TMI Blog2013 (7) TMI 582X X X X Extracts X X X X X X X X Extracts X X X X ..... violence to it, so as to achieve the obvious intention of the legislature and produce a rational construction. Since the purported objective of the amendments introduced in Chapter XIX-A by the 2007 Act is to streamline the proceedings before the Settlement Commission and to ensure expeditious disposal of pending cases, the amendments cannot be construed so as to punish an applicant for the inability or failure of the Settlement Commission to dispose of its application within the period specified in section 245D (4A), where such delay in disposal is not attributable to the applicant. By reading down the provisions of Section 245D (4A) (i) and Section 245HA (1) (iv) the constitutional validity of the amendments providing abatement of p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to decide the applications on merits on or before 31.3.2008. A further prayer is made to direct the respondents to exclude all materials on the file of the Settlement Commission arising from the application for settlement filed by the petitioner from any proceedings initiated/continued against the petitioners by any Income Tax Authority. 3. By interim orders passed in all these writ petitions the provision for abatement of proceeding relating to the petitioners pending before the Settlement Commissioner was stayed with a clarification that the pendency of the writ petition will not come in the way of the Settlement Commission in disposing the matter before it in accordance with law. 4. In some of the cases, which were connected to this ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... harsh and absurd result must be rejected. It further held that since the purported objective of the amendments introduced in Chapter XIX-A by the 2007 Act is to streamline the proceedings before the Settlement Commission and to ensure expeditious disposal of pending cases, the amendments cannot be construed so as to punish an applicant for the inability or failure of the Settlement Commission to dispose of its application within the period specified in section 245D (4A), where such delay in disposal is not attributable to the applicant. The time limit for disposal of an application under Section 245D (4A) (I) will have to be read as "may" to the extent that it is not on account of the fault of the applicant. Consequently, Section 245HA (1) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ection 245HA (1) (iv) will have applicability, meaning and effect. We may also clarify that the expression "reasons attributable" should be reasonably construed. While so dealing, the Settlement Commission shall also to consider whether in the petition before this court the petitioner had averred that the proceedings were delayed not on account of any reason attributable to him, and whether the State had denied the same, if there be no denial then to reconsider that circumstances in favour of the petitioner. From the above discussion having arrived at a conclusion that fixing the cut off date as March 31, 2008, was arbitrary the provisions of section 245HA (1) (iv) to that extent will be also arbitrary. We have also held that it is possib ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the judgment of the Bombay High Court, with which we respectfully agree, and against which the department could not cite any judgment of any other High Court of Apex Court, which may have taken a different view and on the same reasoning we hold that by reading down the provisions of Section 245D (4A) (i) and Section 245HA (1) (iv) the constitutional validity of the amendments providing abatement of proceedings may be saved and protected from the vice of discrimination, and issue same directions to find out, if the delay is attributable to the applicants before making final order. 10. We further direct that in carrying out the directions of this Court in the pending applications, the Settlement Commission will, in arriving at a finding on ..... X X X X Extracts X X X X X X X X Extracts X X X X
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