DINESH KHAITAN Vs. UNION OF INDIA

JUDGEMENT

(1.) The present writ petition has been filed, inter alia, challenging the assessment order dtd. 7/3/2024 passed under Sec. 147 read with Sec. 144B of the Income Tax 1961 (hereinafter referred to as the 'said Act') and the demand notice dtd. 7/3/2024 issued under Sec. 156 of the said Act.

(2.) It is the petitioner's case that the petitioner was served with the show cause notice dtd. 9/3/2022 issued under Sec. 148A(b) of the said Act. The petitioner had duly responded to the said notice and in his response, the petitioner had highlighted the fact that inasmuch as the authorities had relied on the evidence collected from third parties, unless the petitioner is given an opportunity to controvert the evidence of such third parties, no reliance ought to be placed on such evidence from such third parties. The said notice under Sec. 148A(b) of the said Act, ultimately culminated in an order dtd. 20/4/2022 issued under Sec. 148A(d) of the said Act.

(3.) Mr. Sanyal, learned advocate appearing for the petitioner by drawing attention of this Court to paragraph 8 of the aforesaid order submits that the authorities had bluntly refused the petitioner an opportunity to cross examine Amit Kumar Agarwal of Amit Agarwal Group, whose books of accounts have purportedly led the authorities to conclude that the petitioner had given out of books cash loans and received back payments in cash from the said Amit Kumar Agarwal. On such ground, the aforesaid order stands vitiated. According to him subsequently, a notice under Sec. 148 of the said Act was issued and later the same culminated in the final order dtd. 7/3/2024 under Sec. 147 read with Sec. 144B of the said Act.