HIRA LAL HARI LAL BHAGWATI Vs. C B I NEW DELHI

JUDGEMENT

(1.) LEAVE granted.

(2.) THESE two appeals arise out of the final judgment and order passed by the High Court of Delhi at New Delhi in Criminal Miscellaneous (M) Nos. 360/2002 and 447/2002 filed under section 482 of the Criminal Procedure Code read with Article 227 of the Constitution of India by the appellants herein seeking the invocation of the inherent powers of the High Court for quashing the F.I.Rs and the proceedings initiated in pursuance thereto, as also the process issued by the chief metropolitan magistrate, Delhi. The learned single judge of the Delhi High Court, by the impugned final orders held against the appellants that obtaining from the Ministry of Health Customs Duty Exemption Certificate, that was meant for 'actual user' on false assertion makes out the offence under section 120B read with section 420 of the Indian Penal Code.

(3.) AGAINST the order of the Customs, Excise and Gold (Appellate) Tribunal, the GCS came up in appeal before this Court in civil appeal no. 31/1999. Whilst the matter was pending before this Court, the government of India launched the Kar Vivad Samadhan Scheme, 1998, whereby whoever takes the benefit under the said scheme is granted immunity from prosecution from any offence under the Customs Act including the offence of evasion of duty. In accordance with the Kar Vivad Samadhan Scheme, 1998, the GCS had agreed to deposit the stipulated amount of over Rs. 98 lakhs which had already been deposited earlier and withdrew the civil appeal pending before this Court. On 19.7.1999, a certificate for full and final settlement of tax arrears in respect of the Kar Vivad Samadhan Scheme, 1998 was issued to the GCS. The said certificate, inter alia, certified the receipt of payment from the GCS towards full and final settlement of tax arrears determined in the order dated 10.2.1999 of the designated authority and further granting immunity to the GCS from any proceedings for prosecution from any offence under the Customs Act, 1962 or from the imposition of penalty under the said enactment, in respect of the matters covered in the declaration made by the GCS.