ELBRIDGE WATSON Vs. R K DAS

JUDGEMENT

(1.) THIS is an application by one Mr. Elbridge Watson for a writ of mandamus or a writ of like nature or an order directing the respondent Sri R. K. Das, an ITO, to show cause why the orders complained of and dt. 18th March, 1949, should not be set aside and for quashing the said orders. The case of the petitioner before me is as follows : The petitioner, an American citizen by birth, is a citizen of India and thereafter of the Union of India for about 16 years. The petitioner is the manager and director of M/s Chrestian Mica Industries Ltd. The total income which the petitioner gets from the said company is the net sum of Rs. 60,000 to Rs. 70,000 annually after deducting the income-tax payable by him. On 22nd Oct., 1948, the petitioner was assessed to incometax for asst. yr. 1946- 47. The tax assessed was Rs. 5,30,526, and after crediting the sums of Rs. 50,252-11-0 and Rs. 12,616-4-0 realised by the respondent, a sum of Rs. 4,67,657-1-0 became due and payable by the petitioner to the IT authorities. On 18th Nov., 1948, the respondent caused a notice of attachment under s. 46(5A) of the IT Act, 1922, to be issued and served upon the Chrestian Mica Industries Ltd., the employers of the petitioner. By the said notice of attachment, the said M/s Chrestian Mica Industries Ltd., were required to pay to the respondent forthwith any money due from them to the petitioner or held by them for or on account of the petitioner and also to pay any money which may become due to him or any money which the said M/s Chrestian Mica Industries Ltd., may subsequently hold for or on account of the petitioner within the next three months. On 21st Dec., 1948, the respondent forwarded to the office of the Certificate Officer, 24 Parganas, Alipore, a certificate for Rs. 4,67,657-1-0 under s. 46 (2) of the IT Act for recovery of the said sum by the Certificate Officer under the Bengal Public Demands Recovery Act, 1913. The said certificate was filed with the Certificate Officer, 24 Parganas, Alipore, and the case was numbered and registered as No. 201 I.T. of 1948-49. After having forwarded to the office of the Certificate Officer, 24 Parganas, the certificate as aforesaid, the ITO on 18th March, 1949, caused another letter of attachment to be served upon the employers of the petitioner, namely, M/s Chrestian Mica Industries Ltd., and caused an attachment to be effected under s. 46(5A) of the IT Act. By the said notice M/s Chrestian Mica Industries Ltd., were required under s. 46(5A) of the IT Act, 1922, to pay to the respondent forthwith any amount due from them to the petitioner or held by them for or on account of the said petitioner up to the amount of arrears shown in the said letter which was Rs. 3,37,345-5-0 and also requiring the said M/s Chrestian Mica Industries Ltd., to pay any money which may subsequently become due from them to the petitioner or which they may subsequently hold for or on account of him up to the amount of arrears still remaining unpaid. Thereafter on 28th Dec., 1949, the petitioner made an application to the Certificate Officer for payment of his dues in monthly instalments. The said application was not disposed of but kept pending at the instance of the respondent. On 25th May, 1950, another application was made to the Certificate Officer and on that application an order was made allowing the petitioner to pay his dues in monthly instalments of Rs. 5,000 each, the first of such instalments being payable on 15th June, 1950, and subsequent instalments by the 15th of subsequent months. The material portions of the order passed by the Certificate Officer run as follows :

(2.) THEREAFTER on 30th May, 1950, the petitioner through his advocate made an application to the respondent asking him to withdraw the notices under s. 46(5A) of the IT Act. In the said application it was inter alia stated as follows :

(3.) IT is necessary for me, in order to determine this matter, to consider the effect of s. 46 and particularly s. 46(5A) of the IT Act. The material provisions of s. 46 necessary for me to consider are as follows :