ACIT, New Delhi V. M/s. Kuber Mutual Benefits Ltd., Uttar Pradesh

ITA 1111/DEL/2011

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 74231 (ITAT-DELHI)
• Duration Of Justice: 2 year(s) 11 month(s) 14 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-02-2014
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: D
• Next Hearing Date: 10-02-2014
• Assessment Year: 1999-2000
• Appeal Filed On: 01-03-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: YOGESH VERMA
• Assessee Lawyers: SUMIT GOE L

Judgement Text

INCOME TAX APPELLATE TRIBUNAL DELHI BENCH D : NEW DELHI BEFORE SHRI S.V. MEHROTRA , ACCOUNTANT MEMBER AND SHRI A. T. VARKEY, JUDICIAL MEMBER ITA NO. 1110 /DEL/ 2011 (ASSESSMENT YEAR: 1996 - 97 ) & ITA NO. 1111 /DEL/ 2011 (ASSESSMENT YEAR: 1999 - 2000 ) ACIT CIRCLE - 5(1), ROOM NO. 409A C. R. BUILDING, I.P. ESTATE, NEW DELHI VS. KUBER MUTUAL BENEFITS LTD, 1, BEGUM BRIDGE ROAD, UTTAR PRADESH PAN AAACK4639E (APPELLANT) (RESPONDENT) APPELLANT BY : YOGESH VERMA, CIT DR RESPONDENT BY: SUMIT GOE L , CA O R D E R PER BENCH THESE APPEALS ARE PREFERRED BY THE REVENUE AGAINST THE RESPECTIVE ORDER OF THE LD CIT(A), VIII, NEW DELHI DATED FOR THE CONCERNED ASSESSMENT YEARS 1996 - 97 AND 1999 - 2000. 2. AT THE OUTSET THE LD AR POINTED OUT THAT THE ASSESSEES CROSS APPEALS FOR ASSESSMENT YEAR 1996 - 97 BEARING IN ITA NO. 1178/DEL/2011WAS DISPOSED OFF VIDE ORDER DATED 30.07.2013 AND FOR ASSESSMENT YEAR 1999 - 2000 BEARING ITA NO. 1193/DEL/2 011 VIDE ORDER DATED 13.02.2012, WHEREIN THE SAID APPEAL S WERE HELD AS NON - MAINTAINABLE ON THE GROUND THAT THE APPEAL WAS NOT DULY SIGNED BY THE OFFICIAL LIQUIDATOR AND LIBERTY WAS GRANTED TO THE OFFICIAL LIQUIDATOR TO FILE FRESH APPEAL IF SO DES IRED. IT HAS BEEN BROUGHT TO OUR NOTICE THAT THE ASSESSEE COMPANY HAS GONE INTO THE LIQUIDATION VIDE HONBLE ALLAHABAD HIGH COURT ORDER DATED 23.04.2002 PASSED IN CP NO. 87/1999 AND THE PARTICULARS OF LIQUIDATOR IS AS UNDER: - PAGE NO. 2 SH.O.P. SHARMA (OFFICIAL L IQUIDATOR) 9 TH FLOOR, SANGAM PLACE, CIVIL LINES, ALLAHABAD, U.P. 3. IT HAS BEEN FURTHER SUBMITTED THAT THE PRESENT APPEALS HAVE BEEN FILED BY THE DEPARTMENT SUBSEQUENT TO THE LIQUIDATOR APPOINTED BY THE HONBLE HIGH COURT AND SINCE THE CROSS APPEALS PREFERRED BY THE ASSESSEE HAS BEEN DISMISSED AND HELD AS NON - MAINTAINABLE BECAUSE THE OFFICIAL LIQUIDATOR HAS NOT SIGNED THE APPEAL SO THE DEPARTME NTS APPEAL ALSO NEED TO BE DISMISSED SINCE OFFICIAL LIQUIDATOR HAS NOT BEEN MADE A PARTY IN THE APPEALS. 4. WE HAVE CAREFULLY PERUSED THE RECORD AND HEARD THE SUBMISSIONS OF BOTH THE PARTIES. 5. WE HAVE CONSIDERED THE FACTS AS FAR AS THE MAINTAINABILITY OF THE APPEAL IS CONCERNED. IT IS NOT IN DISPUTE THAT THE ASSESSEE COMPANY IS UNDER LIQUIDATION AND AN OFFICIAL LIQUIDATOR STANDS ALREADY APPOINTED BY THE ORDER OF THE HONBLE COURT. AS PER COMPANIES ACT, 1956, NO DOUBT, POWERS OF LIQUIDATOR WHICH INCLUDE S THE POWER TO DEFEND LEGAL PROCEEDINGS, CIVIL OR CRIMINAL ARE TO BE IN THE NAME AND ON BEHALF OF THE COMPANY. SECTION 178 OF THE INCOME TAX ACT, 1961 (HEREIN AFTER THE ACT) RECOGNIZES THE OFFICIAL LIQUIDATOR AS THE CONCERNED PERSON IN THE CASE COMPANY I S UNDER LIQUIDATION. SO IT CAN BE SEEN THAT THE OFFICIAL LIQUIDATOR HAS TO DEFEND THE CASE IF ANY FILED AGAINST THE COMPANY. IN THIS CASE THE REVENUE HAS FILED THE APPEAL AGAINST THE ASSESSEE COMPANY WITHOUT BRINGING THE OFFICIAL LIQUIDATOR IN THE ARRAY OF PARTIES. THEREFORE WITHOUT NOTICE TO HIM, THE OFFICIAL LIQUIDATOR WOULD NOT BE IN A POSITION DEFEND ANY CASE FILED AGAINST IT. THEREFORE THE APPEAL PREFERRED BY THE REVENUE AGAINST THE ASSESSEE COMPANY WITHOUT BRINGING THE OFFICIAL LIQUIDATOR IS BAD FOR N ON - JOINTER OF ESSENTIAL PARTY. THEREFORE WE HOLD THAT APPEALS PREFERRED BY THE REVENUE IN THE INSTANCE CASES AS NON - MAINTAINABLE AND THEREFORE DISMISSED. FURTHER WE GIVE LIBERTY TO THE DEPARTMENT TO FILE FRESH APPEAL BY BRINGING ON RECORD THE OFFICIAL LIQU IDATOR IF ADVISED SO. PAGE NO. 3 6. IN THE RESULT THE APPEALS ARE DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 14 . 02 .2014. - SD/ - - SD/ - ( S.V. MEHROTRA ) (A. T. VARKEY) ACCOUNTANT MEMBER JUDICIAL MEMBER DATED 14 / 02 / 2014 A K KEOT COPY FORWARDED TO 1. APPLICANT 2. RESPONDENT 3. CIT 4. CIT (A) 5. DR:ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI