- In V. Vasanthakumar v. The Union of India (2018), a bench of CJ. Munishwar Nath Bhandari and J. D Bharatha Chakravarthy were dealing with a writ petition, which challenged the validity of Section 9 and Section 32(2)(a) of the Prohibition of Benami Property Transactions Act, 1988. While ruling Section 32(2) of the Prohibition of Benami Property Transactions Act, 1988 to be unconstitutional, the Hon'ble HC ordered the government to consider the Hon'ble SC judgment while framing new provisions.
- Section 9 of the Prohibition of Benami Property Transaction Act, 1988, talks about the Qualifications for the appointment of Chairperson and Members. But since this Section was already deleted, the court did not consider it.
- Section 32(2)(a) of the Prohibition of Benami Property Transaction Act, 1988, outlines the Qualifications for the appointment of Chairperson and Members of Appellate Tribunal. A person who has served in the Indian Legal Service and held the position of Additional Secretary or similar post, in the case of a Judicial Member, is qualified to become a member, according to the law.
- In a relevant case, Union Of India Vs. R. Gandhi, President, Madras Bar Association (2010), it was held by the Hon'ble SC that the post of a judicial member should not be given to a member of the Indian Legal Service but to someone who has served as a judge or as a member of the Bar.
- In another significant case, Shamnad Basheer V. Union of India & Others (2015), the SC emphasized the significance of a judicial member who has served as a judge or a member of the Bar. This is because, before the establishment of the tribunal, arbitration was done on a case-by-case basis. As a result of the tribunal's formation, they will be carrying out the task formerly carried out by the court. The selection of a judicial member to the goods and services tax appellate Tribunal was addressed in a similar case, Revenue Bar Association V. Union of India (2019).
- After hearing both sides and considering the cases mentioned earlier, the Hon'ble Court held that the exercise of authority by the legislature should be within the purview of making the judicial system self-reliant. The court also emphasized that the principle of judicial independence is critical, stressing the importance of separation of powers.
- Therefore, the writ petition was disposed of.
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