TIOL-DDT 2556 · the untouched capture
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<p align="justify"><font face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><s><strong><font size="2"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/inside2.php3?filename=bnews_detail.php3&newsid=20079"><img src="http://www.taxindiaonline.com/RC2/image/stories/limca_book2014_1.jpg" alt="DDT in Limca Book of Records - Third Time in a row" width="250" height="123" hspace="5" border="0" align="right"></a></font></strong></font></strong></font></strong></font></strong></font></strong></s></font><font color="#663399" size="3">TIOL-DDT 2556 </font><font size="3"></font><font size="2"><br>
</font></strong><font size="2"><strong>12 03 2015 <br>
Thursday </strong></font></font></p>
<p align="center"><font color="#006600" face="Georgia, Times New Roman, Times, serif"><strong><font size="3"><em>Vital Provisions of Intellectual Property Appellate Board (IPAB) held Unconstitutional by Madras High Court</em></font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>IPAB</strong> exercises jurisdiction over Trademarks, Patents and geographical indications. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The IPAB was conferred by the Trademarks Act 1999 with the jurisdiction to hear all appeals from the order or decision of the Registrar and all cases pertaining to rectification of register and all such cases which were then pending before any High Court stood transferred to the IPAB. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The Geographical Indications of Goods (Registration and Protection) Act 1999 was enacted to provide for the registration and better protection of geographical indications relating to goods. The IPAB is an appellate authority under this Act also. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The Patents (Amendment) Act 2002 was enacted to bring our patent regime in line with the TRIPS agreement. The IPAB was conferred by this Act with the jurisdiction to hear all cases against any order or decision of the controller and all cases pertaining to revocation of patent other than on a counterclaim in a suit for infringement and rectification of registers and all such cases which were pending before the High Courts stood transferred to the IPAB. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The High Court observed, </font></p>
<blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><em>The IPAB plays a pivotal role in resolving the commercial disputes. A good adjudicatory process is a sine qua non for the development of the Society, more so, in the field of Commerce. With India being a rapidly developing Industrial nation, spreading its commercial activities, it is in national interest to have an adjudicatory forum satisfying the needs of various commercial entities. It also creates a good atmosphere of business development and industrial peace. It further enhances the reputation of our justice delivery system from the point of view of other countries. It brings forth an investor's confidence. Hence, from the context of public interest also, the IPAB has got an eminent role to perform </em>. </font></p>
</blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The High Court was delivering a judgement in a writ petition filed by a Professor in a Law University seeking a declaration that certain provisions of the Trade Marks Act, 1999 insofar as it establishes the Intellectual Property Appellate Board (IPAB) and vests important judicial functions on this Board, are ultra vires of the Constitution. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Section 85 of the Trade Marks Act, 1999 dealing with the appointment of Chairman and Members of the IPAB, reads as: </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Chairman: </strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(1) A person shall not be qualified for appointment as the <strong>Chairman </strong>unless he-- </font></p>
<blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(a) is, or has been, a Judge of a High Court; or </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(b) has, for at least two years, held the office of a Vice-Chairman. </font></p>
</blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Vice-Chairman: </strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(2) A person shall not be qualified for appointment as the <strong>Vice-Chairman </strong>, unless he-- </font></p>
<blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(a) has, for at least two years, held the office of a Judicial Member or a Technical Member; or </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(b) has been a member of the Indian Legal Service and has held a post in Grade I of that Service or any higher post for at least five years. </font></p>
</blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Judicial Member: </strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(3) A person shall not be qualified for appointment as a <strong>Judicial Member </strong>, unless he-- </font></p>
<blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(a) has been a member of the Indian Legal Service and has held the post in Grade I of that Service for at least three years; or </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(b) has, for at least ten years, held a civil judicial office. </font></p>
</blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Technical Member: </strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(4) A person shall not be qualified for appointment as a <strong>Technical Member </strong>, unless he-</font></p>
<blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(a) has, for at least ten years, exercised functions of a tribunal under this Act or under the Trade and Merchandise Marks Act, 1958 (43 of 1958), or both, and has held a post not lower than the post of a Joint Registrar for at least five years; or </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(b) has, for at least ten years, been an advocate of a proven specialised experience in trademark law. </font></p>
</blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">As per the above scheme, a Technical Member can become Vice-Chairman and a vice-chairman can become Chairman. So, technically, a Technical Member can become the Chairman. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">An officer of the Indian Legal Service can become a Judicial Member (with absolutely no experience in a court of law), a vice-chairman and then Chairman. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">This is what the High Court found impermissible. The High Court observed, "<em>merely because someone holds the post in a Government Department he cannot be bestowed with the eligibility of being appointed as a Judicial Member sans experience. Also such a person cannot be treated on par with a Judicial Officer. We do not understand as to how an Officer working with the Executive would satisfy the requirement of legal training and experience…. we have no hesitation in holding that Section 85(3)(a) is unconstitutional.</em>" </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Even the very process of selection did not find favour with the High Court. The Search-cum-Selection Committee constituted - </font></p>
<table width="90%" border="0" align="center" cellpadding="5" cellspacing="0">
<tr>
<td><div align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(1)</font></div></td>
<td><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Secretary, Department of Industrial Policy and Promotion </font></td>
<td><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Chairman </font></td>
</tr>
<tr>
<td><div align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(2)</font></div></td>
<td><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Chairman, Intellectual Property Appellate Board </font></td>
<td><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Member </font></td>
</tr>
<tr>
<td><div align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(3)</font></div></td>
<td><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Secretary, Department of Legal Affairs</font></td>
<td><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Member</font></td>
</tr>
<tr>
<td><div align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(4)</font></div></td>
<td><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Director General, Council for Scientific and Industrial Research</font></td>
<td><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Member</font></td>
</tr>
</table>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Based on the recommendations of the Search-cum-Selection Committee, and subject to approval of Appointment Committee of Cabinet, appointments are made to the posts of Vice Chairman and Technical Members. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The High Court observed,<font color="#FF0000"> the Constitution of the Committee, as referred above, is obviously loaded in favour of Executive, which is impermissible in law; the selection process has been left entirely to the Executive, though the functions of the Tribunal are judicial. This act is a direct affront to the basic structure, which is fundamental to the Constitution of India. The Committee as it exists today is packed with an over-dose of Executive with the lone voice of the Chairman of IPAB is restricted to that of a member. Apropos recommendation of search cum selection committee required to be approved by the appointment Committee of the Cabinet for the post of Vice-Chairman and other members, we hold that the said methodology is also totally unconstitutional as it impinges upon the independence of the judiciary. </font></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The High Court held: </font></p>
<blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1. The appointment of officers of Indian Legal Service as Judicial Members or Vice-Chairman is unconstitutional. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">2. The Constitution of the Committee for the appointment of members, both for the Vice-Chairman, Judicial Member and Technical Member is declared as contrary to the basic structure of the Constitution. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">3. Recommendation of the Chief Justice of India to the post of Chairman should be given due consideration by the Appointment Committee of the Cabinet and the process does not involve any <em>''approval''. </em></font></p>
</blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Does it mean the IPAB is closed down? </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">We bring you the High Court Order today. </font></p>
<p align="justify"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Please See <a href="http://www.taxindiaonline.com/RC2/caseLawDet.php?QoPmnXyZ=MTAwNjA5" target="_blank">2015-TIOL-599-HC-MAD-MISC</a></font></strong></p>
<p align="center"><font face="Georgia, Times New Roman, Times, serif"><strong><font color="#006600" size="3"><em>Customs - New Determination of Origin Rules Notified</em></font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>GOVERNMENT </strong>has notified the new <em>Customs Tariff (Determination of Origin of Products under the Duty Free Tariff Preference Scheme for Least Developed Countries) Rules, 2015</em>. The <em>Customs Tariff [Determination of Origin of Products under the Duty Free Tariff Preference Scheme for Least Developed Countries] Rules, 2008</em>, brought in by Notification No. 100/2008 - Cus NT dated 13.8.2008, are superseded. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Consequently, the new rules are mentioned in the exemption notification No. 96/2008-Customs, dated 13.8.2008 </font></p>
