Yogeshbhai Chandrakant Pala V. Union Of India And 4 Others

WTAX/159/2021

AI Insights

The case involves Yogeshbhai Chandrakant Pala, the petitioner, who challenged the jurisdiction and legality of a search and seizure operation conducted by the Income Tax Authorities from 12.10.2020 to 13.10.2020. The petitioner sought various writs including mandamus, certiorari, and prohibition against the Union of India and others, claiming the operation was illegal and the subsequent seizure of goods, including gold ornaments, was without jurisdiction. During the proceedings, it was noted that the assessment under Section 153A of the Income Tax Act, 1961, had concluded with no demand, rendering the petition somewhat infructuous. However, the issue of the return of seized goods remained unresolved.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 806323 (HC-ALLAHABAD)
• Appeal Type: Others
• Pronouncement Date: 28-03-2023
• Assessment Year: misc
• Laws Referred To: Income Tax Act 1961
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: ANANT TIWARI; MANU GHILDYAL; NAVEEN GUPTA; SHUBHAM AGRAWAL
• Assessee Lawyers: KRISHNA VYAS
• Keywords: Certiorari; Certiorari; Jurisdiction; Mandamus; Prohibition; Search and seizure; Unconstitutional
• Section: 132; 153A

Judgement Text

"Chief Justice's Court Case :- WRIT TAX No. - 159 of 2021 Petitioner :- Yogeshbhai Chandrakant Pala Respondent :- Union Of India And 4 Others Counsel for Petitioner :- Krishna Dev Vyas Counsel for Respondent :- A.S.G.I.,Anant Kumar Tiwari,Manu Ghildyal,Naveen Chandra Gupta,Shubham Agrawal Hon'ble Pritinker Diwaker,Chief Justice Hon'ble Saumitra Dayal Singh,J. Heard Shri Krishna Dev Vyas, learned counsel for the petitioner, Shri Manu Ghildyal, learned counsel for the Income Tax Authorities and Shri Anant Kumar Tiwari, learned counsel for Union of India. Present petition has been filed for the following relief: \"I. Issue a writ, order or direction in the nature of mandamus and declare that the entire search and seizure operation conducted against the petitioner effectively from 12.10.2020 to 13.10.2020 was wholly without jurisdiction and grossly illegal. II. Issue a writ, order or direction in the nature of certiorari and quash the panchnama insofar as it relates to the documents and material from the petitioner. Issue a writ, order or direction in the nature of mandamus directing the respondents to release forthwith the entire materials- specifically the Gold Ornaments weighing Net 3200.270gms (Gross 3230.550gms which includes beads weighing 30.280gms) effectively seized on 12.10.2020. IV. Issue a writ, order or direction in the nature of prohibition restraining the respondents from conducting any. proceeding against the petitioners in consequence and in continuation of the illegal search conducted against the petitioner effectively from 12.10.2020 to 13.10.2020 which is wholly without jurisdiction and grossly illegal. V. Issue a writ, order or direction in the nature of certiorari quashing the warrant of authorization and follow up action including search and seizure of stock-in-trade and stock hypothecated and to declare the seizure of stock in trade and stock hypothecated as unconstitutional being without jurisdiction and contrary to third proviso to section 132(1) of the Income Tax Act 1961.\" Today, when the matter has come up for hearing, learned counsel for the petitioner states, at the outset, during pendency of the present proceedings, the assessment proceedings have been concluded under Section 153A of the Income Tax Act 1961, on a nill demand. Therefore, for practical purposes, present petition has been rendered infructuous. However, he adds, petitioner's valuable goods like gold, jwellery and other seized articles including books of accounts etc are lying under the seizure of the Income Tax Authorities that conducted the search under Section 132 of the said Act. Upon query, Shri Manu Ghildyal submits, if the petitioner is to make a fresh application regarding return of the seized goods, the competent authority would take a reasoned stand and return such valuable goods and other seized articles including books of accounts etc as may no longer be required by the revenue. In view of such fair stand taken, present petition is disposed of with a direction, in case the petitioner files a fresh application before the respondent no.4/Assistant Director of Income Tax (Investigation), Unit-2, Rajkot along with a copy of this order clearly disclosing the description of the articles sought to be returned, the said authority shall pass a reasoned and speaking order, as expeditiously as possible, preferably within a period of one month therefrom. Any money or other article and books of accounts found returnable, may be returned forthwith upon such order being passed. Order Date :- 28.3.2023 Prakhar (S. D. Singh, J.) (Pritinker Diwaker, C.J.) Digitally signed by :- PRAKHAR SRIVASTAVA High Court of Judicature at Allahabad "