Bombay High Court Quashes ₹79.7 Crore GST Demand Against Dharma Productions, Says Films Are Not IT Software
Mumbai: The Bombay High Court has held that a cinematographic film does not become “information technology software” under GST merely because it is delivered through a digital link or on a hard disk, quashing a tax demand of over Rs 79.7 crore against Dharma Productions Pvt. Ltd. and Dharmatic Entertainment Pvt. Ltd. A bench of Justices MS Karnik and Sandesh Patil passed the judgment on September…
Mumbai's Bombay High Court has cautioned that criminal cases should not be used as “bargaining chips” in private settlements, deeming such practices wasteful of police and judicial resources. The court's ruling emerged while dismissing a false case against a Pune man. The court further directed the complainant to pay ₹20,000 to the A.K.
Munshi Yojana trust, stressing the importance of imposing costs when parties attempt to resolve criminal proceedings through consent. The court emphasized that criminal law cannot be leveraged to facilitate private settlements, warning that such practices could undermine the criminal justice system and drain public resources from genuine cases.
It also clarified that proceedings against a single accused in an FIR can be quashed separately, even if multiple individuals are named. The case stemmed from an FIR registered in September 2023 at Chikhali police station in Pimpri-Chinchwad. Seven individuals, including Niraj Rajaram More, were arrested in connection with allegations of rioting, assault, criminal intimidation, attempt to murder, and offenses under the Arms Act.
The complainant, filing a consent affidavit, acknowledged that More had been mistakenly named due to confusion and chaos during the incident. He also stated that More was not involved and did not wish to pursue the case against him. The High Court subsequently quashed the FIR and all subsequent proceedings against More, emphasizing that the complainant's decision to withdraw allegations does not automatically entail ending the case without repercussions.
The court's directive to pay costs underscores its broader concern regarding the avoidance of filing, pursuing, or withdrawing criminal cases solely for private dispute resolutions.
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