2019 (11) TMI 1667 - AT - Income Tax

Ex-parte order - petition, pleaded for recall of order, by submitting that the concerned director, inadvertently, failed to take note of the date of hearing and therefore, in the interest of justice, the order may be recalled - HELD THAT - Upon due consideration of factual matrix and keeping in view the submissions made, the bench formed an opinion that in the interest of justice, the stated order deserves to be recalled, however upon payment of cost of ₹ 10,000/-. Accordingly, the Ld. AR was directed to pay the same in the Prime Minister National Relief Fund. The same has since been deposited by the assessee on 18/11/2019, the proof of payment of which has been placed on record. Therefore, the stated order of the Tribunal stand recalled. The registry is directed to fix the appeal for hearing before regular bench on 14/01/2020, which has been fixed after due consultation with both the representative and therefore, separate notice of hearing is dispensed with.

Summary

Issues involved:
Recall of ex-parte order in ITA No.309/Mum/2017 for AY 2009-10 due to non-attendance at proceedings.

Analysis:

Issue 1: Recall of ex-parte order
The applicant sought the recall of the ex-parte order passed by the Tribunal in ITA No.309/Mum/2017 dated 14/02/2019 for AY 2009-10, as the bench had dismissed the appeal due to non-attendance. The Ld. AR argued that the director had inadvertently missed the hearing date, requesting the order's recall in the interest of justice. On the other hand, the Ld. DR contended that the assessee had been negligent in attending the proceedings. After considering the submissions and the factual matrix, the bench opined that recalling the order was warranted in the interest of justice, subject to the payment of a cost of &8377; 10,000. The Ld. AR was directed to deposit the amount in the Prime Minister National Relief Fund, which was done by the assessee on 18/11/2019, with proof submitted. Consequently, the Tribunal's order was recalled.

Issue 2: Directions for future proceedings
The bench directed the registry to schedule the appeal for a hearing before the regular bench on 14/01/2020, following consultation with both representatives. Notably, a separate notice of hearing was waived, indicating that the parties were duly informed. The application was allowed as per the bench's order, signifying a successful resolution of the matter.

In conclusion, the judgment by the Appellate Tribunal ITAT Mumbai involved the recall of an ex-parte order for AY 2009-10 due to non-attendance at proceedings. The decision highlighted the importance of ensuring justice by recalling the order upon payment of a specified cost. Additionally, the directions for future proceedings emphasized the need for timely compliance and adherence to procedural requirements to avoid similar situations in the future.