed assets of big-ticket players, however, the wings of IBC is yet to spread across several Semi-Urban and Rural areas, whereby there is no awareness of the existence of IBC nor the right knowledge. Such awareness and workshop can be exclusively conducted for mainly the operational creditors, employees and workman.


Students of Lawsikho courses regularly produce writing assignments and work on practical exercises as a part of their coursework and develop themselves in real-life practical skill.

LawSikho has created a telegram group for exchanging legal knowledge, referrals and various opportunities. You can click on this link and join:

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A Dhanteras Riddle 

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This article is written by Ramanuj Mukherjee, CEO, LawSikho.

I have never celebrated Dhanteras. 

It is auspicious to buy gold and utensils on this day. Given that the value of gold has steadily appreciated, it makes sense for rich people to buy gold.

Gold has had interesting returns in the past couple of years – some gold mutual funds have yielded 27% – 38% returns, in a market where you’d expect around 7-8% from fixed deposits and 10-15% from investment in capital markets. We don’t, of course, know whether and till when gold will continue to appreciate in this way. The price could even fall significantly. Unlike a business, which can grow, the functional value of gold is much lower in comparison to its cultural value.

But what would I do putting my money in gold bars? 

If you have a small legacy or a saving of 2 crore rupees, at 7% interest from FDs, you would earn about 14 lakh rupees a year, or about 1,15,000 rupees per month. Of course, there would be an income tax on that earning. But enough to live by. 

At a 25% return, you could earn 50 lakh rupees or almost 4 lakhs per month. What a princely sum!

Now, imagine you are a law student. Let us assume you have somehow managed to earn 30,000 rupees. You could earn this if you won a moot court competition, a couple of essay competitions, or from a stipend or a research project you undertook for a few months. 

(Those who intern with us for 6 months are paid 15000 per month from the third month onwards).   

If the returns are 30%, you will earn INR 9,000 per year. 

It might have been auspicious, but in terms of return on investment, 30% return on this sum does not really sound life-changing. 

On the other hand, even a 7% return on a 2 crore savings gives a princely sum as interest. 

Logically then, shouldn’t I strive for earning 2 crores? 

How can I do that?

If doing that was realistically possible, would that not be a cause for celebration on this Dhanteras? 

In May 2019, I purchased a 500 dollar online course called LifeBook. It had 12 one-hour videos. The course divides life into 12 distinct areas – health & fitness, intellectual, emotional, character, spiritual, love relationship, parenting, social, career, financial, quality of life and life vision. 

I started working on my Lifebook and building my life vision. 

I realized that if I can earn enough to have an investment which generates about 2 lakh rupees per month, I won’t need to work for money. If the returns are 7% per annum, I’ll need a corpus of approximately 3.5 crores for it. (I am excluding taxes in this calculation).

https://lawsikho.com/course/diploma-m-a-institutional-finance-investment-laws

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In terms of a financial vision, this made sense. 

In other words, I have to ensure 

For that, I have to enhance my capacity to earn. Which means that I must getter better and our team at Lawsikho must get better and deliver better results. 

What could I do for that?

I decided to go back to learning.

Incidentally, Ramanuj shared this video with me last week, and I was impressed by how effectively the speaker could communicate her message. 

She truly had the power of story. 

I realized that I needed to learn it. I really loved interacting with people, but I wanted our interactions to have a narrative over the technical layer. 

If I could do this successfully, our interactions and engagement could reach a new level. I could reach out to you on email more often. We could add an altogether new style to our classes, something that has never been explored in India and probably in the world as a system. 

Maybe Lawsikho could amplify its impact 100 or 1000 times, reach out to that many more learners. Naturally, that would enable us to grow as well. 

Not because we invested more in marketing, but because we learnt how to deliver practical skills through a human experience.  

The results produced by Lawsikho would expand, and so would my financial capacity.  I purchased the 300 dollar program by Lisa Nichols, but it starts on 5th November. 

The speaker didn’t show me this vision, I created it in my mind. But I had faith in her method and in my ability to learn and implement the learning. 

The course starts in ten days, but I decided to practice writing in the way the speaker explains. For me, the joy of learning and practicing the skills I learn constitutes celebration. 

This is how I am celebrating Dhanteras.  I am not buying silver or gold, I am investing in learning new powerful skills that would help me to expand my business as well as my personal growth.

