TMI Blog2008 (7) TMI 1004X X X X Extracts X X X X X X X X Extracts X X X X ..... tice at Annex. A dt. 17th June, 1998, on the basis of the fact that the petitioner is a partner of the firm Vikas Shipping Corporation as the search was carried out in the premises of the firm. 2. It is contended that one M/s Vikas Shipping Corporation was a partnership firm engaged in the business of shipping and the search of the premises of the said partnership firm was carried out on 19th Dec., 1997, and on the basis thereof, pursuant to the report made by Addl. Director of IT, Bhavnagar, the impugned notice in exercise of power under s. 158BD of the IT Act, 1961, has been issued, which is challenged in the present petitions. 3. Affidavit-in-reply has been filed by the Asstt. CIT and thereafter, further affidavit has been filed. A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... could have been reached. Therefore, learned senior counsel Mr. Soparkar has submitted that as no material/books of accounts have been seized on the basis of which such satisfaction could have been reached, the power could not have been resorted qua the partner (petitioner). Mr. Soparkar has also submitted that it is not even reflected that any such satisfaction has been reached in the impugned order. Therefore, learned senior counsel Mr. Soparkar has submitted that the impugned notices deserve to be quashed and set aside and the present petitions may be allowed. 6. Mr. Soparkar has further submitted that for computation of undisclosed income of the block period, the provision is made under s. 158BB and referring to these provisions of s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e has further submitted that further affidavit has also been filed that satisfaction was recorded by himself and, therefore, there is a compliance with the requirement of law that he himself should reach the satisfaction relying on the report submitted to him. Mr. Bhatt has, therefore, strenuously submitted that there is no error of jurisdiction and, therefore, at this stage, the Court may not exercise its extraordinary powers under Art. 226 and, therefore, may not quash and set aside the impugned notices. 8. In view of this rival submission, it is required to be considered whether the impugned notice requires to be quashed and set aside. For that purpose, the submissions made by learned senior advocate Mr. S.N. Soparkar as regards the c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t or other assets which forms the foundation or the basis of arriving at such satisfaction regarding invocation of s. 158BD for the block assessment for the undisclosed income of any other person. Undisputedly, no further material has been found or recovered during the search at the premises of the firm which is also not reflected in the impugned notice or even the affidavit filed. Therefore, in absence of any (sic.) material or books of account on the basis of which the satisfaction as contemplated under law could be arrived at by the authority is admittedly, not seized during the search of the premises of the firm. Therefore, in absence of any such additional material or books of account or evidence, there is no premise or foundation for ..... X X X X Extracts X X X X X X X X Extracts X X X X
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