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TMI Blog2011 (2) TMI 1128X X X X Extracts X X X X X X X X Extracts X X X X ..... reliance upon the following documents/reports: (i) Response of MPEDA to the query made by the A.O. in relation to the "conversion ratio". (ii) "Socio-Economic Condition of Fisheries in and around Chilika" published by the Chilika Development Authority (CDA). (iii) Globalisation and Seafood Export Legislation: The Effect of Poverty In India: Final Report for Orissa dated November 2002 by Cirrus Management Services Pvt. Ltd. (this report is a part of the Post Harvest Fisheries Research Project managed by the Natural Resources Institute, UK and funded by the UK Government's Department for International Development (DFID) (iv) Value chain analysis of fishery in Puri and Ganjam District of Orissa prepared by Nimble Systems Pvt. Ltd. for OXFAM (India) Trust (v) Field Visit Report dated 14.11.2010 conducted by the A.O. 3. To substantiate the allegation of violation of the principles of natural justice, learned counsel for the petitioner also placed reliance on the counter affidavit filed on behalf of opposite parties 2 and 3 and in particular, the averments contained in Paragraphs-9 and 9 A thereof which is quoted herein below: "9. xx xx It was n ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h Kumar v. CIT [2007] 2 SCC 181 wherein this Court held: (SCC p.199, paras 48-49) "48. In any event, when civil consequences ensue, there is hardly any distinction between an administrative order and a quasi-judicial order. There might have been difference of opinions at one point of time, but it is now well settled that a thin demarcated line between an administrative order and quasi-judicial order now stands obliterated (see A.K. Kraipak v. Union of India [1969] 2 SCC 262, Chandra Bhavan Boarding and Lodging v. State of Mysore [1969] 3 SCC 84 : AIR 1970 SC 2042 and S.L. Kapoor v. Jagmoha [1980] 4 SCC 379. 49. Recently, in Banaras Hindu University v. Shrikant [2006] 11 SCC 42 : [2007] 1 SSC (L&S) 327 this Court stated the law, thus: (SCC p.60, para 51) 51. An order passed by a statutory authority, particularly when by reason whereof a citizen of India would be visited with civil or evil consequences must meet the test of reasonableness. It was observed: (Rajesh Kumar case, SCC p.200, paras 55-56 "55. Justice, as is well known, is not only to be done but manifestly seem to be done. If the assessee is put to notice, he could show that the nature of accounts is not such which wo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... unsel for the petitioner also drew attention of the Court to the alleged contentions of the Field Visit Report dated 14.11.2010 by the Assessing Officer and in particular Paragraph-9 and 10 thereof which have been extracted in the assessment order at internal page-13. The same is as follows: "Then an employee of Falcon Marine, Sri Rabindranath Prusty, was approached. He stated that business in Balugaon is most brisk two days before and two days after full moon and new moon. That is the reason why there was on business on 14.11.2010. On further query he stated that prawns are brought by various parties. Prawns are sorted in their godown and price is determined then and there. A recording of the conversation was made using mobile recording system, in which he states that prawns are sorted into different counts in their godown in Balugaon itself. 10. During the visit the name and identity of the Assessing Officer was not revealed. It was stated that we are doctorate students doing research on Fishery business in Lake Chilika." 7. In the light of the aforesaid submissions, learned counsel for the petitioner asserts that not only the order of assessment is wholly unlawful being in vi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ound on the basis whereof there would be a levy of tax, non-compliance of which is a clear violation of the principles of natural justice. It is well settled that an assessee may have an answer to the charges or may not have. But without doubt in law, an assessee is entitled to a proper hearing and such proper hearing cannot be said to have taken place without the assessee being provided with the copies of such documents or opportunity to inspect the documents sought to be relied upon by the revenue. This would be so, since an assessee can only possible respond to any charge only on knowing the contentions of the said documents sought to be relied upon and not otherwise. The said principles has also been referred by the Hon'ble Supreme Court in the case of Steel Strips Ltd. (supra). 11. In the present case, it is admitted case of the Revenue that the reports relied upon and/or referred to by the Assessing Officer in the impugned assessment order have not been served on the assessee except the Field Visit Report dated 14.11.2010 which is mentioned at internal page-13 of the assessment order which indicates that the same had been communicated to the assessee's representative only on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e to the Assessee's counsel by 09.02.2011. (iii) The petitioner shall appear before the Range Officer on 11.02.2011 at 11.00 A.M. on which date, the assessee shall be intimated of the name and designation of the officer to whom assessment may be transferred by the Range Officer. (iv) The reassessment proceeding be concluded within six weeks from the date of appearance of the petitioner. 15. Since we have quashed the impugned order and consequently the demand dealt on technical ground i.e. violation of the principles of natural justice, learned counsel for the petitioner submits that the additional income of the petitioner determined [apart from, the demand relatable to Points (III) Bogus Purchases and (IV) Cash Purchases] is approximately Rs.3.5 crores. The tax and interest thereon would be approximately Rs.1.5 crore. In order to protect the interest of revenue, we direct the petitioner to deposit a sum of Rs.1.5 crores (without prejudice to its rights) within a period of one week from today and such deposit shall be subject to the result of the re-assessment proceedings, which may be taken up, pursuant to the direction contained herein. 16. The petitioner is at lib ..... X X X X Extracts X X X X X X X X Extracts X X X X
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