Enough about me. Now, it’s your turn.

How would you like to celebrate?  

Do you want to buy gold bars and hope to earn uncertain returns every year, or expand your earning capacity to earn an additional ten or twenty lakhs every year? 

In that case, do you want to invest in learning? 

Here are some courses from us that can make amazing Dhanteras investment:

DIPLOMA

Diploma in M&A, Institutional Finance and Investment Laws (PE and VC transactions)

EXECUTIVE CERTIFICATE COURSES

Certificate Course in Legal Practice Development and Management

Certificate Course in Advanced Criminal Litigation & Trial Advocacy 

Certificate Course in Real Estate Laws

Certificate Course in Prevention of Sexual Harassment at the Workplace

Certificate Course in National Company Law Tribunal (NCLT) Litigation

LIBRARY

Litigation Library by LawSikho

Corporate Law Library by LawSikho

TEST PREPARATION

Judgment Writing and Drafting Course for Judicial Services


Students of Lawsikho courses regularly produce writing assignments and work on practical exercises as a part of their coursework and develop themselves in real-life practical skill.

LawSikho has created a telegram group for exchanging legal knowledge, referrals and various opportunities. You can click on this link and join:

https://t.me/joinchat/J_0YrBa4IBSHdpuTfQO_sA

Follow us on Instagram and subscribe to our YouTube channel for more amazing legal content.

The post A Dhanteras Riddle  appeared first on iPleaders.

Step by Step Guide for registration of Geographical Indication

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This article has been written by Neha Wagle.

A geographical indication (GI) is a sign that is used in relation to products or goods that possess specific qualities, characteristics or reputation, that is attributable to place of its geographical origin. Since the nature of the underlying product is dependent on the location of production, there is a strong correlation between the product and its geographical place of origin.

The general standards of protection for Geographical Indication can be traced down to the Paris Convention for protection of Industrial Property,1883, which includes in its wide connotation, protection to- patents, trademarks, industrial designs, utility models, trade names and service mark, in addition to geographical indications. These were followed by the Madrid Agreement for repression of False or Deceptive Indications of Source of Goods 1891.

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This was followed by treaties and conventions which focussed on the registration process for geographical indications. The Madrid Agreement concerning the International Registration of Marks signed in 1891, the Lisbon Agreement for the Protection of Appellations of Origins and their International Registration, 1958 and the Protocol Relating to the Madrid Agreement Concerning the international registration of marks, which came into being in 1989 have played important role in the development of a framework for the process of international registration of marks.

However, the seeds for the development of laws on Geographical Indications in India were sown through the Trade-Related Aspects of Intellectual Property Rights (TRIPS) agreement which came into force on 1st January 1995. This agreement is considered to be the most comprehensive document on Intellectual Property Rights. Post coming into force of the TRIPS agreement the Parliament of India enacted the Geographical Indication of Goods (Registration and Protection) Act, 1999. This Act aimed at providing for the registration and better protection of geographical Indications of goods.

According to section 2 (e) of the Geographical Indications of Goods (Registration and Protection) Act,1999, Geographical Indication in relation to goods means “an indication which identifies such goods as agricultural goods, natural goods or manufactured goods as originating, or manufactured in territory of a country, or a region or locality in that territory, where a given quality, reputation or other characteristics of such goods is essentially attributable to its geographical origin and in case where such goods one of the activities of either the production or of processing or preparation of goods concerned takes place in such territory, region or locality as the case may be”

India has registered over 361 geographical Indications till date. The first GI to be registered was for Darjeeling Tea in the state of West Bengal, which was registered in the year 2004. Handicrafts make up the largest type of goods which have been registered as GIs, followed by Agricultural products.

Let us now dive into the procedure and manner in which the Geographical Indication for a place in India can be registered as per provisions enlisted under the Geographical Indications of Goods (Registration and Protection) Act,1999:

Who can file for Geographical Indications?

Section 11(1)

An application for registration of the Geographical Indication can be made by an association of persons or producers or any organisations or authority established by or under any law for time being in force; who must be representing the interest of the producers of the concerned goods; and desirous of registering a geographical indication in relation to such goods.”

