2015 (4) TMI 653 - HC - VAT and Sales Tax

Validity of impugned order passed - Violation of principle of natural justice - Opportunity of hearing not granted. - Held that - No due opportunity has been given to the Petitioner and non consideration of the documents produced by the Petitioner as rightly pointed out by the learned counsel for the Petitioner the respondent has omitted to take into consideration the relevant documents and has also failed to provide opportunity of hearing before passing the impugned order which is in violation of principles of natural justice. - Matter remanded back - Decided in favour of assessee.

Summary

Issues Involved:
Challenge to assessment order - Lack of opportunity of hearing - Violation of principles of natural justice

Analysis:

1. Challenge to Assessment Order:
The Writ Petition was filed to challenge an assessment order, requesting the court to quash the order as illegal and contrary to the provisions of the Act. The petitioner argued that they were not given the opportunity of hearing before the order was passed. Despite voluntarily providing all necessary documents and a detailed reply, the petitioner was not afforded a chance to clarify or verify the documents. The court noted that the omission of providing an opportunity of hearing and the failure to consider the records available constituted a violation of principles of natural justice.

2. Lack of Opportunity of Hearing:
The respondent, represented by the Additional Government Pleader, contended that the petitioner was indeed given the opportunity of hearing, and the orders were passed after considering the documents submitted. However, the court found that the simple fact that no proper opportunity had been given to the petitioner, coupled with the non-consideration of the documents provided, highlighted a clear error in the process. The court emphasized that the failure to provide a fair hearing before passing the impugned order was a violation of principles of natural justice.

3. Violation of Principles of Natural Justice:
In light of the above considerations, the court set aside the impugned order and remitted the matter back to the authorities for fresh consideration. The court directed the authorities to provide a personal hearing to the petitioner, during which the petitioner could clarify all documents. The authorities were instructed to pass appropriate orders based on merits and in accordance with the law. Consequently, the Writ Petition was allowed with no costs, and the connected Miscellaneous Petition was closed.