UNION OF INDIA UOI Vs. MADHUSUDAN DAS

JUDGEMENT

(1.) This appeal is directed against the judgment and order dated March 27, 1996--Madhusudhan Das v. Appropriate Authority of Income-tax [1997] 223 ITR 351, passed by a learned single judge of this court whereby the learned single judge disposed of an application under Article 226 of the Constitution of India (writ petition in short). The brief facts leading to the filing of the present writ petition may be summarised as under :

(2.) A learned single judge of this court by the judgment and order dated March 27, 1996 (see [1997] 223 ITR 351) disposed of the writ petition holding that the Central Government has failed to carry out the obligations imposed upon it by the Income-tax Act, 1961, and the deposit made by it was not in compliance with the said Act and, therefore, the said deposit was an invalid deposit. It was further held that the order of vesting stood abrogated in view of the specific provisions contained in Section 269UH(1) and the subject property stood revested in the original owners. The appropriate authority was directed to issue necessary declaration and to take all steps under Section 269UH(2) of the said Act. It was held that the right of the Government to get possession of the property, which has vested in it, was not dependent upon performance of any agreement by the seller.

(3.) Being aggrieved the present appeal has been filed by the respondents in the writ petition. It is submitted that as in spite of demand possession was not delivered by the owners, the amount was not tendered to the owners, but was deposited with the appropriate authority within time and as such the learned judge ought not to have held that such deposit of amount with the appropriate authority was invalid and, therefore, the subject property stood revested in the original owners. The relevant provisions of the Income-tax Act, 1961, are as under :