Authorised User

An authorised user is a person who has been registered as such under Section 17 of the Geographical Indications of Goods (Registration and Protection) Act,1999 act. A producer of the goods in respect of which geographical indication has been registered is eligible to register himself as an authorised user.

In order to register oneself as an authorised user, the producer needs to provide a statement and other documents of facts which would allow the registrar to ascertain the veracity of their claims. The registration of an authorised user is valid for 10 years, or till the date on which the registration of the related geographical indication expires.

Steps applicable for registration as authorised user are-

  1. Filing of an application
  2. Preliminary Scrutiny and exam
  3. Issue of Show cause notice
  4. Advertisement
  5. Opposition for registration
  6. Registration

Prohibition on registration of certain Geographical Indications (Section 9)

There are certain Geographical Indications, the registration of which is prohibited by law. These include such indications:

  • The use of which is likely to deceive or cause confusion
  • The use of which is contrary to the law for time being in force
  • Which comprises of or contains any scandalous or obscene matter
  • Which comprises or contains any matter that is likely to hurt the religious sentiments of any class or section of people
  • Which would be disentitled to protection of law
  • Which are determined to be the generic names or indications of goods and therefore ceased or not protected in the country of origin
  • Which, although literary true as to the territory, region or the locality in which the goods have originated, but falsely represent that the goods originate in a different territory or locality or region of a country

Explanation 1 of the captioned section elucidates the meaning of  “generic names of indications” to be in relation to goods which although relates to the place of the region where the goods was originally produced or manufactured, has lost its original meaning and has become the common name of such goods and serves as a designation for an indication of the kind, nature, type of other property or characteristic of the goods.

Explanation 2 of the same section further clarifies that “in determining whether the name has become generic, account shall be taken of all factors including the existing situation in the region or place in which the name originates and the area of consumption of the goods.”

Step by step procedure for registration of Geographical Indication

Step 1-Filing of the Application

  • The application for the registration of Geographical Indication shall be made in triplicate.
  • The application then must be signed by the applicant or his agent along with the statement of case and has to be submitted along with the prescribed form GI-1
  • A single application can be filed for different classes of goods and fees payable shall be in respect of each of such class of goods.
  • An affidavit is required to accompanying the forms has to be submitted by the association of persons, producers, organisations or authority representing the interest of the producers over certain goods and how the applicant claims to represent their interest

What should be the contents of the application?

Section 11 (2)

  • Firstly, it should state how the geographical indication serves to designate the goods as originating from the concerned territory of the country or region or localities as the case may be, in respect to quality specifications, reputation, characteristics which are exclusively due to certain environmental conditions with inherit natural or human factors relating to the territory.
  • It should also state the class of goods to which the geographical Indication shall apply
  • The geographical map of the territory of the country or region or the locality of the country in which the goods are produced or manufactured should be included.
  • Particulars regarding the appearance of the geographical indications as to whether it is comprised of words or figurative elements or both.
  • Statement containing the details of the applicant including the names, addresses and other such details as may be specified from time to time

Forms for registration of GI are available on the website of Geographical Indications Registry (http://www.ipindia.nic.in/forms-gi.htm)

Step 2 and 3 – Preliminary Scrutiny and Examination

Section 11 (5) to (7)

  • The application will be scrutinized by the examiner for any deficiencies and discrepancies.
  • In case of any deficiencies and discrepancies, the applicant is required to rectify the same with a period one month of its communication.
  • The correctness and authenticity of the content of statement furnished by the applicant shall then be assessed by the Registrar in consultation with a group of experts consisting of not more than 7 representatives who are well versed on the subject.
  • Only after proper scrutiny and examination that the examination report will be issued

Step 4 – Issue of Show Cause Notice

(Section 12)

  • If the Registrar has any objection with regards to the application then the same shall be communicated to the applicant.
  • The applicant must respond within a period of two months from the receiving of the notice or he can apply for hearing
  • The Registrar has been entrusted with the power to withdraw the application after giving the applicant a reasonable opportunity of being heard, if he is of opinion that there has been an error on the part of the applicant and the same has been conveyed to him
  • If aggrieved, an appeal can be made within period of one month of the Registrar’s decision.

Step 5: Advertisement

(Section 13)

  • Every application for registration of geographical indication that has been accepted absolutely or with subject to conditions or limitations shall within three months of acceptance shall be published in the Geographical Indications Journal.

