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Issues Involved:
1. Jurisdiction of the High Court to issue a writ of certiorari. 2. Applicability of Section 106(2) of the Government of India Act. 3. Validity of the Collector's actions under Section 46 of the Income Tax Act. 4. Interpretation of the term "revenue" in the context of the case. 5. The bona fides of the Collector's actions. Detailed Analysis: 1. Jurisdiction of the High Court to Issue a Writ of Certiorari The petitioner sought a writ of certiorari to quash the proceedings of the Collector of Madura regarding the realization of income tax arrears. The High Court's power to issue such writs is derived from the Supreme Court's jurisdiction as established by the Government of India Act, 1800, and subsequent statutes. The Supreme Court of Madras, and later the High Court, had jurisdiction to issue writs of certiorari but with specific limitations, particularly concerning revenue matters. 2. Applicability of Section 106(2) of the Government of India Act A preliminary objection was raised by the Government, citing Section 106(2) of the Government of India Act, which bars the High Court's jurisdiction in matters concerning revenue. The High Court examined the historical context and statutory provisions, concluding that the jurisdiction to issue writs of certiorari in revenue matters was indeed curtailed by various statutes, including the Letters Patent of 1800 and subsequent legislation. 3. Validity of the Collector's Actions under Section 46 of the Income Tax Act The petitioner argued that the Collector's actions violated Section 46(7) of the Income Tax Act, as the proceedings were not commenced within one year from the last day of the year in which the demand was made. The High Court noted that the Collector acted in accordance with certificates issued under Section 46 and that the orders for arrest were made pursuant to these provisions. The Court further emphasized that the Collector believed he was acting within the legal framework, thus negating any claim of mala fide action. 4. Interpretation of the Term "Revenue" in the Context of the Case The petitioner contended that income tax should not be considered "revenue" under the relevant statutes. However, the High Court referred to previous rulings, notably in Messrs. Best and Company v. Collector of Madras, which established that income tax is indeed considered revenue. Consequently, the High Court's jurisdiction to issue a writ of certiorari in this context was barred. 5. The Bona Fides of the Collector's Actions The High Court examined whether the Collector acted in good faith and in accordance with the law. Citing Spooner v. Juddow, the Court concluded that even if the Collector's actions were ultimately found to be illegal, as long as they were performed in the bona fide belief of their legality, the jurisdiction to issue a writ of certiorari was not applicable. It was conceded that the Collector did not act mala fide, reinforcing the conclusion that the High Court lacked jurisdiction in this matter. Conclusion The High Court dismissed the petition, upholding the preliminary objection that it had no jurisdiction to issue a writ of certiorari in matters concerning revenue. The Court concluded that the Collector acted in good faith and within the legal framework as he understood it, thereby precluding judicial intervention. The petition was dismissed with costs of Rs. 100 to be paid by the petitioner.
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