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Section 131 of the Income-tax Act, 1961 - Discovery, production of evidence - Power regarding - High Court held that Assistant Director of Inspection had no power to issue notice under section 131 to two persons to appear before him as witnesses - Whether having regard to fact that sub-section (1A) was inserted in section 131 to confer such power on Assistant Director of Inspection, question whether at time when impugned notice was issued such power vested in Assistant Director of Inspection or not had become academic and could not be answered - Held, yes FACTS The question arose in the instant case was whether the Asstt. Director of Inspection was entitled to issue a notice under section 131, to the two persons to appear before him as witnesses. The High Court held that such power was not vested in said officer. On appeal to the Supreme Court: HELD Accepting the decision of the High Court as correct, by Amending Act 41 of 1975, sub-section (1A) was inserted into section 131 to confer that power on the Assistant Director of Inspection. In view of the fact that the position had now been covered by an amendment as early as 1975, the question raised had become academic and no useful purpose would be served by deciding the question as to whether at that time the power vested in the Assistant Director and the of the High Court was therefore not correct. Consequently, instant appeals were to be dismissed. CASE REVIEW : The of the High Court of Calcutta in Gopal Das Gupta v. Union of India [1971] 80 ITR 200 not interfered, issue being academic. C.M. Lodha and Miss. A. Subhashini for the Appellant. T.A. Ramachandran and Mrs. A.K. Verma for the Respondent. JUDGMENT Amaresh Roy J.-A common question regarding interpretation, mainly of two sections of the Income-tax Act, 1961, viz., sections 131 and 135, has arisen in the two appeals which we have heard one after the other. The question arose by an action taken by the Assistant Director of Inspection of the Income-tax Department in connection with what was said to be a proceeding under the Income-tax Act, in the case of Aruna Estate Limited by issuing summons under section 131 of the Income-tax Act, 1961, to compel…

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