Step 6: Opposition to Registration

Section 14

  • Any person can file a notice of opposition within three months (extendable by another month on request which has to be filed before three months) opposing the Geographical Indication application published in the Journal in triplicate along with the form GI-2
  • The registrar shall serve a copy of the notice on the applicant for registration and the applicant shall within period of two months from the date of the receipt of such notice send to the Registrar the copy of the counter statement stating the grounds on which he relies on his application, failure to do so will result in abandonment of his application.
  • On receiving the counter statement from the applicant, the Registrar shall serve a copy of the of the same to the person giving the notice of opposition.
  • The applicant and the opponent have to submit to the registrar any evidence on which they rely, in manner and time as may be prescribed from time to time by the registrar.
  • Registrar shall give adequate time to both the parties to be heard
  • The registrar after hearing both the parties and considering all the evidence shall decide whether to accept the application with or without limitations or conditions
  • If it comes to the notice of the registrar that either the applicant or person giving the notice of opposition neither resides nor carries on the business in India, the registrar may require him to give the security for the cost of proceedings before him and in case of any default of such security duly given, may treat the application or opposition as the case may be, as abandoned.
  • On request the Registrar may permit to make any correction or amendment of an error in the notice of opposition or counterstatement.

 Step 7Corrections and amendments-

Section 15

The Registrar may from time to time with subject to certain terms and conditions permit either before or after the acceptance of the application, the correction of any error or an amendment of the application.

Step 8 : Registration

Section 16

  • On acceptance of the application, the registrar shall register the geographical indication for the same.
  • If registered the date of filing of the application shall be deemed to be the date of registration.
  • The registrar shall then issue to the applicant a certificate with the seal of the Geographical indication’s registry in Form-02 as per Rule 55 0f The Geographical Indications of Goods (Registration and Protection) Rules, 2002

Step 9: Duration, Renewal And Restoration

Section 18

  • A registered Geographical Indication shall be valid for 10 years and can be renewed on payment of renewal fee.
  • At the time before the expiration of last registration of geographical indication, the Registrar shall send the notice to the registered proprietor or the authorised user as the case may be, about the date of expiration and the conditions as to payment of fees and upon renewal of which registration shall be obtained.
  • Failure to do so may result in removal of geographical indication
  • Where a geographical indication has been removed by the Registrar on grounds of non-payment of the renewal fees may after six months and within period of one year from the expiration of last registration of geographical indication may, on an application in a prescribed manner and after payment of prescribed fees may restore the geographical indication for period of 10 years from the expiration of last registration

Step 10: Appeal to the Appellate Boards

Section 31

  • Any person aggrieved by an order or decision of the Registrar under the act or under the rules made thereunder, may prefer an appeal to the Intellectual Property Appellate Board (IPAB) within three months from the date on which the order or decision sought to be appealed is communicated.

Rights conferred by Registration

Under section 21 of the act, the authorised user and proprietor of the geographical indication is allowed certain rights in terms of the indication. These include:

  1. An exclusive right to make use of the indication in relation to goods to which the indication has been obtained.
  2. In case of infringement, to seek relief in a manner provided in the act.

However, it needs to be remembered that these rights conferred by registration are not absolute and are subject to conditions which restrict the powers allowed to the user, including:

  • Variation Condition: This includes cases where the proprietor agrees to have variations in the mark assigned to goods, other than those mentioned in the label.
  • Restraining Conditions: The geographical indication shall not be used for the purpose of certain specific goods
  • Blank Space condition: This condition requires all blank spaces in the label to only be occupied by matter that is non-distinctive in nature.
  • Limitation Condition: This condition restricts the area within which the registration is allowed to operate.

An interesting point to note regarding the powers over geographical indications comes to light when there are more than one authorised users of geographical indications which may be identical or bear near resemblance with each other. In such cases, the exclusive right to the use of these conditions are not deemed to have been acquired by any one of those persons against any other, but each of these persons have the same rights as a sole authorized user against other persons.