<p align="justify"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/notDesc.php?MpoQSrPnM=MTc3ODY=" target="_blank">Notification No. 12/2015-Customs</a> and <a href="http://www.taxindiaonline.com/RC2/notDesc.php?MpoQSrPnM=MTc3ODg=" target="_blank">Notification No. 29/2015-CUSTOMS (N.T) dated March 10 2015</a> </font></strong></p>
<p align="center"><strong><font color="#006600" size="3" face="Georgia, Times New Roman, Times, serif"><em>Acquisition/transfer of immovable property - Prohibition on citizens of certain countries - RBI Clarification </em></font></strong></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>AS</strong> per Foreign Exchange Management (Acquisition and Transfer of immovable property in India) Regulations, 2000, <em>no person being a citizen of Pakistan, Bangladesh, Sri Lanka, Afghanistan, China, Iran, Nepal or Bhutan without prior permission of the Reserve Bank shall acquire or transfer immovable property in India, other than lease, not exceeding five years</em>. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">It has been observed that Macau and Hong Kong are the two Special Administrative Regions of China. As they are notified separately, RBI has decided, in consultation with the Government of India, that citizens of Macau and Hong Kong will also be included in the list of countries, which are prohibited to acquire/transfer immovable property in India. </font></p>
<p align="justify"><a href="http://www.taxindiaonline.com/RC2/notDesc.php?MpoQSrPnM=MTc3ODc=" target="_blank"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Circular No.83/RBI., Dated: March 11, 2015 </strong></font></a></p>
<p align="center"><font size="3" face="Georgia, Times New Roman, Times, serif"><strong><font color="#006600"><em>Indirect Taxes Revenue over 50,000 crores in February </em></font></strong></font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>THE</strong> CBEC collected a total revenue of 50,464 crores in February 2015 from Customs, Excise and Service tax - this is 15.9% more than what they collected in February 2014. Their target for the year is 5,40,703 crores out of which they have already collected 4,78,630 crores, which means, they have to collect 62,073 crores in March - may not be very difficult. They are going to tell the FM - WE HAVE DONE IT! </font></p>
<p align="center"><u><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Revenue For the period April - February 2015 </strong></font></u></p>
<p align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><s><strong><font size="2"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><img src="http://www.taxindiaonline.com/RC2/image/stories/Revenue_Table.jpg" alt="" width="623" height="186" hspace="5" border="0" align="middle"></font></strong></font></strong></font></strong></font></strong></font></strong></s></font></p>
<div align="center"><font size="3" face="Georgia, Times New Roman, Times, serif"><strong><font color="#006600"><em>Courtesy in Supreme Court - Bar Chief meets CJI </em></font></strong></font></div>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>THE</strong> president of the Supreme Court Bar Association had a meeting with the Chief Justice of India on 10 th March to resolve certain issues. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The Bar Association informs that: </font></p>
<blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1. All the Final matters will be listed with at least four weeks advance notice. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">2. All fresh matters will be listed with sufficient notice. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">3. Any urgent request for mentioning will be permitted liberally before the CJI Court. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">4. The Chief Justice assured the Bar that Registry Officials are and will be courteous to the members of the Bar. </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">5. The CJI will meet the Bar Association executive committee from time to time to discuss the problems and issues facing the Bar. </font></p>
</blockquote>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The Bar Association was to meet on that day to pass a resolution inter alia,<em> "SCBA while expressing its faith in the Institution of Supreme Court and declaring that it holds Hon'ble Judges in high esteem, requests that its Members must receive in return, the same respect, irrespective of their standing and seniority especially at the hands of Hon'ble Mr. Justice H.L.Dattu, Chief Justice of India and Hon'ble Mr. Justice Pinaki Chandra Ghose."</em> </font></p>
<p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">In view of the assurance from the CJI, the proposed meeting of the Bar Association has been deferred. The Executive Committee has acknowledged the intervention of Hon'ble Chief Justice of India in resolving the serious issues being faced by the Bar. </font></p>
<p align="center"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><s><strong><font size="2"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><img src="http://www.taxindiaonline.com/RC2/image/stories/strange.jpg" alt="" width="549" height="484" hspace="5" border="0" align="middle"></font></strong></font></strong></font></strong></font></strong></font></strong></s></font></p>
<p align="justify"><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Until Tomorrow with more <strong>DDT </strong></font></p>
<p align="justify"><strong><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Have a nice day. </font></strong></p>
<p align="justify"><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Mail your comments to</font><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> <a href="mailto:vijaywrite@tiol.in"><strong>vijaywrite@tiol.in </strong></a></font></p>
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