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        Case ID :

        1997 (3) TMI 106 - SC - Customs

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        Threshold writ relief cannot bar future use of statutory statements; objections may still be raised in later proceedings. A writ petition should not be entertained at the threshold to restrain possible future use of statements recorded under statutory powers for prosecution ...
                        Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
                          Provisions expressly mentioned in the judgment/order text.

                            Threshold writ relief cannot bar future use of statutory statements; objections may still be raised in later proceedings.

                            A writ petition should not be entertained at the threshold to restrain possible future use of statements recorded under statutory powers for prosecution or other penal action. Statements recorded under Section 108 of the Customs Act and Section 40 of the Foreign Exchange Regulation Act were sought to be treated as unusable in any later proceeding, but the Court set aside the High Court's order and left the merits open. It clarified that no opinion was expressed on admissibility or the substantive objections, which could still be raised in appropriate future proceedings if action was taken on the basis of those statements.




                            Issues: Whether the High Court ought to have entertained a writ petition seeking to restrain the use of statements recorded under the Customs Act and the Foreign Exchange Regulation Act for the purpose of prosecution or other penal action.

                            Analysis: Statements had been recorded by the concerned officers under Section 108 of the Customs Act and Section 40 of the Foreign Exchange Regulation Act. The prayer before the High Court was in the nature of habeas corpus and sought to prevent such statements from being used in any future prosecution or penal proceeding. The Court held that the High Court should not have entertained such an application at that stage. It set aside the impugned order while making it clear that no opinion was expressed on the merits and that any admissible objection could still be raised if action was taken pursuant to the statements.

                            Conclusion: The writ petition ought not to have been entertained and the impugned order of the High Court was liable to be set aside; the challenge to the use of the statements was left open to be raised, if permissible in law, in appropriate future proceedings.

                            Ratio Decidendi: A writ petition cannot be entertained at the threshold to prevent possible future use of statements recorded under statutory powers, when the Court has not adjudicated their merits and available objections may be raised in subsequent proceedings.


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                            ActsIncome Tax
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