Powerpoint Presentation

 

References

Statutes

The Geographical Indication of Goods (Registration and Protection) Act, 1999

Books

B.L.Wadhera, Law Relating to Intellectual Property, page no.457-465 (5th edition 2017)

Websites

  1. Geographical Indications-available at https://www.wipo.int/geo_indications/en/
  • ,last seen on 12th October 2019
  1. International Treaties- Geographical Indication available at https://www.wipo.int/geo_indications/en/treaties.html, last seen on 12th October 2019
  2. Overview- TRIPS Agreement available on https://www.wto.org/english/tratop_e/trips_e/intel2_e.htm#geographical last seen on 12th October 2019
  3. Geographical Indication Registry, The Registration Process available at ipindia.nic.in/the-registration-process-gi.htm, last seen on 14th October 2019
  4. Geographical Indication Registry, The Geographical Indications of Goods (Registration and Protection) Rules, 2002 available at ipindia.nic.in/rules-2002.htm last seen on 14th October 2019

Students of Lawsikho courses regularly produce writing assignments and work on practical exercises as a part of their coursework and develop themselves in real-life practical skill.

LawSikho has created a telegram group for exchanging legal knowledge, referrals and various opportunities. You can click on this link and join:

https://t.me/joinchat/J_0YrBa4IBSHdpuTfQO_sA

Follow us on Instagram and subscribe to our YouTube channel for more amazing legal content.

The post Step by Step Guide for registration of Geographical Indication appeared first on iPleaders.

CLAT: An Exhaustive Study Material on Social Welfare Legislations

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In the CLAT exam usually, the basic social welfare legislations & rights for the different segments of society become sensitive area from which questions may be asked which may include the right to education guaranteed by the government under article 21A, Legal Aid and upliftment of women enshrined in the Directive Principles of State Policy of the Constitution.

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Right to Education

“Prejudices, it is well known, are most difficult to eradicate from the heart whose soil has never been loosened or fertilized by education; they grow there, firm as weeds among rocks.” 
-Charlotte Bronte

India, with all its diverse cultures, traditions as well as its rightful share of superstitions happens to be a veritable bedlam of prejudices. When we seek to be a developed nation by 2020, spreading literacy to all its citizens comes as a pre-condition to it. For both these ends, i.e. to remove the prevailing prejudices and to be on the highway to becoming a developed nation, a fundamental right to education for children is the only way forward. 

In order to understand the importance of the said right, we need to look into its history. The International Bureau of Education was established in Geneva, in 1924 and was transformed into an inter-governmental organisation in 1929 as an international co-coordinating centre for institutions concerned with education.

A broader approach was chosen with the establishment of UNESCO in 1945. The preamble of the Universal Declaration of Human Rights, adopted on 10th December, 1998, states that: every individual and organ of the society…, shall strive by teaching and education to promote respect for these rights and freedoms…”

Article 26 (1) of UDHR proclaims that: Everyone has a right to education. Education shall be free, at least in the elementary and fundamental stages. Elementary education shall be compulsory. Technical and professional education shall be made generally available and higher education shall be equally accessible to all on the basis of merit.”

Article 26 (2) states that Education shall be directed to the full development of the human personality and to the strengthening of respect for human rights and fundamental freedoms; It shall promote understanding, tolerance and friendship among all nations, racial or religious groups, and shall further the activities of the United Nations for maintenance of peace. The right to education has also been recognized by the International covenant on Economic, Social and Cultural Rights.

The Founding Fathers of the nation recognized the importance and significance of right to education, and therefore made it a constitutional goal, and placed it under chapter IV Directive Principle of State Policy of the Constitution of India. Article 45 of the Constitution requires state to make provisions within 10 years for free and compulsory education for all children until they complete the age of 14 years.

Further Article 46 declares that the state shall promote with special care the educational and economic interests of the weaker section of the people. It should be noted that the right to education has been given much importance as the makers of our constitution recognised it as one of the basic necessities for the democracy and that if the people were to be denied of that right, then democracy itself would be paralyzed.

Though it was categorically stated in the constitution that the state shall ensure that children receive free and compulsory education from the state, yet nothing substantial was ever done in this regard.

 Thankfully, the Judiciary showed keen interest in providing free and compulsory education to all the children below the age of fourteen years.

In case of Mohini Jain V State of Karnataka(1992), the Supreme Court held that right to education is a fundamental right under Article 21 of the Constitution. The right to education springs from right to life itself. The right to life under Article 21 and the dignity of the individual cannot fully be appreciated without the enjoyment of right to education. The court observed that the dignity of the individual cannot be assured unless the right to life is accompanied by the right to education.

