RAI SINGH Vs. UNION OF INDIA

JUDGEMENT

(1.) Common questions of law and fact arise in Civil Writs Nos. 67 to 78 and they will be disposed of by this judgment.

(2.) The writ petitions have been filed to quash the several notices dated 23/3/1962 issued by respondent No. 3 under Section 3 (1) (a) of the Indian Income Tax, 1922, for reopening assess- ments for the assessment years 1942-43 to 1953-54 and also for prohibiting the respondents from proceedings further with assessment proceedings in pursuance of the aforesaid notices. The several letters under cover of which these several notices were sent bear the date 23/3/1962\24/3/1962. The notices were, according to the respondents, sent in three sets-one set by registered acknow- ledgment due post to one address of the petitioners; another set also by registered acknowledgment due post to another address of the petitioners and third set by messenger. It is not disputed that the notices which were sent by registered acknowledgment due post were received by the petitioners on 11/4/1962, i.e. after the commencement of the Income Tax Act, 1961. In so far as the notices sent by messenger are concerned, the petitioners deny service thereof while it is the case of the respondents that these were served according to law by affixation' on 30/3/1962 i.e., before the commencement of the Income Tax Act, 1961.

(3.) The first petitioner is the assessee and it was assessed as a Hindu Uadivided Family. The second petitioner is the present Karta of this family. It is not disputed that the first petitioner carried on extensive business, infer alia, as forest contractors and had considerable income from such business. The forest business was in respect of forests which were situate in Nepal. Contractors were employed by the petitioners for felling the trees, converting them into logs and floating them down a river in Nepal to reach Indian territory and for all this the Contractors were paid what have been described as conversion charges.