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2021 (8) TMI 1356 - HC - Income TaxRecovery proceedings - provisional attachment order - fixed deposit of the petitioners have been attached by respondent No. 1 by passing provisional order of attachment invoking section 281B(1) - HELD THAT:- Applying the principles laid down in Radha Krishan's case (2021 (4) TMI 837 - SUPREME COURT] to the facts of the instant case, a perusal of the impugned provisional attachment order will clearly indicate that except for merely stating that since there is a likelihood of huge tax payments to be raised on completion of assessment and that for the purpose of protecting the Revenue, it is necessary to provisionally attach the fixed deposit of the petitioners, the other mandatory requirements and precondition as laid down by the apex court have neither been complied with nor fulfilled or followed prior to passing the impugned order. It is apparent that the impugned provisional attachment orders at annexures D and D1 do not satisfy the legal requirements as laid down in Radha Krishan's case (supra) and consequently, in view of the fact that the impugned provisional orders are cryptic, unreasoned, non-speaking and laconic, the same deserve to be quashed. In so far as the apprehension of the respondents that in the event huge tax payments are to be raised as against the petitioner-assessees, the assessee may not make payment of the same causing loss to the Revenue is concerned, in the light of the undisputed fact that the proceedings under section 153A of the said Act of 1961 have already been initiated coupled with the fact that section 281 of the said Act of 1961, contemplates that any alienation of any property belonging to the petitioners would be null and void, in addition to the specific assertion made by the petitioner that they own and possess immovable property to the tune of more than Rs. 300 crores, the said apprehension of the respondents is clearly unfounded and without any basis and consequently the said apprehension of the respondents cannot be accepted.The petition is allowed.
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