Sri. Janga Muralidhar Reddy V. The Union of India

WP/14545/2023

AI Insights

The case involves a writ petition filed under Article 226 of the Constitution of India, challenging the proceedings dated 05.05.2009 by the Tax Recovery Officer-II, Company Range II, Chennai, which declared the transfer of immovable property void due to violations of the Income Tax Act, 1961. The petitioners, who were affected by this order, argued that the delay in filing the writ was due to their unawareness of the order until they attempted to sell the property in 2022. However, the court dismissed the petition primarily due to the significant delay in filing and the existence of a previously dismissed civil suit on the same matter.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 743462 (HC-TELANGANA)
• Appeal Type: Others
• Pronouncement Date: 12-06-2023
• Assessment Year: misc
• Other Referred Cases: W.P.No.3721 of 2020
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Revenue
• Court: HIGH COURT
• Department Lawyers: GADI PRAVEEN KUMAR; J V PRASAD
• Assessee Lawyers: A P REDDY
• Keywords: Income Tax Dues; Transfer of immovable property; Violation of Principles of Natural Justice; Writ of Mandamus
• Section: 226; 281(1)

Judgement Text

"[3311 ] HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Jurisdiction) PRESENT THE HONOURABLE THE CHIEF JUSTICE UJJAL BHUYAN AND THE HONOURABLE SRI JUSTICE N.TUKARAMJI WRIT PETITION NO: 14545 OF 2023 Between 1. Sri. Janga Muralidhar Reddy, S/o. J.V.L.N.Reddy, Aged about 52 years, Occ. Engineer, Rl/o. H.No. 12-2-416149, Ushodaya Colony, Guddimalkapur, Hyderabad, Telangana, Presently residing at USA. Rep., by his Special Power of Attorney holder, Smt. Janga Kamalesh Kumari W/o. Late J.V.L.N Reddy, Aged about 77 years, Occ. Business,Fi/o. H.No. 12-2-416149, Ushodaya Colony, Guddimalkapur, Hyderabad, Telangana 2. Smt. Janga Kamalesh Kumari, W/o. J.V.L.N Reddy, Aged about 77 years, Occ. Business, Rl/o. H. No. 12-2-416149, Ushodaya Colony, Guddimalkapur, Hyderabad, Telangana 3. Smt. Janga Usha Rani, W/o. Gade Srinivas Reddy, Aged about 55 years, Occ. Employee, R/o. Premises No. 88C, tvllA Colony, Banjara Hills, Hyderabad-500034. 4. Sri. Y. Keshav Reddy, S/o. Y. Gangadhar Reddy, Aged about 59 Years, Occ. Business, Rl/o. H.No.8-3-3'19/T, Yellareddy Guda, Hyderabad 5. Sri. Julakanti Srinivasa Reddy, S/o. J. Nagi Reddy, Aged about 62 Years, Occ. Engineer, R/o. H. No. 12-2-4181317, Viswas Nagar, Gudi.malkapur, Hyderabad. Rep., by his General Power of Attorney holder, Smt. J. Usha Rani, Wo. G. Srinivas Reddy, Aged about 55 years, Rl/o. Flat No.202, Mogul Majestic Apts., A.C. Gaurds, Hyderabad 6. Sri. A. Srinivasa Reddy, S/o. A. Ramana Reddy, Aged about 60 years, Occ. Business, Rl/o. Plot No.80, Phase-|, Kamalpuri Colony, Hyderabad. 7. Sri. JangaVenkata Shekhar Reddy, S/o. J.V.L.N. Reddy, Aged about 55 Years, Occ. Engineer, Rl/o. House No. 12-2-416149, Ushodaya Colony, Guddimalkapur, Hyderabad, Telangana. Rep., by his Special Power of Attomey holder, Smt. Janga Kamalesh Kumari Wo. Late J.V.L.N Reddy, R/o. H.No. 12-2-416149, Ushodaya Colony, Guddimalkapur, Hyderabad, Telangana 8. Smt. Kola.Prasuna Reddy, W/o. Dr. Kola Prabhakar Reddy, Aged about 73 years, Occ. Doctor, Rio. Flat N. 404, Shilpi Homes, Deshmukh Colony, Hyderabad Rep., by her General Power of Attorney holder, Smt. Janga Usha Rani W/o. Gade Srinivas Reddy, Aged about 55 years, Occ. Employee, Rl/o. Premises No. 8BC, MLA Colony, Banjara Hills, Hyderabad-500034. ...PETITIONERS The Union of lndia, Rep. by its secretary, Ministry of Finance, New Delhi. The Tax Recovery Officer, Company Range - ll, lV Floor, New Block, Room No 404,121. N.H. Road, Chennai- 34. D 1 2 AN MONDAY,THE TWELFTH DAY OF JUNE TWO THOUSAND AND TWENTY THREE 3. M/s. I.G.G.|. Resorts International Ltd., A company incorporated under the provisions Of companies Act, 1956, having its office At 5-18-A, Alsa Mall Complex, 149, Monteth Road, Egmore, Chennai - 600008 Rep. by its Chairman and Managing Director. 4. Ivl/s. Lifestyle Constructions, A Partnership Firm, having its office, at H. No. 6-2-42, A.C. Guards, Hyderabad, Rep. by its Managing partner G, Srinivas Reddy, S/o. G. Hanimi Reddy 5. The District Registrar, Red hills, Hyderabad. 