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2014 (7) TMI 576 - HC - VAT and Sales TaxValidity of Search and seizure - Validity of authorization - seizure of documents - search of business and residential premises of directors - Held that:- Letter of authorisation was not shown to the officers/employees of the petitioner. Independent witnesses were not called during the search and seizure and the respondents took over the boxes, without issuing any receipt, from the premises of petitioner, which vitiates the entire search and seizure conducted by the respondents. The aforesaid provisions have been made to safeguard the interest of persons who are affected by such search and seizure. It was obligatory on the part of the officer about to execute the search warrant to call on two or more respectable inhabitants of the locality where the search was to be conducted, as has been held by the apex court in Sunder Singh v. State of Uttar Pradesh [1955 (11) TMI 33 - SUPREME COURT]. It was the legal obligation on the part of the respondent to call two independent respectable inhabitants of the locality to attend the search and seizure, made by them. But it is apparent that the entire procedure was given go-bye by the respondents. Even they have not cared to call any of the witness at the time of search and seizure. It is not the case of respondents that no witness was available or attended the aforesaid search and seizure, in absence of which the entire seizure can be held to be illegal. The action of the respondents in respect of search and seizure cannot be approved by this court and it is held that the entire search and seizure was illegal - The respondents have seized various documents alleging evasion of tax by the petitioner. Though the entire search and seizure has been held to be illegal, but the respondents may proceed on the basis of documents seized by them to find out whether there was any evasion of tax by the petitioner. However, the evidence so collected by the respondents in respect of evasion of tax by the aforesaid search and seizure, which has been held to be illegal, the authority considering the matter shall evaluate the evidence with great caution, as per the law laid down by the apex court in Baldev Singh [1999 (7) TMI 630 - SUPREME COURT] - Decided in favour of assessee.
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