Wp/21806/2020 Of M/S Park Health Systems Private Limited v. The Principal Chief Commissioner Of Income Tax

TUESDAY,THE TWENTY EIGHTH DAY OF SEPTEMBERTWO THOUSAND AND TWENTY ONE PRESENT THE HONOURABLE THE ACTING CHIEF JUSTICE [M.S. RAMACHANDRA RAO]ANDTHE HONOURABLE SRI JUSTICE [T. ] WRIT PETITION NO: 2'1806 OF [2020] Between: M/s Park Health Systems [Private ][Limited'19t,i!:|v,t/: ][The ][Deccan ][Hospital),]6-3-903/A & B, Soinajiguda, [Hyderabad - ][500 ][082' Telanqana']nJpL'.",-t.o-tjv iit [H,rii,lgi"g ]6i;;;;' [Mr. ][c.Damodar n6oov, ][slo Prof ] [Reddv] ..,PETITIONER AND 1. The Principal Chief [Commissioner of lncome-Tax' Andhra Pradesh ]'rioo",.,irtr" gz2,-'th Ftoor' B Block' Ftoor' B Block' B Block' Block' lT Towers' Towers' 10-2-3'[and]Telanoana. Hvoerauaj, 'rioo",.,irtr" gz2,-'th Ftoor' B Block' Ftoor' B Block' B Block' Block' lT Towers' Towers' 10-2-3' R.C. duarOs, [Hyderabad - ][500 ][004' ][Telangana'.-](recrr't' o/o rhe o/o rhe rhe Principal 2. The Joint [corri.rio'i3l ][of";;;; iqlil;ll ]Commissioner [ot ][rnco,ielai]Indn'J ][pi-uo"th ][ancl ][16ianoana' ][Hvderabad']ro-z-a' n i n i i Commissioner [ot ][rnco,ielai]Indn'J ][pi-uo"th ][ancl ][16ianoana' ][Hvderabad']ro-z-a' n i n i i Room No. e22, eth [Fl;'";, ][:6'bil;i:'ii ][i;;;' ]500 004, Telangana' 500 004, Telangana' (recrr't' o/o rhe o/o rhe rhe Principal [chief] [[ancl ][16ianoana' ][Hvderabad']][[16ianoana' ][Hvderabad']][[Hvderabad']]ro-z-a' n i n i i [Guards' Hvderabad ][-]ro-z-a' n i n i i [Guards' Hvderabad ][-] ...RESPONDENTS PetitionunderArticle226oftheConstitutionoflndiaprayingthatinthecircumstances [stated ][in ][the ][affidavit ][filed therewith' ][the ][High ][Court ][may be pleased to]issue a [writ ][of ][Nlandamus ][or ][any ][other ][appropriate ][writ, ][order ][or ][Direction, declaring]the order [of the ][1st ][Respondent' ][dated ][19/10/2020' ][vide DIN and Letter ][No ITBA/]co'tF [l17l2ozo_21^028343448(1), denying ][the ][renewal ][of ][approval under ][proviso](ii)(b) to Sec [17(2)(viii) ][of the ][lncome ][Tax ][Act' ][1961' ][as ][bad ][in ][law' ][illegal ][and]violative [of ][principles ][of ][natural ][justice' ][and ][that it ][has been reiected in ][a ][mechanical]and arbitrary [fashion' ][in ][total ][disregard ][of the ][statute' ][consequently ][set ][aside ][the]same [and ][direct ][the ][Respondents ][to grant ][renewal ][of ][approval ][under ][proviso (iiXb) to]Sec. [17(2)(viii) of ][the ][lncome ][Tax ][Act' ][1 ][961 ]['] lA No: No: [[1 ][oF ][2020 ]][[oF ][2020 ]][[2020 ]] lA No: No: [[1 ][oF ][2020 ]][[oF ][2020 ]][[2020 ]][the ][circumstances ][stated ][in ][the]' ' ' ^.'r\ ^'arrinn [th2t ][in]Petition [under Section ][151 ] [prayg ][that ]affidavit [filed ][in support of ][the ][petition' the ][High ][Court ][may be pleased ][to ][suspend the]order [of the ]['1st ][Respondent' ][dated ][1gllOl2O2O' ][vide ] [and ][Letter ][No'ITBA/CONI/]FljTtzo2o-zj11028343448(1;, [a"nyrng ][the ][renewal ][for ][approval under proviso ][(ii)(b)]to Sec. [17(2)(viii) ][of ][the ][lncome ][Tax ][Act' ][1 ][961 ][' ][pending disposal ][of the ][above Writ]Petition lA NO: [2 ] [2020] Between: 1i:&ruHit1[#jj",".Til:'"l"t"d;":'?'#"[iJx]i:&ruHit1[#jj",".Til:'"l"t"d;":'?'