In the case of Unnikrishnan vs. State of Andhra Pradesh (1993), the Supreme Court held that, the right to education is implicit in the right to life and personal liberty guaranteed by Article 21 and must be interpreted in the light of the Directive Principle of State Policy contained in Articles 41, 45 and 46. 

The Apex Court, however, limited the State obligation to provide educational facilities as follows. 
(i) Every Citizen of this Country has a right to free education until he completes the age of fourteen;

(ii) Beyond that stage, his right to education is subject to the limits of the economic capacity of the state.

The Government of India by Constitutional (86th Amendment Act) Act, 2002 added a new Article 21A which provides that “the state shall provide free and compulsory education to all children of the age of 6 to 14 years as the state may, by law determine.”

Furthermore, Article 51–A(k) was also added which imposes a ‘fundamental duty’ on parents to provide educational opportunities to their children in the age group of six to fourteen years.

Through this effort, the children of India gained the Fundamental Right to Education, first through Judgement made law and then through a Constitutional amendment. Unfortunately the introduction of Article 21–A watered down the Judgement of the Supreme Court in the Unnikrishnan Case.

A Right which was available to all children up to the age of 14 years was reduced to a right for children in the age group of 6 to 14 only through the restrictive language of the Constitutional amendment. Even more critical to the future of this right is the wording of Article 21A which finally leaves it to the state to provide ‘in such manner as the state may, by law, determine’.

By wording the provision in such a manner, education of the children has been left at the whims of the state governments. Moreover, it does not speak about the millions of children left out, belonging to the age group of 0-5 years. Another important feature which needs to be noticed is that the Constitution only ensures that the state shall provide primary education to the children up to the age of 14 years, and the secondary and higher education is contingent and conditional upon the economic capacity of the state.

The right to education will have any meaningful ramifications only if it percolates through all levels of education and reaches all sections of the population. 

For better execution of the above mentioned goals, The Right of Children to Free and Compulsory Education bill, 2009 was passed.

The salient features of the bill include:

  • Free and compulsory education to all children of India in the age group of six to 14 
  • No child shall be held back, expelled, or required to pass a board examination until completion of elementary education 
  • A child who completes elementary education (up to class 8) shall be awarded a certificate
  • Calls for a fixed student-teacher ratio
  • Mandatory 25% reservation for economically disadvantaged communities in admission to Class One in all private schools
  • Mandates improvement in quality of education
  • School teachers to acquire professional degree within five years or else will lose job
  • School infrastructure to be improved in three years, else recognition cancelled
  • Financial burden will be shared between state and central government

There might be certain drawbacks in this fundamental right, but it definitely is one positive step towards achieving the cherished goal of the founding fathers of the constitution, that of upholding the institution of democracy on the shoulders of an educated population of India.

Legal Aid

The idea of legal aid is the providing of free legal services to the poor who do not have enough resources to procure the services of a lawyer for varied purposes. The concept has its origin in France where a movement was kick started in 1851 to help the deprived class with legal services.

In India, the concept of legal aid is embodied in the Constitution under Article 39A. The concept of Legal Aid was institutionalized in 1987 by introducing the Legal Services Authorities Act which gave a statutory base to the legal aid activities in the country. The Act envisages a network of institutions under the supervision of the apex body called National Legal Services Authority at state and district levels.

The National Legal Services Authority or NALSA consists of the Chief Justice of India who shall be the Patron in Chief, a serving or retired Judge of the Supreme Court who will be the Executive Chairman (he will be nominated by the President of India) and any number of members with such qualifications as prescribed by the government in consultation with the Chief Justice of India.

The state legal service authority will be headed by the Chief Justice of the High Courts and a serving or retired judge of the High Court will act as the Executive Chairman. NALSA first came into being in 1995 and Dr. A. .S Anand became the first patron in chief in 1998. 

Women & Law

The recent Women’s Reservation Bill is definitely a milestone in the long journey of the women’s movement to gain legal rights in the Indian context, but it came about only after 14 years of languishing through the corridors of power, marked by high drama on all its outings in the Parliament.

Now, finally, women have a 33% reservation in the Parliament as well as the State Legislative Assemblies. As per article 368 of the Constitution; which lays down the procedure for the amendment of the Constitution; next, it has to be passed by the Lok Sabha, with not less than two thirds majority of the members present and voting. For this constitutional amendment to take place,  this amendment will have to be ratified by not less than one –half of the state legislatures, then  the President will have to give his assent to bring about  the said constitutional amendment. 

