V.balaraman v. The Assistant Commissioner Of Income Tax, Non Corporate Circle-15(1) Chennai-600 034

IN THE HIGH COURT OF JUDICATURE AT MADRAS CORAM THE HONOURABLE Mr.JUSTICE T.S.SIVAGNANAM V.Balaraman ... Petitioner -Vs- 1. The Assistant Commissioner of Income Tax, Non Corporate Circle-15(1) Chennai-600 034. 2. The Commissioner of Income Tax (Appeals)-15, 121, Nungambakkam High Road, Chennai-600 034. ... Respondents PRAYER : Writ petition filed under Article 226 of theConstitution of India praying to issue a Writ of CertiorarifiedMandamus or any other appropriate Writ, Order or Direction tocall for the records of the 1[st] Respondent and quash theGarnishee proceedings u/s.226(3) of the Act in PAN/GIR : dated 15.09.2016 and forbear the 1[st] Respondent frominitiating recovery proceedings for the assessment year 2013-14till the disposal of the appeal by the 2[nd] Respondent For Petitioner : Mr.Vijayaraghavan for Mr. Subbaraya Aiyar Padmanabhan For Respondents : Mr.J.Narayanaswamy Standing Counsel O R D E R Heard Mr.Vijaya Raghavan, learned Counsel appearing onbehalf of Mr.Subbaraya Aiyar Padmanabhan, learned counsel forthe petitioner and Mr.J.Narayanaswamy, learned Standing Counselappearing on behalf of the respondents. With the consent ofthe learned counsel appearing on either side, the Writ Petitionitself is taken up for disposal. https://hcservices.ecourts.gov.in/hcservices/ 2.The petitioner has filed this Writ Petition, challengingthe Notice issued under section 226(3) of the Income Tax Act,1961, calling upon the petitioner to remit a sum ofRs.5,38,96,720/-, being the amount due and payable towards theIncome-tax, penalty/interest/fine, for the assessment year 2013-14. Pursuant to the said notice, the petitioner's Bank Accountmaintained at the State Bank of India and two other accountsmaintained at the HDFC Bank have been attached. 3.The contention raised by the learned counsel for thepetitioner is that as against the order of assessment, thepetitioner has filed an Appeal before the Commissioner of IncomeTax (Appeals)-15, the second respondent on 25.04.2016 and thesaid appeal is pending. After preferring the Appeal, thepetitioner filed a Petition seeking for Stay before the firstrespondent on 29.04.2016 and the said Petition is pending. Thelearned counsel on instructions would state that till date noorder has been passed by the first respondent on the Petitionfor stay. 4.In such circumstances, the first respondent was notjustified in attaching the petitioner's Bank Accounts straightaway when the Petition for stay is pending before the firstrespondent and no orders have been passed so far. Therefore,this Court is inclined to consider and grant appropriate relief. 5.Accordingly, the impugned proceedings shall remain stayedand consequently, the attachment of the petitioner's Accountsmaintained at the State Bank of India and two other accountsmaintained at the HDFC Bank shall be lifted and the firstrespondent is directed to hear and decide the Petition of Stayfiled on 29.04.2016, after affording an opportunity of personalhearing to the authorised representative of the petitioner andsuch order shall be passed within a period of six weeks from thedate of receipt of a copy of this order. The furtherproceedings issued under section 226 (3) of the Income Tax Actwould abide by the orders to be passed by the first respondenton the Petition for Stay. The Writ Petition is disposed of accordingly. No costs.Consequently, connected Miscellaneous Petitions are closed. Sd/- Assistant Registrar(CO) //True Copy// Sub Assistant Registrar RPA To 1. The Assistant Commissioner of Income Tax, Non Corporate Circle-15(1) Chennai-600 034. Non Corporate Circle-15(1) Chennai-600 034. 2. The Commissioner of Income Tax (Appeals)-15, 121, Nungambakkam High Road, Chennai-600 034. 121, Nungambakkam High Road, Chennai-600 034. The Writ Petition is disposed of accordingly. No costs.Consequently, connected Miscellaneous Petitions are closed. Sd/- Assistant Registrar(CO) //True Copy// Sub Assistant Registrar RPA To 1. The Assistant Commissioner of Income Tax, Non Corporate Circle-15(1) Chennai-600 034. Non Corporate Circle-15(1) Chennai-600 034. 2. The Commissioner of Income Tax (Appeals)-15, 121, Nungambakkam High Road, Chennai-600 034. 121, Nungambakkam High Road, Chennai-600 034. +1cc to Mr.J.Narayanaswamy, Advocate, S.R.No.57644+1cc to Mr.Subbaraya Aiyar Padmanabhan, Advocate, S.R.No.57643 W.P.No.35434 of 2016 GM1(CO)CA(08/11/2016)