Sorry, this lawyer can't accept your request, but you can request consultation with another lawyer
  • Household expenses in disproportionate asset case - calculation thereon

Ever since I joined National Airports Authority of India/Airports Authority of India - Apr,1993 to Mar,2012 - I was transferred 11 times from South to North, East to West.
In a Disprportionate case registered against me, the check period is 01.01.2005 to 29.02.2008. During the period I was(1). at Mumbai from Jan, 2005 to Aug, 2005 - as GM, Finance (2) from Aug, 2005 to Aug, 2007 at Calicut as Airport Director and (3) at Guwahati from Sep, 2007 to Sept, 2008 as Airport Director.
In view of frequent transfers, for education purposes of my daughter and son, I had left my family (Consisting of my widowed aged mother, my wife and my 2 children) at Madurai and my in laws were looking after them. I was moving alone and staying in quarters allotted by AAI. My daughter was doing her B.E., (2004 to 2007) at Thiagarajar College of Madurai and my son was doing his B.E.at Mepco Shelink Engg. College, Sivakasi as days-scholar. (Sivaksasi is about 40 km from Madurai and college provides bus services for days scholar).
During Jan, 2005 to Feb, 2008,my gross salary was Rs.20,57,648.,( including IT Rs.3,07,211 and Professional Tax Rs.11,200 paid) . However, 33% of Rs.20,57,648 i.e., Rs.6,79,023 is taken as Household edpenses.
 Income Tax paid (Rs.3.07,211) and Professional Tax paid (Rs.11,200) were not deducted from the gross salary.
As I had left my family to the care of my in laws at Madurai and they have met all their expenses, it is considered that only 20% of Rs.6,79,023 has to be considered ,as household expenses.
Further, CBI had omitted substantial amount of my income from my employer and out of investments etc., were not computed. 
Kindly advise with related judgements to defend my in the case., in respect of my claim of 20% of Gross Salary (Less IT and Professional Tax)
Asked 4 years ago in Criminal Law
Religion: Hindu

3 answers received in 2 hours.

Lawyers are available now to answer your questions.

6 Answers

The legal position is well settled that in case assets possessed by the accused in excess of surplus income are less than 10% of the total income, the same cannot be said to be disproportionate to his known source of income. (Krishnanand Agnihotri vs State of MP3 and Krishna Reddy vs State, Deputy Superintendent of Police Hyderabad 4).

 

2) It is settled position of law that one third of the income of the person concerned is to be taken into account for estimating household expenditure. In Sajjan Singh vs State, (Supra) wherein net income was  Rs.1,03,000/-, it was observed that at least Rs.36,000/- must have been spent in living expenses. This criteria of taking one third income as house hold expenditure has been consistently followed by the Courts as well as investigating agencies.

Ajay Sethi
Advocate, Mumbai
99775 Answers
8145 Consultations

If you had engaged a counsel to defend your case he will take care of position of law. 

G.RAJAGANAPATHY 

High Court of Madras 

Rajaganapathy Ganesan
Advocate, Chennai
2300 Answers
8 Consultations

Yes it's 20 percent

Prashant Nayak
Advocate, Mumbai
34514 Answers
249 Consultations

Disproportionate assets is a term used in India to describe a situation where an individual's net economic assets significantly exceed the assets he or she should possess after accounting for the assets that he or she previously held and all legal sources of income.

In B.C. Chaturvedi vs Union Of India And Ors on 1 November, 1995  case it was observed that in Krishnanand v. State of M.P. [(1977) 1 SCC 816] had held that 10% of the disproportionate assets need to be deducted in arriving at the finding that the appellant had disproportionate assets. The appellant was found to be in possession of Rs. 1,04,585/-. The disproportionate assets were only to the tune of about Rs. 30,000/-. It would not be axiomatic that 10% would be a cut-off deduction. In an appropriate case deduction could be extended upto 15% and if so extended, the appellant must be held to be not in possession of any disproportionate assets. The gifts made to his wife at the time of their marriage and to his children at the time of their birthdays are not his assets. If these amounts are excluded, which indeed must be excluded, he is not in possession of disproportionate assets. The wife of the appellant is a teacher. The income from her salary and her gifts of the extent of Rs. 21,000/- require to be excluded from his assets. Therefore, the findings of the Tribunal on merits were not valid in law. 

Being a public servant, if at any time, during the period of his office, he is proved to have been in possession, by himself or through any person on his behalf, of pecuniary resources or property disproportionate to his known source of income, he is enjoined to satisfactorily account for the same.

s.5(1)(e) making, possession of disproportionate assets by a public servant, a substantive offence. Section 5(1)(e) of the Act reads:

 

5.(1) A public servant is said to commit the offence of criminal misconduct-

(e) if he or any person on his behalf is in possession or has, at any time during the period of his office, been in possession, for which the public servant cannot satisfactorily account, of pecuniary resources or property disproportionate to his known sources of income.

 

To substantiate the charge, the prosecution must prove the following facts before it can bring a case under s. 5(1)(e), namely, (1) it must establish that the accused is a public servant, (2) the nature and extent of the pecuniary resources or property which were found in his possession, (3) it must be proved as to what were his known sources of income i.e. known to the prosecution, and (4) it must prove quite objectively, that such resources or property found in possession of the accused were disproportionate to his known sources of income. Once these four ingredients are established, the offence of criminal misconduct under s. 5(1)(e) is complete, unless the accused is able to account for such resources or property. 

T Kalaiselvan
Advocate, Vellore
89977 Answers
2492 Consultations

 - As per C.B.I. vs . Rajender Pal Chopra judgment , the legal position is well settled that in case assets possessed by the accused in excess of surplus income are less than 10% of the total income, the same cannot be said to be disproportionate to his known source of income. (Krishnanand Agnihotri vs State of MP3 and Krishna Reddy vs State, Deputy Superintendent of Police Hyderabad 4). In view of this, in the present case, the accused's possession of excess assets to the tune of 2.75% of total income during the check period falls short of being termed as "disproportionate to his 3(1977) 1 SCC 816 4(1992) 4 SCC 45 CBI Vs. Rajender Pal Chopra 46 out of 47 ID No. 02401R[deleted] known source of income". Therefore, accused cannot be convicted U/S 13 (1).

Mohammed Shahzad
Advocate, Delhi
15814 Answers
242 Consultations

Dear Client,

The information is too much clustered to answer this question.

Thankyou

Anik Miu
Advocate, Bangalore
11014 Answers
125 Consultations

Ask a Lawyer

Get legal answers from lawyers in 1 hour. It's quick, easy, and anonymous!
  Ask a lawyer