9911796707
TMI Blog2006 (9) TMI 211X X X X Extracts X X X X X X X X Extracts X X X X ..... living in difficult circumstances, particularly the families and children living on the pavements of Kolkata. (b) Most of the funds for the assessee's activities are received from the Hope Foundation, Ireland. The assessee was registered on 24-2-2003 under the Foreign Contribution (Regulation) Act, 1976. Prior to such registration, in accordance with the provisions of section 6(1A) of the said Act, the assessee applied for prior permission of the Central Government for receiving the contributions from the Hope Foundation, Ireland for its objects. The Central Government granted such permission. The assessee also submitted to the Central Government full details about the utilization of the foreign contribution received by it. (c) In the year 1999 itself, the assessee set up a Home in Kolkata for street and abandoned children. (d) Due to unprecedented floods in the city of Kolkata in the year 1999, there was a serious outbreak of Malaria. In November, 1999, the assessee set up a clinic for treatment of malaria patients and the more serious cases were referred to Hospitals and Nursing Homes. The said clinic continued till June, 2000. (e) Mrs. Sheila Banerjee was the Secretary of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ction 12AA, the assessee on 1-2-2006 made another application to the DI(E) referring to its previous application dated 26-12-2002 and prayed for rectification of the order dated 12-11-2001 and grant of registration with effect from 4-10-1999. No orders were received either on the application dated 26-12-2002 or the application dated 1-2-2006. (m) After receipt of the assessment orders for the assessment years 2000-01 and 2001-02 denying exemption under section 11 for lack of registration under section 12AA, the assessee sought advice from Sri K.V. Singh, Advocate who pointed out to the assessee for the first time that the provisions of section 253(1)(c) of the Act were amended with effect from 1-6-1999 to provide for an appeal before the Tribunal against an order passed under section 12AA. Sri K.V. Singh, Advocate advised that the filing of the rectification application and pursuing the same was not the appropriate remedy and the proper course was to file an appeal before the Tribunal along with an application for condonation of the delay. (n) The office bearers and members of the assessee are not conversant with the provisions of the Act and were not aware about the appeal provi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e. The lawyer did not advise the assessee to prefer an appeal before the Tribunal. The assessee having filed the rectification application as per advice received, pursued the same. It is the assessee's case that it was not aware about the amendment in the law providing for appeal before the Tribunal against an order tinder section 12AA nor did the lawyer whom it had consulted in the year 2002 apprise it of the appellate procedure resulting in its inability to avail the same at that time. 6. In State of West Bengal v. Administrator, Howrah Municipality [1972] 1 SCC 366 it was held by the Hon'ble Supreme Court that if a party had acted in a particular manner on a wrong advice given by his legal advisor, he cannot be held guilty of negligence so as to disentitle the party to plead sufficient cause. In N. Balakrishnan's case. It was held by the Hon'ble Supreme Court that the rules of limitation were not meant to destroy the rights of parties. They were meant to see that parties did not resort to dilatory tactics but sought their remedy promptly. Condonation of delay was a matter of discretion of the Court. Length of delay was no matter, acceptability of explanation was the only criter ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... atisfied and grant registration from the date of establishment of the institution. If he is not so satisfied, registration is to be granted from the first day of the financial year in which the application is made. In the instant case, the application was made on 5-11-2001 and registration has been granted from 1-4-2001. Therefore, the DI(E) did not consider it a fit case for condoning the delay, though his reasons for not accepting the assessee's explanation are not stated in his order dated 12-11-2001. 9. On behalf of the assessee it was submitted that the reasons which prevented the assessee from making the application within the period of one year have also been given in the affidavit to which reference has been made earlier. It was submitted that there was no dispute about the assessee's entitlement to registration under section 12AA and that it had fulfilled all the conditions in that behalf. Registration has in fact been granted with effect from 1-4-2001 and the assessee is only claiming that it should be granted from 4-10-1999 since there were sufficient reasons which prevented it from making the application within the period of one year. Reliance was placed on an unreport ..... X X X X Extracts X X X X X X X X Extracts X X X X
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