9911796707
TMI Blog2019 (6) TMI 1335X X X X Extracts X X X X X X X X Extracts X X X X ..... nance of minimum balance amount. The Petitioner addressed yet another letter dated 22nd January, 2019 demanding the withdrawal of the impugned communications. However, despite this demand for justice, the Respondents failed to withdraw the impugned communication, the Petitioner have instituted the present Petition. In the present case we were considering imposition of costs against the Respondents because despite the decision of this Court in virtually identical circumstances, the Respondents persist in ordering Debit freezing without issuing of any show cause notice or completing investigations within the reasonable period. However, on this occasion, we refrain from imposition of any costs by expressing the hope that at least in future ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... spective accounts. Even the copies of such communication were not marked to the Petitioner. Upon receipt of such copies from the two banks, the Petitioners addressed letters dated 25th July, 2018 and 9th October, 2018 calling upon the Respondents to withdraw the communication which had the effect of virtually freezing the bank account of the Petitioner. The Petitioner in the said letters made reference to various judicial precedents on the issue. 6. Since no action was taken by the Respondents, the authorized representative of the Petitioners instituted Writ Petition No. 10052 of 2018 but by order dated 26th September, 2018 , this Court permitted the withdrawal of the said Petition by granting liberty to file fresh Petition in t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssue raised in the present Petition are squarely covered by these decisions and on the basis of reasoning in the said decisions, the impugned communication deserve to be set aside. 9. Mr. J.B. Mishra, learned counsel for the Respondents even in the present case seeks to defend the impugned communications by pointing out that the initial order of Debit freezing was modified and now Debit operation are permitted subject to maintenance of minimum balance of ₹ 18,32,528.38/and ₹ 14,31,525/in IDBI Bank and Kotak Bank Ltd respectively. He submits that the investigation are on and it is possible that show cause notices will be issued at an early date. He submits that the minimum balance which the impugned communications referr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... count may be continued under attachment and then within a time frame show cause notice will be issued. We do not see how we can freeze a bank account or not allow the petitioner to deal with it until the show cause notice is issued and final orders are passed thereon. That would mean we secure for the Revenue, the amount due and payable which is yet to be adjudicated upon by Revenue. In these circumstances and going by factual allegations, that we do not think that the impugned communication can be sustained. We accordingly quash and set the impugned communication of bank. The writ petition is allowed with no order as to costs. We, however, clarify that our order does not mean that Revenue cannot proceed to recover the amount from the petit ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
