2019 (10) TMI 932 - SCH - Income Tax

Extraordinary and discretionary jurisdiction of High Court - maintainability of appeal - Single Judge directing the appellant to exhaust the statutory remedy - whether the appeal requires to be decided on merit or not? - Section 115-O invoked unilaterally and without adjudication by treating the transactions as that of dividend, which would not come within the purview of Section 2(22)(d) - HELD THAT - As a sum of ₹ 2806,40,15,294/- stands deposited and invested in the form of fixed deposit receipts. Mr. Zoheb Hossain, learned Advocate appearing for the Department prays for and is granted two weeks time to put in affidavit in reply. Rejoinder, if any, be filed within a week thereafter. Considering the facts and circumstances on record, we deem it appropriate to list the matter for final disposal on 14.11.2019.

Summary

Issues:
1. Deposit of a substantial sum pursuant to a High Court order.
2. Request for time to file affidavit in reply.
3. Fixing the date for final disposal of the matter.
4. Maintenance of the deposited amount in the same form.

Analysis:
1. The judgment pertains to a substantial sum of money, amounting to ?2806,40,15,294, which was deposited and invested in fixed deposit receipts as per an order dated 03.04.2018 by the Single Judge of the High Court of Judicature at Madras in Writ Petition No.7354 of 2018.

2. The advocate representing the Department requested and was granted a two-week extension to submit an affidavit in reply. This procedural step allows the Department to present its response within the specified timeline, ensuring a fair opportunity for both parties to present their arguments.

3. In light of the facts and circumstances presented, the judges scheduled the matter for final disposal on 14.11.2019. Setting a definitive date for final disposal is crucial in legal proceedings to ensure timely resolution and closure to the case.

4. Until further consideration, the judgment mandates the maintenance of the deposited amount in the same form it currently exists. This directive ensures the preservation of the financial status quo until the matter is conclusively resolved, preventing any alterations to the deposited sum during the ongoing legal process.