TMI Blog1999 (12) TMI 31X X X X Extracts X X X X X X X X Extracts X X X X ..... sequent to the order of transfer be quashed and set aside being without jurisdiction. Initially, learned counsel appearing for the petitioner submitted that the petitioner is engaged in the business of diamond cutting and polishing and when the premises were searched only a mere sum of Rs. 310 was found by the raiding party. Learned counsel contended that the poor assessee was subjected to process of transfer of the case. It appears that the petitioner is a resident of Jasdan town. A search took place at the residence and business premises of the assessee on September 24, 1997, and the raiding party found out a mere sum of Rs. 310 from the assessee. The Additional Director of Investigation 3(2), Ahmedabad, had issued summons dated Novem ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... le the return. It seems that, thereafter again some objections were raised. However, the Assessing Officer made the assessment order on September 30, 1999, and it is, thereafter, on December 13, 1999, that the petition came to be filed. Relying on the judgment of the Supreme Court in the case of Ajantha Industries v. CBDT [1976] 102 ITR 281, learned counsel Mr. Patel, appearing for the assessee, submitted that when a case is transferred it is mandatory not only to record the reasons but to serve the order passed under section 127(1) of the Act to the assessee. In the said case, the Supreme Court pointed out as under : "That is the reason why before making an order of transfer the Legislature has ordinarily imposed the requirement of a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he Deputy Commissioner of Income-tax, Investigation Circle, Bhavnagar, filed an affidavit-in-reply along with a copy of the order, dated December 9, 1998. He pointed out in para. 4 that the order is a speaking order. The reason for transferring the case was the requirement of indepth investigation and coordinated action along with more than 30 other cases including that of Bhavani Gems group where searches were conducted under section 132 of the Act on April 25, 1997. It is also pointed out that the decision is not arbitrary. When a raid was carried out at the place of Bhavani Gems group the said material was found as a result of which the premises of the petitioner came to be raided. It was further pointed out that even assuming for the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... passed and that was within the knowledge of the assessee. So far as the reasons are concerned, this court need not examine the same in detail at this stage more particularly when the assessment order has been already passed against which the assessee has already preferred appeal. In the instant case, the assessee has allowed the procedure being completed without challenging the order and after the assessment order is made and has already preferred an appeal this petition is filed. Section 124 of the Act refers to the jurisdiction of the Assessing Officer. It was open to the assessee when he came to know that the said order is passed to move the Commissioner of Income-tax under section 124(2) of the Act who exercises powers under section ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Earlier, Mr. Bhatt submitted before us from the file of the office of the Assistant Director, Income-tax, Ahmedabad, that there was an assessment order covering 19475.80 diamonds. worth Rs. 12,34,775. The assessee, namely, Bhavani Gems group made payment of Rs. 1 crore and after appraising the relevant material and statements recorded the concealed income of the group was estimated at Rs. 49,19,94,900 and undisclosed income was Rs. 2,55,26,614. We have seen the original file and are satisfied that the officers have exercised their powers considering the situation. Even, after the notice it was certain that the assessee in the instant case was heard and he raised objections and they were considered and noted in the file. Even from the file i ..... X X X X Extracts X X X X X X X X Extracts X X X X
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