MADRAS VANASPATI LIMITED Vs. SUBRAMANIAN S ITO

JUDGEMENT

(1.) THE petitioners, against whom and another the respondent has filed a comlplaint for offences under sections 120B, 193 and 420 read with section 511 of the Indian Penal Code, 1860 and under section 277 of the Income-tax Act, 1961 (hereinafter referred to as "the Act"), now pending before the Additional Chief Metropolitan Magistrate (E.O.I.), Madras-2, invoke the inherent powers of this Court under section 482 to quash the above proceedings, on the ground that since the original assessment of the Income-tax Officer has been set aside by the Income-tax Appellate Tribunal and reassessment has been ordered, the very basis and substratum of the prosecution now no longer exists.

(2.) FACTS briefly are :

(3.) RELYING on the above case, the Delhi High Court in Umesh Kumar Modi v. K. S. Sahni, ITO [1986] 159 ITR 597, wherein the order of remand by the Appellate Assistant Commissioner with a direction to the Income-tax Officer for a report on certain matters after giving an opportunity to the assessee, was held, not to be a ground for quashing the complaint, for offences under section 276C, 277 and 278B of the Act and sections 193 and 196, Indian Penal Code, committed with reference to the returns field.