TIOL-DDT 641 · Friday, 22 June 2007

From our Legal Corner – tomorrow’s cases

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Taking loan of Rs 4.65 lakh in cash - Film star convicted and fined - Two years RI set aside but fine upheld : High Court

Film Star VenniradaiNirmala was once upon a time a co star of the legendary MGR and a very popular actress. Things were not always so good for her that in 1986, she had to take a loan of Rs. 4,65,000 from her mentor’s party, the ADMK. Maybe nothing wrong with it – after all, actresses out of work do need small loans like 4.65 Lakhs to see them through hard times for a few days.

GUILTY? 1986

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But her mistake was that she took the money in cash and not by a crossed cheque as required under the Income Tax Act.

The Income Tax department promptly prosecuted her and the Court sentenced her to two years RI and a fine of Rs. 4.65 lakhs. When good times come they come in hordes – The actress having faded into oblivion was almost totally forgotten, when she made a comeback in a Kannada movie recently.

And after years of Court battle, including one in the Supreme Court, the Madras High Court has set aside her sentence of two years RI, while retaining the fine.

NOT GUILTY!2007
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Though a little too old now to run round trees or perform miraculous acrobatics in scanty costumes, Nirmala can heave a sigh of relief that she need not spend time in prison for having taken a loan in cash.

Merely because Registry admitted appeal it does not mean that appeal is maintainable before Tribunal - Matter involving export of goods outside India hit by clause (C) of first proviso to Sec 35B : Tribunal

See our columns on Monday for the judgements

Until Monday with more DDT

Have a nice day.

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