CONTROLLER OF ESTATE DUTY Vs. NIRMAL KUMAR FATEHPURIA

JUDGEMENT

(1.) THE estate of Kamala Devi Fatehpuria, deceased, was assessed to estate duty under s. 58(3) of the ED Act, 1953, on 29th Jan., 1970. The accountable person was permitted to pay the duty assessed in monthly instalments by an order dt. 30th March, 1970.The accountable person, however, failed to pay the instalments in terms of the said order dt. 30th March, 1970. He did not pay any instalment for the month of April, 1970, and thereafter since August, 1970, stopped paying further instalments.

(2.) BY a letter dt. 5th Dec., 1970, the estate duty authority called upon the accountable person to appear on 22nd Dec., 1970, to discuss the matter and subsequently a notice dt. 30th Dec., 1970, was issued against the accountable person directing him to explain in writing by 16th Jan., 1971, why the scheme of instalment as granted should not be treated as cancelled for default and why penalty should not be imposed for non-payment of the duty.

(3.) BEING aggrieved, the accountable person filed an appeal against the said order of penalty before the Appellate CED. The Appellate CED noted that the appeal filed by the accountable person against the order of assessment of estate duty had, in the meantime, been disposed of by the Appellate CED on 3oth Jan., 1971, and relief of Rs. 20,000 had been granted. It was noted further that on 22nd Dec., 1970, a representative of the accountable person had appeared before the Asstt. CED concerned to discuss the matter. At that time, it was submitted that the accountable person was unable to make further payment on account of difficulties on his part to secure the said amount. It was further contended that the advocate of the accountable person had fallen sick and was unable to represent the accountable person in the proceedings. The aforesaid contentions of the accountable person were recorded in a letter dt. 16th Jan., 1971, which was addressed to the Asstt. CED and was found in the record.