Ritesh Rai v. The Assistant Commissioner Of Income Tax,Central Circle -2(3)

IN THE HIGH COURT OF JUDICATURE AT MADRAS THE HON'BLE MR. JUSTICE K.RAVICHANDRABAABU Rajiv Rai Ritika Rai Reddy Rupal Rai Ritesh Rai vs. The Assistant Commissioner of Income Tax,Central Circle -2(3),No.46, Mahatma Gandhi Road, Nungambakkam,Chennai – 600 034. Common Prayer: Writ Petitions filed under Article 226 of theConstitution of India praying to issue a Writ of Certiorari,to call for the records on the file of the respondent inF.No.ACIT-CC-2(3)/179/2018-19 dated 04.05.2018 under Section179 of the Income Tax Act, 1961 passed by the respondent andquash the same as arbitrary, unjust, illegal and withoutjurisdiction. All these writ petitions are filed by the respectiveDirectors of the Company called M/s.Ram Krishnan Kulwant RaiHoldings Pvt. Ltd., challenging the individual order passedunder Section 179 of the Income Tax Act, calling upon thepetitioners to make the payment outstanding against the saidCompany. 2. When this Court entertained these writ petitions on13.06.2018, an order of interim stay was granted and thesame is still in force. 3. It is submitted by both sides that as against thetax arrears claimed against the said Company, the matter wasput to challenge before the Income Tax Appellate Tribunal inI.T.A.No.1047 of 2018 and the said appeal was disposed of on29.10.2018 in favour of the Assessee/Company. It is furtherstated by both sides that the Revenue went on appeal againstthe said order of the Income Tax Appellate Tribunal, byfiling Tax Case Appeal before this Court in TCA.No.391 of2019 and the said appeal was also dismissed on 16.07.2019.Therefore, it is contended that the orders impugned in thesewrit petitions cannot be sustained any more. 4. The learned counsel for the Revenue fairly submittedthat in view of the order passed by the Income Tax AppellateTribunal, confirmed by the Division Bench of this Court inTCA.No.391 of 2019, there is no pending arrears demandagainst the said Company and consequently, the impugnedproceedings have to go. He has also produced acommunication issued by the Assistant Commissioner of IncomeTax, Central Circle 2(3), No.46, New Building, 1st Floor,M.G.Road, Nungambakkam, Chennai-600 034, dated 23.09.2019informing the learned Senior Standing counsel that aftergiving effect to the order of the Income Tax AppellateTribunal, there is no pending arrear demand against the saidCompany as on date. 5. In view of the above stated facts and circumstances,more particularly, the stand taken by the Revenue as statedsupra, these Writ Petitions are allowed and the impugnedorders are set aside, in view of the order passed inTCA.No.391 of 2019 dated 16.07.2019. No costs.Consequently, connected miscellaneous petitions are closed. Sd/- Assistant Registrar(CS) //True Copy// Sub Assistant Registrar mkToThe Assistant Commissioner of Income Tax,Central Circle -2(3),No.46, Mahatma Gandhi Road, Nungambakkam,Chennai – 600 034. +1cc to Mr.Srinivas , Advocate SR.No. 86126+1cc to Mr.Sivaraman , Advocate SR.No. 86383W.P.No.14283 to 14286 of 2018A.SK(07/11/2019)