Home Case Index All Cases Income Tax Income Tax + SC Income Tax - 2014 (11) TMI SC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (11) TMI 854 - SC - Income TaxValidity of Search and seizure - information in possession of the officer - High Court has quashed the search and seizure conducted on 16.2.2000 in the factory premises of assessee – Held that:- The reasons cannot be accepted – it cannot be comprehended as to how an Advocate Commissioner was appointed to take inventory of the goods in respect of which the restraint order was passed by the revenue under the Act - it is difficult to appreciate how the denial in the counter affidavit filed by the revenue could be treated as an admission by implication to come to a conclusion that no reason was ascribed for search and seizure and action taken u/s 132 of the Act was illegal - The relevant confidential file, if required and necessary could have been called for and examined - Revenue in the counter affidavit was not required to elucidate and reproduce the information and details that formed the foundation. The terms used are ‘reason to believe’. - Whether the competent authority had formed the opinion on the basis of any acceptable material or not, as is clear as crystal, the High Court has not even remotely tried to see the reasons – reasons can be recorded on the file and the Court can scrutinize the file and find out whether the authority has appropriately recorded the reasons for forming of an opinion that there are reasons to believe to conduct search and seizure - the High Court has totally misdirected itself in quashing the search and seizure on the basis of the principles of non-traverse - the High Court would have been well advised to peruse the file to see whether reasons have been recorded or not and whether the same meet the requirement of law – thus, the order of the High Court is set aside and the matter is remitted back for fresh disposal – Decided in favour of revenue.
|