Lawful requisition of seized documents under tax powers can override speculative fair-trial objections when prosecution reliance is not shown.
Where seized materials are not shown to form part of the prosecution case against an accused, and the Income Tax Department has lawfully requisitioned them under Section 132A of the Income-tax Act read with Sections 451 and 457 CrPC, custody may be transferred to the Department for investigation and assessment. Section 207 CrPC is confined to documents forwarded with the police report or relied on by the prosecution, so a speculative claim of prejudice or fair-trial concern will not prevent handover. The note also records that copies may be furnished if entitlement is established, but the accused must show a concrete need for defence access.
Issues: (i) Whether the 42 gunny bags seized in connection with one criminal case could be handed over to the Income Tax Department under Section 132A of the Income-tax Act, 1961 read with Sections 451 and 457 of the Code of Criminal Procedure, 1973. (ii) Whether the petitioner could resist such handover on the ground that non-supply of the documents in the bags would prejudice his defence and fair trial rights in another criminal case.
Issue (i): Whether the 42 gunny bags seized in connection with one criminal case could be handed over to the Income Tax Department under Section 132A of the Income-tax Act, 1961 read with Sections 451 and 457 of the Code of Criminal Procedure, 1973.
Analysis: The seized bags were found to be muddamal of the first FIR and not of the case in which the petitioner was an accused. The prosecution stated that the articles and documents in the bags were not required to prove the rape case. Once the competent income tax authority had exercised power under Section 132A and requisitioned the assets, the criminal court's power under Section 451 was limited and the authority was entitled to receive custody for investigation and assessment purposes.
Conclusion: The handover of the 42 gunny bags to the Income Tax Department was upheld and the challenge failed.
Issue (ii): Whether the petitioner could resist such handover on the ground that non-supply of the documents in the bags would prejudice his defence and fair trial rights in another criminal case.
Analysis: Section 207 of the Code of Criminal Procedure, 1973 applies to documents forwarded with the police report and to documents on which the prosecution proposes to rely. The seized materials were not shown to be documents relied upon by the prosecution in the case against the petitioner. The record also showed that the Income Tax Department undertook to furnish copies if the petitioner established entitlement, and the petitioner had not demonstrated that the documents were specifically required for his defence in the other case. The fair trial objection was therefore held to be misconceived.
Conclusion: The petitioner was held not entitled to the transfer on the basis of a speculative prejudice claim, and the fair trial objection was rejected.
Final Conclusion: The impugned order was found to suffer from no legal infirmity, and the petition under Article 227 was rejected, with a brief extension of time granted for taking further recourse.
Ratio Decidendi: Where seized documents are not shown to be part of the prosecution case against an accused, and the competent income tax authority has lawfully requisitioned the property under Section 132A, the criminal court may direct delivery of custody to the Income Tax Department and the accused cannot defeat that direction on a mere apprehension of prejudice.
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AI Drafter ✕
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