1977 (11) TMI 132 - HC - VAT and Sales Tax

Summary

Issues: Compliance with directions of appellate forum for remand orders.

The judgment of the Andhra Pradesh High Court, delivered by C.J. Obul Reddi, addressed the issue of compliance with directions of an appellate forum for remand orders. The case involved two revision cases where the main contention was whether the present Bench of the Tribunal could sit in judgment over an order made by an earlier Bench. The petitioner had preferred two appeals before the Sales Tax Appellate Tribunal, which remitted the matter back to the Assistant Commissioner for disposal afresh in accordance with its directions. However, the Assistant Commissioner did not comply with the directions given by the Tribunal, leading to a lack of reference to the report directed to be obtained from the Commercial Tax Officer. The Tribunal that heard the subsequent appeals observed that the Assistant Commissioner's order after remand did not address the Tribunal's directions adequately. The High Court emphasized that once a competent appellate forum remands a case with specific directions, those directions must be followed. The Court highlighted that the change in personnel of the Tribunal does not affect the decisions remanded by the Tribunal, and compliance with the directions is crucial regardless of individual opinions. The Court cited Section 21(9) of the Andhra Pradesh General Sales Tax Act, which states that orders passed by the Appellate Tribunal shall be final, subject to certain provisions. Consequently, the High Court set aside the Tribunal's order and directed a rehearing of the appeals upon receipt of the report called for by the earlier Bench. The Court emphasized the importance of following appellate directions and ensuring a fair opportunity for the assessee to present their defense. The petitions were allowed, and no costs were awarded, except for the advocate's fee.