Dipesh Chandak vs Union Of India (Uoi)

The Supreme Court held that a pardon granted under Section 306 of the Criminal Procedure Code does not provide immunity from prosecution under Sections 277 and 278 of the Income Tax Act unless the conditions of the pardon are fulfilled. The Court clarified that the pardon applies to offences punishable with imprisonment up to seven years, including those under the Income Tax Act, but the appellant remains an accused until he fully complies with the terms of the pardon. The appeal against the High Court's dismissal of the quashing petition was therefore rejected, affirming the continuation of the prosecution.