2009 (8) TMI 64 - DELHI HIGH COURT

Constitutional validity – Section 9D - Relevancy of statements under certain circumstances - violation of principles of natural justice - The moot question that arises is as to whether the provision in question is arbitrary. Such a provision can still be held to be offending Article 14 of the Constitution and can be termed as arbitrary if it is established that the provision gives uncanalised and uncontrolled power to the quasi judicial authorities – Held that - the provisions of Section 9-D (2) of the Act are not unconstitutional or ultra vires; - while invoking Section 9-D of the Act, the concerned authority is to form an opinion on the basis of material on record that a particular ground, as stipulated in the said Section, exists and is established; - such an opinion has to be supported with reasons; - before arriving at this opinion, the authority would give opportunity to the affected party to make submissions - affected party ca challenge the invocation of provisions of Sec. 9-D of the Act in a particular case by filing statutory appeal, which provides for judicial review.