6. The Joint Sub - Registrar, Sanjeeva Reddy Nagar, Hyderabad. ...RESPONDENTS Petition under Article 226 of the Constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue a WRIT, ORDER or DIRECTION more particularly one in the nature of WRIT OF MANDAMUS challenging the order of the Respondent No.. 2 dated 05.05.2009 T.R. No. 29102-O3|TRO- ll wherein the Respondent No. 2 has opined that the transfer of immovable property pertaining to H. No.6-2-42, A.C. Guards, Hyderabad is declared void as illegal, arbitrary, without jurisdiction and in contravention to the Rule '11 of the Second Schedule to the lncome Tax Act and in violation to the Section 281(1) of the lncome Tax Act, besides violation of Principles of Natural Justice and consequently, to set aside the order of the Respondent No. 2 dated 05.05.2009 T.R. No. 29l02-03/TRO-ll pertaining to H. No. 6-2-42, A.C. Guards, Hyderabad. lA NO: 1 OF 2023 Petition under Section 151 CPC praying that in the circumstances stateh in the affidavit filed in support of the petition, the High Court may be pleased to suspend the lmpugned order of the Respondent No. 2 dated 05.05.2009 T.R. No. 29l02-03/TRO-ll pertaining to H. No. 6-2-42, A.C. Guards, Hyderabad. Counsel for the Petitioners : SRl. A P REDDY Counsel for the Respondent No.1: SRI GADI PRAVEEN KUMAR, Dy.SOLICITOR GENERAL OF INDIA Counsel for the Respondent No.2: SRI J V PRASAD SC FOR INCOME TAX Counsel forthe Respondent Nos.5 & 6 : Gp FOR REVENUE Counsel for the Respondent Nos.3 & 4 : NONE APPEARED The Court made lhe following: ORDER .I'IIIJ TION'BI-E TIIE CIIIT.]F II,STICE T] AL BI{TJ AN ;t tr tl .THE HON'BLE SRI IL] SI'tCE N.TUKARAMII W.P.No.14545 ol 2023 ORDER: (Pcr thc I I(,n'blc thc ChicfJusticc t.ii.rl lihuvanl I'leard NIr. ,, .P.Rcddv, lcarncd c()unsel lor the petitioncrs ar-rd N{r. Gadi l)ravccn liurrar, lcarnccl l)tpun' Solicitor ( icncral oi Inclia for respondcnt No.1 . Wc har.c also heard NIr. -f .V.Prasad, learned Standing (-ounscl, Income 'I'ax 1)cparumcnt for respondcnt No.2. 2. Challcngc made in this pctirir>n filcd unclcr i racle 226 oF the Constitution of India is to thc procccclurgs datcd 05.05.2009 passed by thc Tax Recovcry Ofhcer-lI, (-ornpanv Rangc II, (lhennai 34 i.e., respondcnt No.2 3. By thc afore said procccdings, trans lcr of immovable properry (House No.6-2-42, A.C.Guards, llvdcrabad) b1, respondents No.3 and 4 in favour of the petitioncrs was foufld to be in violation of the provisions o[ the Incomc Tax Act, 1 961 (bricflv 'thc Act' hereinafter) and accordinglv declarcd void. lt may be mentioncd that procee dingn werc initiatecl undcr Rule 11 of thc second schcdulc to the Act rcad with Section 281 thereof due to dclault in pavment of incomc tax dues bv respondents No.3 and ,1 I I l -) +. 'l'hc impugncd procecdinqs arc datcd 05,05.200!) rvhcreas t[.rc writ 1'rc tiucccdings was set asidc qtln the pctitioncrs therein (including pctitior-rcr No.B hercin) I I ,/. I I it 9. C)n qoins through thc ordcr dttcd 28.09.2021, rvc do not find any discussion rrs tcgarcls rhc point of dclar, and lachcs. 'l l-rerctlrrc, in ()ur opini()o the rc is flo bindins ratio on the point ol dclav lncl lachcs. 1 0. -l'hat apart, tlrcrc is a fundamental distin ction bctwccn W.l'].No.372l and 2020 and the present case inasmuch rs insolar the prcsent casc is conccrncd petitioncrs had alrcacly institrrtccl a cir.rl suit against the impugncd proceedings, which was horvever dismissed fcrr n()n PiOSCC Llf 1( )rl- 11. 'Ihat being the pt-rsition, at this distant point of timc, we are nor inclincd to entcrtain tl'rc rvrit petition. 1,2. Writ I)ctition is accordingly dismissed. No costs. . s a sequel, miscellaneous pcritions, pending if any, stand closcd. To, SB GJP //TRUE COPY// SD/. T. TIRUM DEVI ASSISTANT REG TRAR SECTION FFICER 1. One CC to SRl. A P REDDY, Advocate.[OPUC] 2. OneCC to SRl. GADI PRAVEEN KUMAR, Dy. SOLICITOR GENERAL OF rNDrA.IoPUC] 3. Two Cds to the GP FOR REVENUE, High Court for the State of Telanagan at Hyderabad.[OUT] 4. OneCC to SRI J V PRASAD SC FOR INCOME TAX DEPARTIUENT IOPUCI 5. Two CD CoPies ge< -t ::{:: I HIGH COURT DATED:1210612023 ORDER WP.No.14545 of 2023 DISMISSING THE WRIT PETITION WITHOUT COSTS g rHE Sra 14: e ( 2 6 JUtl 2u3 a sp4r;i':1t A ,o '@(- o o "