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JUDGMENT Akil Kureshi, J. - Since the facts are similar, we may record those arising in Special Civil Application No. 15097 of 2004. The petitioner has challenged an order dated October 11, 2002, passed by the Settlement Commission in the following background : 2.1 The petitioner had applied for settlement under the scheme provided under the Income-tax Act, 1961. The Settlement Commission passed an order on March 12, 1996. In such order, the Tribunal provided for charging of interest under sections 234A, 234B and 234C of the Act as under : "22. A request has been made for waiver of interest chargeable under sections 234A, 234B and 234C of the Income-tax Act in both the cases. In the case of Kakadia Builders P. Ltd. returns for the assessment years 1994-95 and 1995-96 were due after the date of search. Considering the same, the interest chargeable for nine out of twelve months delay in 1994-95 is waived. Interest under section 234A for 1995-96 is chargeable for three months only which shall be charged as per law. In the facts of the case, interest under section 234A for 1992-93 and 1993-94 is waived to the extent of 50 per cent. Interest chargeable under section 234B for all the four years will be reduced by 50 per cent. Regarding Shri Mahnarlal M. Kakadia, interest under section 234A for the assessment years 1993-94 and 1994-95 will be charged for eighteen and six months, respectively. The balance interest is waived. Interest under section 234A for the assessment year 1995-96 will be charged as per law. Interest under section 234B will be reduced by 50 per cent. of the chargeable amount in all the four years under settlement. Interest under section 234C in both the cases will be charged as per law." 2.2 The Revenue thereupon approached the Settlement Commission and requested for rectification of the said order in connection with the interest portion contending that as per the decision of the Supreme Court in the case of CIT v. Anjum M.H. Ghaswala [1997] 252 ITR 1/119 Taxman 352, charging of interest was mandatory. The Commission, therefore, could not have waived any portion of such interest liability. 2.3 The Settlement Commission thereupon passed the impugned…

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