Monte Carlo Limited vs The State Of Bihar
2021 Latest Caselaw 5023 Patna

Citation : 2021 Latest Caselaw 5023 Patna
Judgement Date : 27 October, 2021

Patna High Court

Monte Carlo Limited vs The State Of Bihar on 27 October, 2021

         IN THE HIGH COURT OF JUDICATURE AT PATNA
                     Civil Writ Jurisdiction Case No.18484 of 2021
     ======================================================

Monte Carlo Limited having its registered office at Monte Carlo House, Near Sindhu Bhawan Road, Bodakdev, Ahmedabad (Gujarat)- 380058 and local office in the state of Bihar through its deputy general manager (finance and accounts) namly Malay Shaileshbhai Viashnav male aged about 35 years, son of Shailesh Bhai Gajendralal Vaishnav resident of 202, Madhu Villa, CO O P Housing Society, Devkinagar, Devi Das Lane, Opposite Lotus Hospital, Borivali (West) Mumbai.

... ... Petitioner/s Versus

1. The State of Bihar through the Principal Secretary cum Commissioner Department of State Taxes, New Secretariat Bailey Road, Patna.

2. The Principal Secretary cum Commissioner, Department of State Taxes, New Secretariat, Bailey Road, Patna.

3. The Assistant Commissioner of State Taxes, Patliputra Circle, Patna.

(Financial Year 2015-2016- ET).

... ... Respondent/s ====================================================== Appearance :

For the Petitioner/s : Mr.Gautam Kumar Kejriwal, Advocate For the Respondent/s : Mr. Vikash Kumar, SC-11 ====================================================== CORAM: HONOURABLE THE CHIEF JUSTICE and HONOURABLE MR. JUSTICE A. M. BADAR ORAL JUDGMENT (Per: HONOURABLE THE CHIEF JUSTICE)

Date : 27-10-2021

Petitioner has prayed for the following relief(s):- Patna High Court CWJC No.18484 of 2021 dt.27-10-2021

Patna High Court CWJC No.18484 of 2021 dt.27-10-2021

This petition has been filed for quashing of order dated

27.03.2021 and demand notice dated 23.07.2021 passed by the

respondent no. 3 namely The Assistant Commissioner of State

Taxes, Patliputra Circle, Patna in TIN(ET)-10050870295. The

order is ex parte in nature.

Learned counsel for the Revenue, states that he has no

objection if the matter is remanded to the Assessing Authority for

deciding the case afresh. Also, the case shall be decided on merits.

Also, during pendency of the case, no coercive steps shall be taken

against the petitioner.

Statement accepted and taken on record.

However, having heard learned counsel for the parties

as also perused the record made available, we are of the considered

view that this Court, notwithstanding the statutory remedy, is not

precluded from interfering where, ex facie, we form an opinion

that the order is bad in law. This we say so, for two reasons- (a)

violation of principles of natural justice, i.e. fair opportunity of

hearing. No sufficient time was afforded to the petitioner to

represent his case; (b) order passed ex parte in nature, does not

assign any sufficient reasons even decipherable from the record, as

to how the officer could determine the amount due and payable by

the assessee. The order, ex parte in nature, passed in violation of Patna High Court CWJC No.18484 of 2021 dt.27-10-2021

the principles of natural justice, entails civil consequences. As

such, on this short ground alone, we dispose of the present writ

petition in the following mutually agreeable terms:

(a) We quash and set aside the impugned order

dated 27.03.2021 and demand notice dated 23.07.2021

passed by the respondent no. 3 namely The Assistant

Commissioner of State Taxes, Patliputra Circle, Patna in

TIN(ET)-10050870295.

(b) The petitioner undertakes to deposit 10%

of the amount of the demand raised before the

Assessing Officer. This shall be done within four

weeks.

(c) This deposit shall be without prejudice to the

respective rights and contention of the parties and

subject to the order passed by the Assessing Officer.

However, if it is ultimately found that the petitioner's

deposit is in excess, the same shall be refunded

within two months from the date of passing of the

order;

(d) We also direct for de-freezing/de-attaching of

the bank account(s) of the writ-petitioner, if attached in

reference to the proceedings, subject matter of present Patna High Court CWJC No.18484 of 2021 dt.27-10-2021

petition. This shall be done immediately.

(e) Petitioner undertakes to appear before the

Assessing Authority on 30th of November, 2021 at

10:30 A.M., if possible through digital mode;

(f) The Assessing Authority shall decide the case

on merits after complying with the principles of

natural justice;

(g) Opportunity of hearing shall be afforded to

the parties to place on record all essential documents

and materials, if so required and desired;

(h) During pendency of the case, no coercive

steps shall be taken against the petitioner;

(i) The Assessing Authority shall pass the order

only after affording adequate opportunity to all

concerned, including the writ petitioner;

(j) Petitioner through learned counsel undertakes

to fully cooperate in such proceedings and not take

unnecessary adjournment;

(k) The Assessing Authority shall decide the case

on merits expeditiously, preferably within a period of

two months from the date of appearance of the

petitioner;

Patna High Court CWJC No.18484 of 2021 dt.27-10-2021

(l) The Assessing Authority shall pass a speaking

order assigning reasons, copy whereof shall be

supplied to the parties;

(m) Liberty reserved to the petitioner to

challenge the order, if required and desired;

(n) Equally, liberty reserved to the parties to take

recourse to such other remedies as are otherwise

available in accordance with law;

(o) We are hopeful that as and when petitioner

takes recourse to such remedies, before the

appropriate forum, the same shall be dealt with, in