BAWA MAHESH SINGH Vs. INCOME-TAX OFFICER

JUDGEMENT

(1.) The petitioners have filed this petition under Section 482 of the Code of Criminal Procedure ("the Code" for short) for quashing the complaint under sections 276C and 277 of the Income-tax Act, 1961 (hereinafter referred to as "the Act"), for the assessment year 1985-86, filed against them (as reproduced in para. 1 of the petition) as also the summoning order dated September 17, 1987 (annexure P2), passed by the learned Chief Judicial Magistrate, Amritsar.

(2.) The facts leading to the case are that petitioners Nos. 1 to 3 are partners of the accused-assessee firm, M/s. Bawa Gurmukh Singh and Sons (petitioner No. 4) ("the firm" for short). The Income-tax Officer of District II (VI), Amritsar, filed a complaint on September 17, 1987, against the petitioners as also Bawa Ram Singh and Smt. Gian Bai, son and wife, respectively, of Bawa Gurmukh Singh. They have since died. It is stated in the complaint that the accused firm is engaged in the business of purchase and sale of timber, hardware (iron goods) and also deals in cement and jalies. It is alleged that all the partners are in charge of the business and conduct thereof of the firm and are responsible to it for the conduct of its affairs. The firm, it is alleged, filed the return of income regarding the accounting year relevant to the assessment year 1985-86 declaring its income as Rs. 1,34,092.

(3.) The return, it is stated, was verified in the prescribed form on page 4 by accused No. 2, Bawa Bhupinder Singh (petitioner No. 3) for himself and accused Nos. 3 to 6 who are the other partners of the firm. The return was inter-accompanied by trading accounts of timber, iron, cement and jali, profit and loss accounts all signed by the accused, Bawa Bhupinder Singh (petitioner No. 3) and the balance-sheet as on March 31, 1985. During the assessment proceedings the following position with respect to girders stock was shown and was detected : <TAB> "Opening stock as on 1-4-1984 324 girders Purchase during the year 6447 girders Sale during the year 6217 girders Closing stock as on 31-3-1985 554 girders."</TAB>