The demand for legal rights has long been a foundation of the women’s movement in India. Social reformers and activists in the women’s movement have all fought for women’s right and law reform. They have actively campaigned against any form of discrimination against women in law.

Despite the legal victories over the years, the social, political and economic status of women has shown little improvement. The Committee on the status of women, appointed by the Government of India in 1971, in their report, stated some basic but vital observations, which included:

  • That the equality of women was necessary as a basic condition for social, economic and political development of the nation.
  • Improvement in the employment opportunities and earning power of the women.
  • That society owed a special responsibility towards women due to their essential child-bearing function.
  • That any policy or movement for the emancipation and development of women have to be seen in the total context of the society, it has to form a part of the total movement for the removal of inequalities and oppressive social institutions.

Recognising the existence of institutionalised inequalities in the Indian society, the constitution itself has provided certain affirmative action by the state-empowerment of the state to adopt special measures, overriding the fundamental right to equality- in favour of women and children [Article 15(3)]. 

The various legislations and decisions in cases have led to a differential treatment of women according to their specific needs. For example; women can only be questioned at their residence and in presence of their family members.

Even at the time of arrest, no handcuffs are to be used without a Judge’s permission and it can be done only in the presence of a female constable. In the police station the women have a right to ask the Magistrate for their Medical Examination if they are beaten, abused or tortured by the Police. They have a right to request immediate medical examination on arrest.

Apart from the above mentioned concessions, specific laws and provisions have been formulated pertaining to violence against women.

Domestic violence

  1. The Protection of Women from Domestic Violence Act, 2005 came into force on October 26, 2006. `Domestic violence’ includes actual abuse or the threat of abuse that is physical, sexual, verbal, emotional and economic. Harassment by way of unlawful dowry demands to the woman or her relatives would also be covered under this definition. One of the most important features of the Act is the woman’s right to secure housing. The Act provides for the woman’s right to reside in the matrimonial or shared household, whether or not she has any title or rights in the household. The other relief envisaged under the Act is that of the power of the court to pass protection orders that prevent the abuser from aiding or committing an act of domestic violence or any other specified act, entering a workplace or any other place frequented by the abused, attempting to communicate with the abused, isolating any assets used by both the parties and causing violence to the abused, her relatives and others who provide her assistance from the domestic violence. The Act by itself does not punish the perpetrator of domestic violence. But if a case discloses any offences punishable under IPC, CRPC or Dowry prohibition Act, the Magistrate may then, frame appropriate charges to either try the case himself or he may commit it to Sessions Court if he may deem fit. Another significant aspect is that the Act establishes adequate machinery to ensure effective protection through the Protection officer who is charged with the responsibility of taking expeditious steps for providing timely relief and it also grants authority to the Magistrate to give sufficient relief in the form of maintenance orders, custody orders and compensation. 
  2. A complaint can be filed under Section 498-A of IPC for any physical or mental harassment/ Torture / Abuse etc. n 1983, domestic violence was recognised as a specific criminal offence by the introduction of section 498-A into the Indian Penal Code. This section deals with cruelty by a husband or his family towards a married woman. Offences under Section 498-A are cognizable and non-bail able i.e., the Police Officer can arrest without a warrant and cannot grant bail themselves.  The accused Party has to obtain the Bail Order from the concerned Court.  
  3. Civil Remedy: Sometimes, the women due to personal reasons may not like to go for criminal remedy i.e., registration of FIR or filing the Criminal Complaint.  In the said circumstances, there are certain Civil Remedies are available in the Case of Domestic Violence: – Women can file a suit under Order VII Rule I of the Code of Civil Procedure in the Family Court. The court might restrain the spouse or / and his relatives from ousting the woman and her children from the matrimonial house. Her personal property is also restored to her.

Rape

Rape is an offence not against the Individual but like all the crimes in the Indian Penal Code, it is a crime against the State. Once the incident occurs, it has to be reported immediately without any delay to the police station of Jurisdiction. As far as possible the complaint must be given in writing containing all relevant facts in order to avoid manipulation. 

