https://www.taxtmi.com/caselaws?id=252234 The SC ruled that a stock exchange's lien over a defaulter member's assets takes priority over income tax dues claimed by the government. The Income Tax Department argued it had priority over all debts, while the Stock Exchange contended otherwise. The court held that the Income Tax Act does not provide paramountcy for income tax dues, and while the government's priority claim stems from English common law doctrine of Crown debts (continued under Article 372 of the Constitution), the stock exchange's lien makes it a secured creditor. As a secured creditor, the stock exchange has priority over unsecured government dues, regardless of whether the lien is statutory or contractual. The appeal was decided in favor of the stock exchange. en-us Thu, 25 Sep 2014 00:00:00 +0530 Mon, 21 Jul 2025 16:36:17 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=252234 The SC ruled that a stock exchange's lien over a defaulter member's assets takes priority over income tax dues claimed by the government. The Income Tax Department argued it had priority over all debts, while the Stock Exchange contended otherwise. The court held that the Income Tax Act does not provide paramountcy for income tax dues, and while the government's priority claim stems from English common law doctrine of Crown debts (continued under Article 372 of the Constitution), the stock exchange's lien makes it a secured creditor. As a secured creditor, the stock exchange has priority over unsecured government dues, regardless of whether the lien is statutory or contractual. The appeal was decided in favor of the stock exchange. Case-Laws Companies Law Thu, 25 Sep 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=252234