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<h1>Court quashes prosecution under Income-tax Act for firm and partners due to dropped penalty proceedings</h1> The High Court of Patna quashed the prosecution against a firm and its partners for violations of section 269SS of the Income-tax Act, as penalty ... Prosecution, Loans Or Deposits, Account Payee Cheque, Concealment The High Court of Patna heard a case involving violations of section 269SS of the Income-tax Act related to loans and deposits. The court found that the prosecution launched against the firm and its partners was not maintainable as penalty proceedings had been dropped earlier. The prosecution was deemed an abuse of the court process and was quashed.