2001 (5) TMI 4 - SC - Income Tax

Fair market value of the property in question was over the apparent consideration disclosed by 28.5 % - On that basis Appropriate Authority proceeded to acquire the property for the UOI, rejecting the explanation offered by the transferor - value, of the property either with reference to the apparent consideration or the f.m.v. determined by the Appropriate Authority is not of such magnitude as to call for any interference - HC is justified in setting aside the order for pre emptive purchase

Summary

The Supreme Court upheld the decision of the High Court regarding the acquisition of a property in Safdarjung Enclave Extension, New Delhi. The Appropriate Authority determined the fair market value of the property to be higher than the disclosed consideration, leading to the property's acquisition for the Union of India. The High Court quashed the acquisition order, and the Supreme Court dismissed the appeal, stating that no interference was necessary.