Law:

Section:

Material on basis of which Commissioner/Director issues a warrant of authorization under section 132(1), must be brought to knowledge of said authority prior to carrying out search operations Section 132 of the Income-tax Act, 1961 - Search and seizure - Block assessment period 1-4-1996 to 10-12-2002 - Whether material on basis of which Commissioner/Director issues a warrant of authorization under section 132(1), must be brought to knowledge of said authority prior to carrying out search operations - Held, yes - Whether where revenue authorities failed to disclose any material which could lead to formation of reason to believe that assessee had cash or assets representing undisclosed income, warrant of authorisation issued under section 132(1) was liable to be quashed, and, consequently, articles seized during search proceedings were to be handed over to assessee - Held, yes FACTS The assessee's case was that he had been carrying on business of manufacturing perfumed supari. He contended that in relation to such business activity as also other sources of income, he had been regularly assessed to income-tax by the Assessing Officer. It was also contended that he had been maintaining all such records as were required to be maintained under the Central Excise Act, and no discrepancy was ever found by the excise authorities either in his working or in the records so maintained. On 10-12-2002, search operations under section 132(1) were carried out at residential premises, business premises and at the bank locker of the assessee. In search operations, cash, gold, silver articles and certain documents were seized. Against the said act of revenue authorities, the petition was filed seeking directions to the respondent to quash the warrant of authorisation issued under section 132 and to restore the possession of the cash amount as well as other articles seized. It was alleged in petition that the authorisation was issued by the respondent No. 2, the Director of Income-tax (Investigation) which was illegal as none of the conditions mentioned in section 132(1) existed and that there existed no material which could lead to formation of reason to believe that any asset…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492