STATE OF GUJARAT Vs. PREMIER AUTO ELECTRICALS LIMITED

JUDGEMENT

(1.) The Gujarat Sales Tax Tribunal (hereinafter referred to as the Tribunal) has referred the following question of law for the opinion of this Court under sec. 61 (1) of the Bombay Sales Tax Act 1969 (hereinafter referred to as the Act):

(2.) . After the hearing of the reference commenced but before it concluded Mr. A. J. Patel learned Assistant Government Pleader appearing on behalf of the applicant State stated to the Court that the applicant does not wish to prosecute the reference and that under the circumstances the question need not be answered. Ordinarily upon this statement being made the matter would have been treated as having concluded and all that we would have been required to do was to record that since the applicant declares that it does not pursue the reference the question is not required to be answered However. Mr. R. D. Pathak learned advocate appearing on behalf of the opponent assessee submitted that once a case is stated in respect of a question the party at whose instance the case is stated is not entitled to abandon the proceeding unilaterally and to state that the question need not be answered as it is not pressed and that it is within the discretion of the Court even under such circumstances to consider and decide whether or not to answer the question and in exercising the discretion the Court is required to take into account all the relevant circumstances and for that purpose to afford a hearing to the partyopponent. In support of this submission Mr. Pathak invoked the aid of the decisions in KARNANI INDUSTRIAL BANK LTD. V C. T. 30 I. T. R. 16 AND K. CH. VENKATARATNAM V. C. G. T. 95 I. T. R. 277.

(3.) . Before considering the question on principle and on the basis of the decided cases it would be proper to look at the legal provision whereunder this Court derives its advisory jurisdiction under the Act and to consider the question raised in light of the statutory language. The relevant provision is sec. 61 which reads as follows :