TMI Blog2015 (10) TMI 223X X X X Extracts X X X X X X X X Extracts X X X X ..... impugned assessment order further reveals that same has been passed by the Deputy Commissioner of Sales Tax, Bhubaneswar-II Circle, Bhubaneswar as assessing authority. A portion of the audit visit report under annexure 2 quoted above reveals that opposite party No. 3-Deputy Commissioner of Sales Tax, Bhubaneswar had issued letter No. 747 dated January 21, 2014 relying upon which audit visit report was prepared. - Deputy Commissioner of Sales Tax, Bhubaneswar-II Circle, Bhubaneswar-opposite party No. 3, who has passed the impugned order of assessment on the basis of the audit visit report is involved in the audit process - principle of natural justice demands that nobody shall be a judge of his own cause - Impugned order is set aside - Decid ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t is nothing but outcome of influence and bias on the part of the assessing officer, on whose instigation, the audit visit report has been pre pared. The Deputy Commissioner of Sales Tax-opposite party No. 3 being the purported author of the audit visit report could not have utilised the said report to assess the petitioner-company under section 42 of the OVAT Act. Mr. Mohanty further submitted that a person cannot be a judge of his own cause. Hence, the impugned order of assessment dated August 1, 2014 passed by the Deputy Commissioner of Sales Tax-opposite party No. 3 on the basis of the audit visit report, which again relied on the letter dated January 21, 2014 of the DCCT, Bhubaneswar-II Circle, Bhubaneswar is illegal, arbitrary, perver ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ere under: But examination of books of accounts furnished by the dealer company and the letter received from the DCCT, Bhubaneswar-II Circle, Bhubaneswar bearing letter No. 747 dated January 21, 2014 regarding the business transaction of the dealer the following information has been gathered regarding the sale in transit of the dealer for the period covered under audit: 1. The instant dealer enters into a prior agreement before the goods occasions inter-State movement. 2. The perspective buyer offers the product specification of the goods to be purchased and accordingly goods are purchased from outside the State. 3. Inter-State purchase bill has been issued in the name of ultimate buyer in each and every case reflecting name of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... consignment into the State of Odisha has been supplied by M/s. Ind Barath Energy (Utkal) Ltd. means the goods have been handed over to ultimate buyer without transfer of document of title to the goods by M/s. ABB India Ltd. Moreover analysis of the aforementioned LR and other documents like the invoice issued by the outside State party, i.e., M/s. Raychem RPG Pvt. Ltd. attached in the report reveals that bill No. 4201100380/December 27, 2011 has been invoiced to M/s ABB Ltd. where the ultimate consignor is M/s. Ind Barath Energy (Ltd.) against WB No. BBB-0041163. Further, the documents enclosed with the report which potentially carries the statement of the Manager, Accounts Finance, M/s. Ind Barath Energy (Utkal) Ltd. states that there i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... under: 20 The aim of the rules of natural justice is to secure justice or to put it negatively to prevent miscarriage of justice. These rules can operate only in areas not covered by any law validly made. In other words they do not supplant the law of the land but supplement it. The concept of natural justice has undergone a great deal of change in recent years. In the past it was thought that it included just two rules namely: (1) no one shall be a judge in his own case (Nemo debetesse judex propria causa) and (2) no decision shall be given against a party without affording him a reasonable hearing (audi alteram partem). Very soon thereafter a third rule was envisaged and that is that quasijudicial enquiries must be held in good faith ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eporting officer himself took up the impugned assessment proceedings and completed the same. This he could not have done'. 11. In the facts situation, we set aside the order of assessment dated August 1, 2014 (annexure 6) passed by the Deputy Commissioner of Sales Tax, Bhubaneswar-II Circle, Bhubaneswar and remand the matter for fresh assessment by the competent authority having jurisdiction over the dealer, who is in no way connected with the tax audit of the petitioner. We make it clear that we have not expressed any opinion on the merit of the case except on the question of jurisdiction/authority of opposite party No. 3, who has passed the impugned order of assessment. The fresh assessment process shall be completed within a peri ..... X X X X Extracts X X X X X X X X Extracts X X X X
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