Appeal details
Counselvise Citation
[2023] 102 COUNSELVISE.COM (IT) 1494 (ITAT-DELHI)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
3 year(s) 8 month(s) 20 day(s)
Appellant
Respondent
Appeal Type
Cross Objection
Pronouncement Date
11-09-2023
Appeal Filed By
Assessee
Order Result
Allowed
Bench Allotted
I
Next Hearing Date
11-09-2023
Assessment Year
2008-2009
Appeal Filed On
22-12-2019
Judgement Text
IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘I’ NEW DELHI BEFORE SHRI SAKTIJIT DEY, VICE-PRESIDENT AND DR. BRR KUMAR, ACCOUNTANT MEMBER ITA Nos. 5424 & 5425/Del/2015 Assessment Years: 2007-08 & 2008-09 ACIT, Central Circle-3, New Delhi. Versus Bhushan Steel Ltd., F-Block, 1 st Floor, International Trade Tower, Nehru Place, New Delhi. PAN: AAACB1247M (Appellant) (Respondent) C.O. Nos. 157 & 158/Del/2019 (in ITA Nos. 5424 & 5425/Del/2015 Assessment Years: 2007-08 & 2008-09 Bhushan Steel Ltd., F-Block, 1 st Floor, International Trade Tower, Nehru Place, New Delhi. Versus ACIT, Central Circle-3, New Delhi. (Appellant) (Respondent) Assessee by : Sh. Ashwani Kumar, Advocate Revenue by : Sh. Rajesh Kumar, CIT-DR Date of hearing : 12.09.2023 Date of pronouncement: 12.09.2023 ORDER Captioned appeals by the Revenue and cross objections of the assessee arise out of two separate orders, both dated 02.06.2015, of ITA Nos. 5424 & 5425/Del/2015 and C.O. Nos. 157 & 158/Del/2019 2 learned Commissioner of Income-tax (Appeals)-23, New Delhi pertaining to assessment years 2007-08 and 2008-09. 2. While Revenue’s appeals are challenging the decision of learned Commissioner (Appeals) in granting relief to the assessee in the matter of various additions made by the Assessing Officer, in the cross objections, the assessee has raised a preliminary issue of maintainability of the present appeals of the Revenue. 3. We have heard Shri Ashwani Kumar, Advocate, learned counsel appearing for the assessee and Shri Rajesh Kumar, learned CIT-DR. 4. Learned counsel for the assessee has contended before us that since, the National Company Law Tribunal (NCLT) is seized of the proceedings initiated under section 7 of the Insolvency and Bankruptcy Code, 2016 and has already approved a resolution plan and granted moratorium in respect of any other proceedings pending before any authority or Tribunal etc., the present appeals cannot continue. He submitted, under similar circumstances, appeal filed by the Department in case of M/s. Bhushan Energy Ltd., another group entity, has been dismissed by the Tribunal. In this context, he placed on record order dated 17.04.2023 passed in ITA No. 5429/Del/2015 and C.O. No. ITA Nos. 5424 & 5425/Del/2015 and C.O. Nos. 157 & 158/Del/2019 3 159/Del/2019. Thus, he submitted, the appeals of the department have to be dismissed. 5. Learned Departmental Representative could not controvert the factual position brought on record by the assessee. 6. Having considered rival submissions and perused materials on record, we find that certain financial creditors have filed applications under Insolvency and Bankruptcy Code, 2016 before NCLT seeking initiation of corporate insolvency resolution process (CIRP). It is observed, NCLT has passed an order on 15.05.2018 approving the resolution plan/process. Thus, in terms with the order passed by NCLT, the present proceedings before the Tribunal cannot continue. That being the position in law, no useful purpose is going to be served in continuing the present proceedings. Therefore, in our considered opinion, the present appeals need to be consigned to the records. 7. In view of the aforesaid, we dismiss these appeals. However, liberty is granted to the Revenue to seek revival of the appeals in case order of NCLT is either reversed or modified or varied by any higher judicial forum or, if it is necessary to do so in the interest of the parties. ITA Nos. 5424 & 5425/Del/2015 and C.O. Nos. 157 & 158/Del/2019 4 8. In the result, Revenue’s appeals are dismissed and cross objections are allowed. Order pronounced in the open court on 12/09/2023. Sd/- Sd/- (DR. BRR KUMAR) (SAKTIJIT DEY) ACCOUNTANT MEMBER VICE-PRESIDENT Dated: 12.09.2023 *aks/-