#"[iJx] aB,::?:f+:*il10.,.., 2. The Joint Commissioner of lncome Tax (Hqrs.) (Tech.), O/o The Principal ChiefCommissioner of lncome Tax, Andhra Pradesh and T6langana, Hyderibad,Room No.922,9th Floor,'B'Block, lTTowers, i0-2-3, A.0. Guards, Hyderibad -500 004, Telangana.Commissioner of lncome Tax, Andhra Pradesh and T6langana, Hyderibad,Room No.922,9th Floor,'B'Block, lTTowers, i0-2-3, A.0. Guards, Hyderibad -500 004, Telangana. ...petitioners/Res pondents AND yls lSJf^H^e1th Systems Private Limited, (Unit - M/s The Deccan Hospitat),g--3:9031A.&,q, Qgnlajiguda, Hyderabad - tjOO oAZ, Tetangana.Represented by its Managing Director, Mr. c.Damodar n6doy, slo prof. D.c.Reddy. ... RespondenUpetitioner Between: 1i:&ruHit1[#jj",".Til:'"l"t"d;":'?'#"[iJx]i:&ruHit1[#jj",".Til:'"l"t"d;":'?'#"[iJx] aB,::?:f+:*il10.,.., 2. The Joint Commissioner of lncome Tax (Hqrs.) (Tech.), O/o The Principal ChiefCommissioner of lncome Tax, Andhra Pradesh and T6langana, Hyderibad,Room No.922,9th Floor,'B'Block, lTTowers, i0-2-3, A.0. Guards, Hyderibad -500 004, Telangana.Commissioner of lncome Tax, Andhra Pradesh and T6langana, Hyderibad,Room No.922,9th Floor,'B'Block, lTTowers, i0-2-3, A.0. Guards, Hyderibad -500 004, Telangana. ...petitioners/Res pondents AND yls lSJf^H^e1th Systems Private Limited, (Unit - M/s The Deccan Hospitat),g--3:9031A.&,q, Qgnlajiguda, Hyderabad - tjOO oAZ, Tetangana.Represented by its Managing Director, Mr. c.Damodar n6doy, slo prof. D.c.Reddy. ... RespondenUpetitioner Petition under section 151 cpc praying that in the circumstances stated in theaffidavit filed in support of the petition, the High court may be pleased to vacate theaffidavit filed in support of the petition, the High court may be pleased to vacate theinterim order dated 0211212020 in r.A.No.1 or 2020 in w.p.No.21806 of 2020. counsel for the petitioner: sRr A.v. KRT.HNA KouNDrNyA, sENroR couN.ELFOR SRI. A.V.A. SIVA KARTIKEYA Counsel for the Respondents: SRI B. NARASIMHA SARMA SENIOR S.C. FOR INCOME TAX The Court made the following: ORDER THE HON'BTE THE ACTING CHIEF JUSTICE SRI M.S.RAMACFIANDR,A R^O AND THE HON'BTE SRI JUSTICE T,VINOD KUMAR E8f2 o R D ER : (per Honb/e Sri Jus ce T.Vinod Kumar) in this Writ petition the petitioner has assailedthe order of the1 [st ]respondent dr. 19 .10 .2020 vide DIN &letter number:ITBA/COM/F /17 /2020-21l!O2B34344B(1), denying the renewat ofapproval under proviso (ii) (b) to section 17 (2) (viii) of the Income TaxAct, 1 96 i (for short ,Act). 2. The petitioner contends that, it is into providing medicaltreatment to the patients at its hospital having ultra modern medicalfacilities; that it was granted approval by the Ist respondent underclause (ii) (b) of the proviso to section 17(2)(viii) of the Act, irritially inthe year 2011-12 for a period of three years vide proceedings dt.09.08.2011; that the said approval was renewed during the year20 14-15 vide proceedings dt. lZ.O7.2Ol4; and that the said approvalwas renewed for a further period of three years effective from22.O3.2017 to 21.03.2020 vide proceedings dt. 22.O3.2017 . 