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TMI Blog2025 (4) TMI 1226X X X X Extracts X X X X X X X X Extracts X X X X ..... Coimbatore has been transferred to the Central Circle, Kolkatta (herein referred to -Central Circle-). This transfer order has been passed to centralize the case of the petitioner for effective and co-ordinated investigation along with other cases. 3. The learned counsel for the Petitioner submits that the Petitioner is the resident of Coimbatore, having a registered office at Coimbatore. A show cause notice was issued by the 1st respondent on 26.12.2023 stating that a Search and Seizure action was carried out under Section 132 of the Act in the petitioner-s case on 12.10.2023 by Authorized Officer under the control of the Principal Director of Income Tax (Investigation), Kolkata, where, they have seized number of incriminating documents, which are inter-connection and affect the assessment of the petitioner. Therefore, in order to centralize the petitioner-s case for effective and co-ordinated investigation they intended to transfer the case case to the Central Circle at Kolkata and thereby, called upon the petitioner to file the objections in writing if any, on or before 02.01.2024. Subsequent to the said show cause notice, the petitioner had filed their replies on 28.12.2023 & ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... justice and the same is not sustainable in law. 7. Dr.B.Ramaswamy, learned Senior Standing counsel appearing for the respondents would submit that in the present case, the petitioner has been carrying on business within the jurisdiction of Kolkata Zone, particularly, the petitioner involved in the Lottery Business in Kolkata and also in several States of India and the authorities, on a search and seizure action carried out under Section 132 of the Act, number of incriminating materials were seized, which were inter-connected and affect the petitioner-s assessment and in such circumstances, the case has been transferred from DCIT, Coimbatore to DCIT, Kolkata. He pointed out that before passing the impugned Notification, a show cause notice, dated 26.12.2023 was issued to the petitioner, wherein, the respondents have clearly narrated the circumstances by which, they intended to transfer the petitioner-s case to Kolkata (Central Circle). Further, he would submit that in the show cause notice, the petitioner was requested to file their reply/objections, on or before 02.01.2024. After taking into consideration the petitioner-s reply only, the Notification was issued on 25.04.2024 unde ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... should be considered together at one place so that harmonious and co-ordinated investigation be undertaken to arrive at just assessment. It is relevant to extract the contents of the show cause notice, dated 26.12.2023, which read as follows:- "A search and Seizure action was carried out u/s 132 of the Income Tax Act, 1961, in your case on 12.10.2023 by Authorized Office under the control of the Principal Director of Income Tax (Investigation), Kolkata. In this regard, a proposal to centralize your Income Tax file has been received in this office. Your proceedings under the Income Tax Act, 1961, is proposed to be centralized in any of Central Circle in Kolkata for the following reason: (a) As a result of the said search action a number of incriminating documents were seized. The documents are inter-connected and affect your assessment. It is necessary to see their effect together on the assessments. It can only be done after analyzing and investigating the documents found at different places together. As documents have been seized at different places, it is necessary that all the cases should be considered together at one place so that harmonious and co-ordinated investigation ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mpetent enough to undertake the assessment proceedings in our case which they have already been doing over the years. We, therefore reiterate that centralization of our case at Kolkata shall devold our right to fair and natural justice and therefore we request you not to transfer our file to Kolkata. If centralisation of cases is required, we have no objection in having the case centralised with Central Circle, Coimbatore." 13. A perusal of the above reply filed by the petitioner reveals that the petitioner expressed their personal difficulties citing the costs of litigation as well as they are having their registered office at Coimbatore, the availability of documents at Coimbatore, etc. Therefore, the petitioner raised objections for transferring the case to Central Circle, Kolkata. 14. Though the learned counsel for the petitioner contended that the petitioner is having their registered office at Coimbatore and no business activities were carried out at Kolkata, but upon search and seizure carried out under Section 132 of the Act on 12.10.2023 by the Authorised Officer under the control of the Principal Director of Income Tax (Investigation), Kolkata, number of incriminating ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... titioner are accepted and allowed, the Coimbatore jurisdictional Assessing Officer has to finalize the assessment of the petitioner and in such event, certainly, it will be difficult for him to complete the assessment in the absence of material documents, which were seized upon search by the Income Tax (Investigation) authorities of Kolkata Central Circle. Hence, it would be appropriate to transfer the petitioner-s case to Central Circle, Kolkata since the Income Tax authorities have traced out and seized number of incriminating documents which reveal the involvement of the petitioner in conducting the business operations of lottery and deciding the issue of evasion of taxes is within their jurisdiction. Therefore, the 1st respondent has rightly transferred the cases from Coimbatore jurisdiction to Kolkata jurisdiction. Hence, I do not find any reasons to interfere with the impugned Notification dated 25.04.2024. 19. In fact, Section 127 does not contain the grounds on which a case is to be transferred. It has been left to the discretion of the authority which has to be exercised by it in public interest. It is neither possible nor desirable to enumerate the grounds which can be s ..... X X X X Extracts X X X X X X X X Extracts X X X X
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