DHIRAJLAL CHHOTALAL PAREKH Vs. APPROPRIATE AUTHORITY

JUDGEMENT

(1.) By this Petition, the Petitioners are challenging the order dated 24th February,1993, passed by the Commissioner of Income Tax under Section 269UD(1) of the Income Tax,1961 (hereinafter referred to as "the Act"). The Petitioners have also prayed for a direction to the Respondent No.1 for grant of No Objection Certificate' in respect of the transaction in question, and for a further direction that the Respondent No.1 should determine the consideration payable by the Government including the reduced amount of Rs.1,04,905 and Rs.13,75,000.00 being the consideration for the transfer of furniture, fittings and fixtures. The Petitioners have further prayed that the Central Government be directed to make good the loss caused to the Petitioners and pay the amount with interest. It is further prayed by the Petitioners for an injunction restraining the Respondents from proceeding further by way of taking possession of the said property, in pursuance of the impugned order.

(2.) The brief facts of the case are that the Petitioner No.1 had purchased the property being Flat No.6A, A' Wing, Gazdar Apartments, Juhu Tara Road, Juhu, Bombay - 400 049 (hereinafter referred to as the "said property") from Shri.Jimmy Gazdar under a tripartite agreement dated 28th July,1986 between the Petitioner No.1, the landlord Shri.Jimmy Gazdar and the Builders for a consideration of Rs.17,31,200.00 , accordingly, the Petitioner No.1 had become a member of the Juhu Gazdar Cooperative Housing Society and had occupied the said Flat.

(3.) It is the case of the Petitioner, that thereafter the Petitioner No.2 had offered the Petitioner No.1 to purchase the said property along with furniture, fixtures and fittings for a sum of Rs.71,99,000.00 out of which Rs.13,75,000.00 was towards the cost of furniture, fixtures and fittings. The Petitioner No.2 was ready and willing to pay the full amount immediately. The Petitioners were under bonafide impression that the immovable property referred to in Sec. 269UC of the Act, and the consideration referred to therein is pertaining to the said property excluding the furniture, fixtures and fittings. Accordingly, they had entered into an agreement dated 22nd May,1992 fixing a consideration of Rs.58,24,000.00 for the said flat excluding the said furniture, fixtures and fittings. It is mentioned in the agreement that the consideration for the said furniture, fixtures and fittings would be separately fixed by the parties.