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Diya Arvind   09 March 2022

legal maxim

What is the scope of the maxim of "Acta Enteriora Iudicat Interiora Secreta"?


 1 Replies

Aarushi   09 March 2022

The Latin phrase of Acta Exteriora Iudicant Interiora Secreta literally means outwards acts indicate the thoughts hidden within. It simply means that whatever our outer actions are, it will reflect what we think on the inside. The Court assumes that the previous actions by the defendant would reflect on their further actions. This maxim deals with the intent of the parties and forms the most crucial part of criminal offences. For example, when a person pulls a trigger on another, it shows his inner intent that he wanted to shoot the person.

Sahara India Real Estate Corp. Ltd. v. SEBI

Sahara had put fifty or more shares for the public, but they never wanted to be listed on the Stock Market. The Supreme Court held that when fifty or more shares are listed by any company, it would be assumed that the intention of the company was to make an offer to the public under Section 67(3) of the Companies Act, 2013. When Sahara argued that there was no compulsion for the company to be listed under Section 73 of the Companies Act, 2013. The Court applied the maxim of Acta Exteriora Iudicant Interiora Secreta and held that when Sahara issued its shares, the intention of the Company was clear.

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