H. R. Khanna, J. - (1.) This is an appeal on certificate against the judgment of the Punjab and Haryana High Court whereby the High Court held that the appellant-firm had failed to prove that it had stood dissolved on a date prior to the date of assessment, viz., March 12, 1962.
(2.) The appellant-firm carries on business as commission agents of cotton and foodgrains. In respect of the year 1959-60, the appellant did not submit any return under the Punjab General Sales Tax Act. A notice was thereupon issued to the appellant-firm and the case was fixed for July 1, 1960. The appellant challenged the validity of the assessment proceedings by means of a writ petition in the High Court. The High Court during the pendency of the petition, stayed the proceedings. Ultimately, it seems the writ petition was dismissed and the assessment proceedings were resumed on November 30, 1961. Various dates were fixed thereafter. February 17, 1962 was fixed as the final date of hearing. On that date, intimation was given on behalf of the appellant that the appellant-firm had ceased to do any work since February 1961. It was also represented that a formal document had been executed on August 8, 1961. The assessing authority despite that intimation proceeded to make an order of assessment dated March 12, 1962. The appellant thereupon filed another petition under Article 226 of the Constitution in the Punjab High Court, praying for the quashing of the assessment order. It was stated on behalf of the appellant that the appellant-firm had been dissolved before the date of assessment order and as such, the sales tax authorities could not make an order for assessment. The High Court dismissed the petition on the ground that the assessment proceeding had been initiated long before the alleged date of dissolution of the firm. The appellant thereafter came up to this Court in appeal against the said decision of the High Court. This Court set aside the judgment of the High Court, following its decision in the case of State of Punjab v. M/s. Jullundur Vegetables Syndicate, (1966) 2 SCR 457. The case was remanded to the High Court as no definite finding had been given by the High Court regarding the dissolution of the appellant-firm and about the fact as to whether the said dissolution had taken place before the date of the order of assessment, namely, March 12, 1962.
(3.) After remand, the High Court called upon the sales tax officer to make an enquiry and submit a report on the point as to whether the appellant-firm had been dissolved on August 8, 1961 as alleged by the appellant. The sales tax officer thereafter made an enquiry and submitted a report that the appellant-firm had not proved its dissolution on August 8, 1961 or before the date of assessment order. The High Court, after receipt of the report, itself examined the matter and came to the conclusion that on the material on record brought by the appellant, it had not been proved that the appellant-firm had stood dissolved on a date prior to March 12, 1962. It is the correctness of the above decision of the High Court which has now been assailed before us by the appellant in this appeal.;