3. The petitioner further contends that in terms of the renewalgranted vide proceedings dt. 17.03.2017, the petitioner was requiredto make an application for renewal before the expiry of currentapproval valid till 2l.O3.2O2O; that the petitione r applied on13.01.2020 for renewal of the approval for a furl.her period; and thatthe petitioner hospital was confirming to the conditions [prescribed]under proviso (ii)(b) to clause(viii) of sub-section [(2) ]to section [17 ][of] 1 or', {for shortthe [Act, and Rule 3A ][(1) ][of ][the ][income ][Tax ][Ruies']'Rules) ['] 4. lt is [the ][contention ][of the ][petitioner ][that ][the ][petitioner ][filed]application [seeking ][renewal ][of ][the ][approval ][well ][in ][advance' ][the ][same]was [not ][renewed ][before ][the ][last ][date ][specified ][in the ][approval]granted [vide ][proceedings ][dt' ][l7 ]['o3 ]['2017 ][and ][the ][same ][is ][kePt]pending; [and ][that ][in ][the ][meantime ][Covid-l9 ][pandemic ][had ][hit ][the]nadon; [the ][petitioner ][had ][been granted approval ][for ][providing]reatment [for ][Covid- ][19 ][patients ][by ][the ][State ][Government' ][Pubiic]Health [and ][Family ][Welfare ][Department' vide ][G'O ][Rt'No ][248]HM&FW(D) [Department' ][Dt' ][15'06'2020' ][and ][that the ][State]Government [revoked ][the ][permission ][granted ][to ][treat ][Covid- ][19]Patients [on ][03'08 ][2O20'] 4. lt is [the ][contention ][of the ][petitioner ][that ][the ][petitioner ][filed]application [seeking ][renewal ][of ][the ][approval ][well ][in ][advance' ][the ][same]was [not ][renewed ][before ][the ][last ][date ][specified ][in the ][approval]granted [vide ][proceedings ][dt' ][l7 ]['o3 ]['2017 ][and ][the ][same ][is ][kePt]pending; [and ][that ][in ][the ][meantime ][Covid-l9 ][pandemic ][had ][hit ][the]nadon; [the ][petitioner ][had ][been granted approval ][for ][providing]reatment [for ][Covid- ][19 ][patients ][by ][the ][State ][Government' ][Pubiic]Health [and ][Family ][Welfare ][Department' vide ][G'O ][Rt'No ][248]HM&FW(D) [Department' ][Dt' ][15'06'2020' ][and ][that the ][State]Government [revoked ][the ][permission ][granted ][to ][treat ][Covid- ][19]Patients [on ][03'08 ][2O20'] 5. The [petitioner ][further ][contends ][that ][while ][it ][rvas ][pursuing ][the]matter [with the ][State ][Government ][in ][relation ][to ][revocation ][of]permission [granted ][to ][provide ][treatment to ][Covid- ][1 ][9 ][Patients and ][the]matter [was ][under ][active consideration' ][the ][1st ][respondent ][issued ][a]show cause [notice ][dt' ][12 'lO ]['2O2O ]' [calling ][upon ][the ][petitioner ][to]submit its [response ][by ][16 ][10 ][2020 ][as ][to ][why the cancellation ][order of]the State [Government ][of ][the ][mandate ][for ][Covid ][treatment ][be ][not]filed by [the ]Petitioner [for]considered[for ][deciding ][the ][aPPlication]under section [17(2)(ii)(b) ][of]the Act; [and ][that ][the]recognitionpetitioner filed [its ][explanation ][dt ][16 ][10 ][2O2O ][with the ][1st respondent'] 6. By the explanation [fi1ed, ][petitioner ][contended ][that' ][at ][the ][time]when application [for ][renewal ][of ][approval ][was ][made' there ][is ][no ][such]covid- 19 pandemic [outbreak; ][that ][the ][State ][Government ][gfanted]permission lor providing treatment to Covid- 19 in the middie of June, 2O2O but the same was revoked in the first week of August, 2020,based on media propaganda wiihout taking into consideration theactual facts; that the State Government revoked the permission forCovid- 19 treatment