HITEN RASHMIKANT MEHTA Vs. UNION OF INDIA

JUDGEMENT

(1.) This petition is filed to challenge the order dated 15th February, 1993 passed by the Appropriate Authority under Section 269UD(1) of the Income Tax Act, 1961 ( Act for short), as well as constitutional validity of Rule 48L of the Income Tax Rules, 1962 ( 1962 Rules for short).

(2.) The challenge to the impugned order dated 15th February, 1993 is two-fold. Firstly, the transaction relating to transfer of Flat No.21 in Belle View Co-operative Housing Society situated at 85, Bhulabhai Desai Road, Bombay - 16 ( flat in question for short) in favour of the petitioners as per agreement dated 30th August, 1986 is governed by Chapter XX-A of the Act and not Chapter XX-C and, therefore, the impugned order passed under Chapter XX-C is without jurisdiction. Secondly, even on merits the impugned order passed under Section 269UD(1) of the Act suffers from serious infirmities and hence the said order is liable to quashed and set aside. According to the revenue, actual transfer of the flat in question took place after the provisions of Chapter XX-C came into force and, therefore, the impugned order is validly passed under Chapter XX-C of the Act.

(3.) The facts relevant for the present Writ Petition are that, sometime in August, 1986 the petitioners approached the Belle View Co-op. Housing Society seeking no-objection certificate (NOC) for transfer of the flat in question in favour of the petitioners. On 24th August, 1986, the Society accorded its approval for transfer of the flat in question in favour of the petitioners.