1996 (2) TMI 96 - HC - Income Tax

Summary

The High Court of Allahabad set aside the impugned order dated October 19, 1993, which directed the petitioner to furnish a bank guarantee of Rs. 20 lakhs for the release of seized goods worth Rs. 17,29,292. The court ruled that once regular assessment is completed, proceedings under section 132(5) of the Income-tax Act lapse. The Department was found unjustified in demanding the bank guarantee. The writ petition was allowed, and the petitioner's goods will be released. (Case citation: 1996 (2) TMI 96 - ALLAHABAD High Court)