only and not for other medical treatments; thatthe petitioner is in the process of getting permission again for Covid_19 treatment from the State Government very soon; and accordingly,requested the 1"r resp0ndent to grant approval for the renervalapplication filed on cli. i 3.01.2020 7" The petitioner contends that the 1st respondent, withoutconsidering the explanation offered vide letter dt. 16. |O.2O2O had,passed the impugned order dt. 19.1O.2A2O holding that the petitioneris ineligible for approval uncler Section 17 of t-he Act; that vrhile tlreshow. cause noticc issued onlv referred to the cancellation of mandatefor Covid treatment issued by the Stare Government, the impugnedorder passed by the 1.", respondent travels beyond the show causenotice; and is thus, passed in violation of principles of natural justice. L It. is aiso the cont,:ntion cf the petitioner that rvhile the i strespondent had issued the shou, cause notice on the basis of [the]cancellation of mandate for Covid treatment by [the ][State Gcvernrnent,]he ciid not cause any el-rquiry with the [State ][Government ][as ][to]ti,herher the cancellat.ior against the [petitioner had ][been ][revoked, ][in]spite ol lhe [potir.ioner ][s:tirring irL ][its ][repl-v ][that ][it ][is ][the ][process ][of]g.ettlng permission agaiir 1br Covid- [19 ][t:eatment; ][and ][t'hat ][if ][onl-"-' ][the]i*r respondent cat-ised [verification or ][enquiry, ][it ][would ][have come ][to]knou' of the State Governmenl [granring permission to ][admit ][and treat]Covici-19 patients by its [proceeciing ][dt. ][13.i0 ][2020' ][Therefore, ][it ][is]contended that since tht [basis ][fo:: issuance ][of ][show ][cause notice ][by]the iirst respondent is [ncrv ][non-existent, ][the ][impugned order hoiding] 17 of [the ][Act, ][has]thepetitionerineiigibleforappror,alunderSectronno legs [to stand ][and is ][liable ][to ][be set aside'] 17 of [the ][Act, ][has]thepetitionerineiigibleforappror,alunderSectronno legs [to stand ][and is ][liable ][to ][be set aside'] Per contra, contra, [learned Senior Standing Counsel appearing ][for ][the] g. Per contra, contra, [[the]]respondents [supports ][the ][impugned ][order ][passed ][by ][the ][1st]respondent. [On ][behalf ][of ][the ][respondents' ][it ][is ][contended ][that]though [the ][show ][cause ][notice ][only ][refers ][to ][the ][cancellation ][of]mandate [for ][Covid ][19 treatment ][as ][the ][basis' ][the ][impugned ][order]passed deals [with ][the ][explanation ][fi1ed ][by ][the petitioner ][to ][the ][show]cause notice [and ][therefore, ][it ][cannot ][be aileged ][to ][have been ][passed]in violation [of ][principles ][of ][natuial ][jr-Lslice'] It is also is also also [[contended ]][[by the ][resporldents ]][[resporldents ]][that ][if ][the ][petitioner] 10.It is also is also also [[contended ]][[by the ][resporldents ]][[resporldents ]]had brought [to ][the ][notice ][of ][the ][1"t respondr-Iit' ][the ][permlsslotl]b1' [the ][State ][Gove ][rnment ][lor ][providing ][Coi'id- ][19]granted again treatment [vide ][proceedings ][clt ][13 ][' ][fi ][2O2O, ][the ][sarne ][u'ould ][have ][bcen]taken into consideration. [As ][the ][peLitioner,jid ][riol ][trring ][the ][said fact]oi the State Government [having ][issued ][pernlission ]['.tnder ][proceedings]dt. 13.10.2020. no l'au1t [can ][be ][lound ][in'ith ][the ][irnpuSlned ][order ][passed]by the 1st respondent 1 1. Heard Sri. A.V. Krishna [Koundinya, ][lear:re<:l ][Senior ][Counsel]appearing for Sri. A.V.A. Siva [Kartikeya, learned Counsel ][for ][the]petitioner and Sri. B. Narasimha Sarma, [iearned ][Senior ][Standing]Counsei appearing for the Respondents. We have noted [the]submissions made by both the [parties.] L2. It is not in dispute that the petitioner rvas [granted ]approvalunder Section 17 {2) of the Act, initially in the [year ]2oll-72 and thesame was renewed during the year 2014-15 and again during the year2OI7-18 with each renewal being valid for a period of three years. The iast of the renewal granrcd was on 22.O3.2O17, which u,a s va.Ldtil|2-1.a3.2020 13. Further the lact of petitioner making application on 13.01.2020seeking renerval ol approval granted under section r7{2) of the Act,two months prior to the expiry of the validity oI approval granted on22.03.2O17 , is admitted by rhe respondent. 14. Tl-:e elfect of g:arrl cI approvai under Section 17(2) r:f the Act, tothe petitioner, q,ot.tir-1 r,.lsult in the amount paid by an ernploveroirecilr, lo the i:e,-it_ioner fo:: ihl. pur.pose of provirling n:reCicaltreatment for the splcilir:cl discasl:s; or:iilmei-rts menticneci in Rule 3A.of Rules to its emplr;vr:€rs oi .1 1, (rernller of faimily of such entplovr:r:nct being treatec ::s a perq,;isitc :rovirled to the empiol.ee ibr. thepurpose of Section 15 reao u,ith Scctron l7 of the Act, and shall beexel'ni]t {iom lncorne l'zrx tl tiie iraricls ol rhe emplovee. 15. Whiie the said application liled by the petitioner is pencli;-rg forrenewal, Covid-19 pandemic struck the entire world and India was noexception. As a matter of fact, t-he Government of India announcednation$,ide lockdon,n starting from [24 ].O3.2O2O. [As ][Coronavirus]disease struck the cor-lntry, [peopie ][u'ere ][getting ][affected requiring]:nedical attention to [prevent ]ioss of [life ][as there ][is ][no ][identifie'C ][o:]prescribed medicine to tackle the virus. [Apart from the fact ][that ][ther'^]\\ras no prescribed rnedrcine [to ][be ][aciministered, ][each ][of the ][persons]affected b1,' coronal,irus [disease ][had to be ][treated ][separatel-v]on the sevcrilt' [of ][t1-re ][infection ][and lhe ][resultant]clepcnding This had [resulted ][irr ][the ][hospitals charging ][high]complications. amounts from the [pattents admitted ][inro ][hospitals ][and ][simullaneous]plc,:q;sts frorn thi, ;-rtt-,iir: iesuitil;g ih [lodgii-rg ][oi ][ccrnpi:iinrs ][again:;i] hospitals [with the ][concernerl ][StaLe ][a\-rthoritics ][rr taking ][action]against [such ][hosPitals] 16. Based [on ][complaints ][received ][from certain ][section of people' the]State [Medical ][and ][Health ][Officer ][on ][03'08 ][2020 ][revoked ][the]permission [granted ][to ][the petitioner for providing ][Covid- 19 ][treatment']The petitioner, [llpon ][invocation ][of ][permission ][b]' ][the ][State ][Medical]authorities, [submitted ][its ][explanation ][on ][04 ][08 ][2020 ][and ][sought ][for]recalling [the ][order ][of the ][petitioner ][dt ][03'08'2020' While ][the ][said]explanation [offered ][by the petitioner ][was ][under ][cor-'sideration ][bv ][the]State authorities, [the 2'd ][respondent ][issued ][notice ][dt ][12 ][1O ][2O2O]cailing upon [the ][petitioner ][to ][show cause ][a's ][to \\'hy ][the ][canceliation]order of the state [Government ][be ][not ][considerecl ][for ][deciding ][the]application for [recognition uncler ][se ][r:tion ][17 ][(21 ][(ii) ][(b) ][of ][the ][Act' ][The]contents of the show [cause ][notice ][issued ][to ][the ][petitioner ][reads ][as]under: "2. Kindly refer to Aour application [u/ ][s. ][17(2)(ii)(b) ][of ][the ][income tax]act, 1961, for recognitior, of Mis. [Th"e ][Deccan Hospitals ][(A ][unit ][of Park]Heattl't Sgstems Put. Ltd) by the [Fr. ]Chief [Commi,ssioner ][of Income ][To-r,]Andhra Pradesh and Telangana,. In this regard, cancellation af themandate for COVID treatment has beert iss'-t.ed bg the StateGouernment of Familg Vlel.fcLre uiCe Order dated 03.08.2020. Kindlshott cause as to uhA the cancellation order oi the Stote Gouemmentbe not considered for decidtng gour apytii"ccLtion .for recognition u/ s.112)(ir(b) of the Income To-x Act, 1961 . 3. Kindly subrn.it the response bl,j 16-10-2A20." 17. By letter ctt. i6-10-'20'20 adrlrr:ssccl t(, the :ir;t respondent, thepetitioner ofl'ered its expianation io t-hc slioi,. causc notice dt.l'2.1O.2A2O. By the said explanatirn lileci t he [pctitioner ]contendedthat, when the petitioner made crppiicatio;r for rer-reu'al of approvalu/s 17(2)(ii)(b), there \ [/as ]no Ccvid-i9 pancernrc cutbreak; thal theDepartment of Public Heallh anC Pamily Weiiare revoked thepe rmission for Covid- 19 treatment or-r11, anC not lbr ot]rer medical treatments; that rhe petitioner aggressively condemned said authority which is based on knee jerk the acr of thereactions, misinformationand baseless propaganda made by the media consideration withour taking intothe actuai facts by the said petidoner is under the process ol authority; that thel9 getting permission again for Covid_treatment from the state Governrnent Department of pubric Healthand Family Welfare; and requested to grant the renewal ofapplication under Sectjon tZ (2)(ii){bl of rhe Acr. 18. Upon submission of the explanation by the pedtioner, the 1"trespondent passed the impugned order dt. 1g_lO-2A2A. In theimpugned order the 1"t responc{ent not only took into considerationthe explanation offered by the petitioner to the contents of the showcause notice issued, but also referred to provisions of EpidemrcDiseases Act, l9g7 and also provisions ol Disaster Management Act,2005 apart Irom placing reliance on certain judicial precedents. The1st respondent also came to conclr-rsion that Covid evidently is adtsease aifecting the ies;:iratory s., slern, u,hich rs a ciisease inentioneciiri rule 3A ol the IT' ruies and ther-efo:-e the lirst condition that thedisease should. be one v,,hich is prescribed, is satislied. The 1srrespondent further held that as the petitioner is barred by an order ofthe appropriate aurhoril], to cease-and desist administering medicaltreatme:nt, since, the hospital l,iolated authorities binding clirectionstc regulate the paiicr.t l:e at the t_imr_, of great ciistress, and ignoringrhe impugned order of ihe State Gorzernment in deciding a case oiapprov:r1 under tl-:c Act, urouid hence, be in:ipruclent. FLlrrher the ['l ]sir,'spondent also c:ti:te ilJ conclusion thai excessive, exorbitant, andunconscionable pncing ivhile being a misconduct_ and/or an offence --.. under [other laws ][also renders ][the ][petitioner ineligible ][for ][approval]under [Section ][17 ][of ][the ][Act'] 79. [reading ][of ][the ][impugned order ][passe<l ][by ][the ][1't ][respondent]along [with ][the ][show ][cause ][notice on ][one ][hand ][shows ][that ][the ][same]was issued [as ][a ][chain ][reaction ][to ][the ][order ][of ][State Government ][dt']03.08.2020, [n,hich ][on ][the ][other hand ][deals ][$,ith ][d(}termination ][of]coronavirus [disease ][as ][a ][respiratory ][disease ][and ][.he ][same being ][a]prescribed [disease ][under ][clause('a) ][of ][sub ][r'rle ][(2) ][of rule ][3A ][oI ][the]Rr-tlcs 2(.. Firstly, [a ][reading ][of the ][impugned order ][would indicate ][that ][it]has taken into [consideration various ][issues'vhich ][huve ][not ][been ][put]to the [petitioner ][in ][the ][show ][cause ][notice ][clt' ][13 ][1 ][0 ][2020 ][' ][The ][only]ground mentioned [in ][the ][show ][cause ][notice is ][with ][regard to ][the ][State]Government [revoking ][the ][mandate ][given ][for ][Covid treatment ][be]considered for [deciding application ][of ][the ][petitioner ][for ][renewal ][of]under [Section ][17(2)(ii[b) ][of the Act, and ][nothing ][else ][The]approval impugned order, apart [from ][dealing ][with ][the ][revor:ation ][of ][mandate]for Covid treatment by the State [Government, also ][dealt ][with ][other]aspects as to the nature of coronavirus [disease ][being ][a ][respiratory]disease and thq petitioner having resorted to [excessive, ][exorbil.ant and]unconscionable pricing being a misconduct or an offence, withoutputting the petitioner on notice o1 the said allegatrons, to offer itsexplanation. This action of the first respondent in passing theimpugned order by traversing beyond the show cause notice in ourview is a violation of principles of natural justice causing seriousprejudice to the petitioner. On this sole ground itseif the impugnedorder is liable to be set aside. 27. Further, we are aiso at a.loss to understand the basis on whichthe i [st ]respondent has concrudecr that the treatment for coronavirusll'culcl be covered b,r respiraton, ciisease, in as much as even aftermore than a ]'car, no r,oo1 proof medicar treatment/ vaccination isdiscovered and the research is conttnuing. Even the World Heal:llOrganization (WHO) or the Indian Councii of Medical Resea.rch, whichis the apex body in India for the formulation, coordination andprorrotion of biomeciical research and one of oldest research bodies i.the u,orld established in the year 19 1 I , have not notifieci the SARS_Cov-2 (corona virusj to be onlv a respiratory disease. On the otherhand some of thr: other serioiLs s,\-nlF,torns associated r..,'i lh Cc,ronavirus are chest pain oi- pl:cssr-irr.. soue throat, loss ol iilste or sileil,fever, dn.' cough ard loss ol soeech or rlovement etc.,. As thcmlrtants ol corona r.ir.s continuc to strike, ICMR rs continuing [u'ork]or-r varialt str:rins :;1 S.,\RS-Ocr' 2 :r;-rii assisting in [devei<-rp) ][i";len ][t ][of]vaccines. ltr vieu' ol the abor,'e ,he r:latitl oi the [1'' ][respondent, ][t.hai]Covid- 19 treatment is a respiraton' disease, [in ][our ][vierv, ][is ][t-rot]'oackecl by any material or scientilic ciata and appears to be a selievoli,ecl thecr,v of ihe [1:'r ][responcleni, and is ][lia.ble ][to ][be ][rejected'] 22. The other [aspect ][of ][the matter ][is ][that ][since ][the ][show ][cause]notice issued reiies [only on the tevocation ][of ][permission ][for ][providing]medical treatment [for ][Covid- ][19 ][by ][the ][State Government' ][and ][the]said revocation, [having been ][llfted ][by the ][State authorities ][by]dated [13.O9'2020 ][and the ][petitioner ][was permitted ][to]proceedings treatment [for ][Covid-19 ][patients' ][the ][very basis ][of ][the ][show]provide cause notice [issr'led, ][s+.ands ][removed'] In [vierv ][cf ][the ][abcvc. ][consi':iereci ][from any ][angle ]' [the ][iinpugneci]2g, be sustair-red'orcier [passecl ][b\'' ][the ] [sr ]'ilsDonderlt' ['annot ] \ 22. The other [aspect ][of ][the matter ][is ][that ][since ][the ][show ][cause]notice issued reiies [only on the tevocation ][of ][permission ][for ][providing]medical treatment [for ][Covid- ][19 ][by ][the ][State Government' ][and ][the]said revocation, [having been ][llfted ][by the ][State authorities ][by]dated [13.O9'2020 ][and the ][petitioner ][was permitted ][to]proceedings treatment [for ][Covid-19 ][patients' ][the ][very basis ][of ][the ][show]provide cause notice [issr'led, ][s+.ands ][removed'] In [vierv ][cf ][the ][abcvc. ][consi':iereci ][from any ][angle ]' [the ][iinpugneci]2g, be sustair-red'orcier [passecl ][b\'' ][the ] [sr ]'ilsDonderlt' ['annot ] \ is alicrvt:d [ancl t:'re ][irnPugned]oaAccordinglY, [the $'rit ][Petlllon]leLter [number:]DIN [& ]orderdt. lg.lo '2020 [vide]ITBA/COM/F l17 [l2O2A-21 ][/ ][1023343448(1) ][passecl ][ov the ][1't]respondent, [re3ecting ][tne applic'iti'n ][of lhe ][pe-ritioilcl ][for ][grant ][c-'f]reneu.al [of ][approvar ][under ][Section i7(1)(b) ][oi ][rhe ][rnc:ome ][Tax ][Act,]1961, is [hereby set ][asrde; ][the ][1sr ][responclent ][is ][ciirected ][to ][process]the application [filed by the ][petitioner for grant ol ][renerval ][o1 ][approval]under [proviso ][(ii)(b) ][to ][Sec' ][17(2)(viii) ][of the ][Incorne ][Tax ][Act' ][196f ][if]ihs same is [otheru'ise ][in ][accordance ][u'ith ][the provisio:tr; of the Act] 25.Pending miscellaneous [petitions ][if ][any, shail stand ][closed ][in ][the] iigh." of this [final ][order. ][No ][order ][as ][to ][costs] SD/.T.KRISHNA ASSISTANT REGISTRARSECTION //TRUE COPY' to'',l. ,n" Principal Chief Commissioner of lncome-Tax Andhra Pradesh andTelanqana, Hvo""oui, [no"o"'-'irtrlo ][b2z, sth Flooi' ][e Btock ][lTTowers ][l0-2-3']A:i.'d;;"jd''Hvderabad [- ][500 ][004'-Telansana,']2. The Joint [commissioiEi ][otiniom" ra4Hors.) ][(Tech. ). ][o/ ][o ][The ][principal ][chief]commissioner [of ][t"J;;i;i, ][xninii ][piJ,i".n ][bncl ][Telanoana. ][Hyderabad,]Room No. s22,gthr'r,#, [iisr"ikl'ri-iowJrs ][to-z-s', ][n ][clcuard'' ][Hvderabad ][-]500 004, TelanganaJ.6i,itt't" ["sii"n.V.n ][sluu ][Kartikeva, Advocate [oPUCr]4.one CC to Sri [B. ][Narasimna'SJill, Sdtiti'"S ][cf ][i"r ][inc'o.rre ][Tax ][ ]5.Two CD CoPies6.One Spare [CoPY]CHR HIGH COURT DATED:2810912021 ///.,.1'aE [STrr][i6-]ORDERtW.P.No.21806 of 2O2Od z 1 ocTzczl+ I-L_L.OW|NG [WR|T ]PETtTtoNWITHOUT COSTS -X.r.r-