Then the police will investigate the matter and file charge sheet. The information, i.e., the person filling the complaint is entitled to a copy of the First Information Report (FIR).

The victim must undergo medical examination conducted by a female medical officer. The trial is conducted in a court of Sessions. Like all criminal matters the victim cannot have an independent lawyer, unless she makes an application for appointing a Special Prosecutor. Any advocate with 10 years of practice can be appointed as a Special Public Prosecutor.  
 

Sexual harassment at workplace

There is no specific law regarding sexual harassment, Supreme Court has laid down guidelines in Vishakha v. State of Rajasthan (AIR 1997 Supreme Court 3011) 

Any unwelcome sexually determined behaviour – direct or implicit viz.   

    • Physical contact and advances 
    • Demand or request for sexual favours 
    • Sexually coloured remarks 
    • Showing pornography 
    • Any other unwelcomed physical, verbal or non-verbal conduct of sexual nature. 

 The judgement also laid down certain duties for the employers, which include:

    • Duty to Prevent Commission of Acts of Sexual Harassment.
    • Duty to Provide Procedure for Resolution Complaint Mechanism headed by women.  
    • Duties of the committee:  – provide counselling, medical aid, legal aid, maintain confidentially and time bound inquiry.  

The Indecent Representation of Women (Prohibition ) Act, 1986

    • The Act prohibits depiction in any manner the figure of woman, body or any part thereof, in such a way that has the effect of being indecent or derogatory to or denigrating women.  
    • It primary aim of this act is to prevent women being depicted as sex objects in the media for commercial gain or prevent the co-modification of women.  
    • It penalizes persons who sell, hire, distribute, circulate or send by posts any books, pamphlets paper; slide, firm, writings, drawings, paintings, photograph figures or representation which contains indecent representation of women in any form.

The Medical Termination of Pregnancy Act, 1971

    • A pregnancy may be terminated by a Registered Medical Practitioner.  
      1. where the length of the pregnancy does not exceed twelve weeks, if such medical practitioner is, or 
      2. Where the length of the pregnancy exceeds twelve weeks but does not exceed twenty weeks, if not less than two registered medical practitioners are. 

If the doctor/s is/are of the opinion that continuance of the pregnancy would involve a risk to the life of the pregnant woman or would cause grave injury to her physical or mental health. 

    • If the pregnancy is caused by rape and the anguish caused by such pregnancy is presumed to constitute a grave injury to the mental health of the pregnant woman.  
    • If the pregnancy occurs as a result of failure of family planning device, the anguish caused by such unwanted pregnancy may be presumed to constitute a grave injury to the mental health of the pregnant woman.

Law on Molestation (Section 354 IPC) 

An assault or use of criminal force with intent to outrage the modesty of any woman shall be punished with imprisonment up to two years of fine or with both.  

Law on dowry

The Dowry Prohibition Act, 1961, prohibits the request, payment or acceptance of a dowry, “as consideration for the marriage” where “dowry” is defined as a gift demanded or given as a precondition for a marriage.

Gifts given without a precondition are not considered dowry, and are legal. Asking or giving of dowry can be punished by an imprisonment of up to six months, or a fine of up to Rs. 15000 or the amount of dowry whichever is higher and imprisonment up to 5 years. It replaced several pieces of anti-dowry legislation that had been enacted by various Indian states. 

Section 304B of the Indian Penal Code was inserted by amendment in 1986. In the Section, ‘dowry death‘ is defined as the death of a woman caused by any burns or bodily injury or which does not occur under normal circumstances within seven years of her marriage. For a woman’s death to be a dowry death, it must also be shown that soon before her death she was subjected to cruelty or harassment by her husband or any relative of her husband for, or in connection with, any demand for dowry.

If this is proved, the woman’s husband or relative is required to be deemed to have caused her death. Whoever commits dowry death is required to be punished with imprisonment for a term which shall not be less than seven years but which may extend to imprisonment for life.

Law on Eve Teasing (Section 509 & 214 IPC) 

    • An intention to insult the modesty of a woman either by uttering any word or making any sound or gestures or exhibiting any object, is punished with imprisonment up to one year or with fine or both.  
    • Anyone who annoys other by doing obscene acts in public places, or sing songs or recites or utters and obscene songs, ballad or words in or near a public place shall be punished with imprisonment up to three months or with fine or with both. 

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