The Allahabad High Court found the definition of a 'workman' in the Uttar Pradesh Industrial Disputes Act so anomalous that it requested the government to amend it. But the Supreme Court observed that the high court had exceeded its jurisdiction by asking the legislature to change the law. In the judgment delivered last week in Pepsico India Holding Ltd vs K K Pandey, the apex court stated that the high court should not have asked the government to amend the definition of 'workman'. According to the Act, anyone who draws a salary above Rs 500 per month could not be considered a workman and he is beyond the purview of the law. Pepsico terminated a fleet executive and he challenged the management's action. The company invoked the rule and said that since he was drawing a salary of about Rs 8,000, he could not move the labour court. His plea was dismissed by the labour court. But on appeal, the high court said that the rule was an archaic hangover of the 1947 Act when the money value was high. The high court considered the executive as a workman and asked the labour court to consider his petition. The firm appealed to the Supreme Court. It set aside the high court order.
The division Bench of the Delhi High Court in Pr.Commissioner of Wealth Tax vs. Raghu Hari Dalmia held that a valuation report made by a registered valuer once adopted shall be in effect for four assessment years unless an event has occurred whereby the value is increased or decreased. The High Court made it clear that the event of “search” under Section 132 of the Income Tax Act, 1961 cannot compel the assessee to undertake a fresh valuation.
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