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This is an archive article published on January 19, 2024

Bombay HC restrains several entities from operating unauthorised PAN card services

The HC, while passing an ex-parte order against over 10 entities, stated the "national importance" of PAN services and said any potential misuse of the authorisation would be "highly detrimental" to UTITSL and the national interest.

Bombay HC restrains several entities from operating unauthorised PAN card servicesTo detect if your PAN card has been misused, it is crucial to regularly monitor your financial and tax-related activities. Here are some steps you can take.

In an interim relief to government owned UTI Infrastructure Technology and Services Limited (UTITSL), the Bombay High Court last week passed an injunction order against known and unknown entities allegedly operating fake websites and claiming to provide PAN card issuance services on behalf of the UTITSL.

The HC, while passing an ex-parte order against over 10 entities, stated the “national importance” of PAN services and said any potential misuse of the authorisation would be “highly detrimental” to UTITSL and the national interest.

The Court noted that “with fake websites continuing to be active, it would cause irreparable damage and severely compromise valuable confidential data of the plaintiff and also pose a threat at a national level”.

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The HC stated that the central government made it mandatory for PAN card holders to link it to their Aadhar card, which was an acceptable proof of identification in India, therefore, “any potential misuse of the licence/authorisation to issue PAN cards, would be highly detrimental not only to the interest of the plaintiff, but also to the national interest.”

It said, therefore, the interim ex-parte order was required to be passed on a urgent basis without the plea being served to the defendants.

A single-judge bench of Justice Bharati H Dangre on January 12 passed an order in an application filed by the UTITSL, seeking an interim relief of restraining several companies and unknown persons from infringing upon its copyrighted label and mark.

The UTITSL had sought its mark and label to be protected in view of the “national importance” of the services it provided.

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The HC noted that services provided by the government owned firm were exclusive in nature. “It cannot be in dispute that the PAN system is of paramount importance on a national scale due to its multifaceted impact on governance, taxation, and financial integrity and it can be said to be the cornerstone of a robust financial economic system,” the court said in its order.

The bench added that PAN related services are “pivotal in fostering fiscal discipline and ensuring a transparent and accountable economic framework” and it also aims at streamlining tax recovery and payment processes.

The plaintiff company argued that the defendants provided unauthorised identical services and collected personal and confidential data of citizens and misled them into making payments and fabricating public documents.

The bench posted the matter for further hearing to February 20 and said interim order shall continue till then.

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