2004-VIL-337-DEL-DT

Equivalent Citation: [2007] 289 ITR 328

DELHI HIGH COURT

I. T. A. Nos. 2 and 3 of 2004

Date: 09.01.2004

COMMISSIONER OF INCOME-TAX

Vs

MS. ROHINI S. WALIA, COMMISSIONER OF INCOME-TAX

BENCH

Judge(s)  : B. C. PATEL., BADAR DURREZ AHMED.

JUDGMENT

Both these appeals are preferred against a common order made by the Income-tax Appellate Tribunal in I. T.(SS) Appeal No. 83/Delhi of 2002 for block period April 1, 1989 to July 27, 1999, and I. T. (SS) Appeal No. 1421 Delhi of 2002 for block period April 1, 1989, to July 27, 1999. In both the cases, the facts were common and hence, the Tribunal disposed of both the appeals by a common judgment and/or order. The Tribunal on the material placed before it, arrived at a conclusion that there were no search warrants in the name of the assessees and hence it accepted the contention of learned counsel that the proceedings initiated under section 158BC in the cases of the assessees were ab initio void and without jurisdiction. Learned counsel for the Department was unable to furnish any clarification and stated before the Tribunal that the facts stated by the assessees regarding non-issuance of the search warrant in the case of the two ladies were correct. It is in view of this that the Tribunal has held that unless a search warrant is issued, the Assessing Officer cannot invoke the provisions of section 158BC for initiation of block assessment proceedings under Chapter XIV-B. However, so far as the bank locker is concerned, it is submitted that the officer was armed with the search warrant and, therefore, whatever the property was found, namely, jewellery, money and bonds, etc., the assessees ought to have been assessed and the Tribunal ought not to have interfered with the order made by the Commissioner of Income-tax (Appeals).

Interestingly, the Tribunal recorded a finding that no addition whatsoever has been made in either of the two cases on the basis of the assets found in the respective lockers which were being operated by each of the assessees jointly with their husbands. In these circumstances, it would be a futile exercise if these appeals are entertained.

Hence, the appeals are dismissed.

 

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