1959 (5) TMI 4 - SUPREME COURT

Whether the receipt of the cheques in Bhavnagar amounted to receipt of sale proceeds in Bhavnagar ?

Held that:- The question of law which was referred by the Tribunal to the High Court for its decision was : "Whether the receipt of the cheques at Bhavnagar amounted to receipts of sale proceeds in Bhavnagar" and it was only based on the facts admitted and/or found by the Tribunal which had relevance only to that question and not to the question which was sought to be mooted by the High Court in its judgment under appeal. If the latter question was allowed to be entertained the question would have to be recast as under : "Whether the posting of the cheques in British India at the request, express or implied of the appellant, amounted to receipt of sale proceeds in British India"--a question quite distinct and separate from the question of law which was actually referred by the Tribunal to the High Court in the statement of case drawn on November 5, 1954.

We are, therefore, of opinion that the High Court was in error in not deciding the reference before it and answering the question on the facts disclosed in the statement of case. We are also of opinion that in the circumstances of this case the High Court had no jurisdiction under section 66(4) to direct the Tribunal to submit a supplementary statement of case on the points mentioned in its judgment.

The result, therefore, is that the appeal will be allowed and the matter remanded to the High Court to arrive at its decision on the question of law referred to it in the statement of case already submitted to it by the Tribunal