SANJAY KAROL,J. - (1.) Petitioners have prayed for the following relief(s):- For issuance of an appropriate writ/writs, direction/directions and order/orders on the respondent on the facts and circumstance of the case after quashing the order dated 28.03.2008 passed by the Income Tax Settlement Commission (IT & WT), Kolkata, as contained herein in ANNEXURE-3, in settlement applications as contained in ANNEXURE- 1 herein, under the section 245D (4) of the Income Tax Act, 1961, (after an order passed by this Hon ble Court on the Settlement Commission, Respondent No: 1 herein to dispose of the application by 31.03.08, as contained in Annexure 3 herein) whereby and where under after giving the opportunity to the petitioner no.1, the Commissioner Income Tax (Central), Patna and applicants (therein before the Settlement Commission) without examining the record and investigating the case.
(2.) The object and purpose of introducing a separate Chapter XIX-A, titled as settlement of cases , comprising of Sections 245A to 245M of the Income-Tax Act, 1961 (hereinafter referred to as the Act ) was inter alia to provide for a mechanism for putting an end, expeditiously, to the alleged or suspected cases of evasion of tax by an assessee. Equally, it was to enable a taxpayer to truthfully come out clean and begin his relationship with the department with a clean slate. An independent body termed as Settlement Commission was established, to act as an umpire, a neutral person. The Act contemplated a level playing field for both the assessee as also the Revenue. The Chapter itself provides a mechanism, enabling the Revenue as also the assessee to settle the issues, be it of whatever nature and magnitude, pending before any Income-Tax Authority.
(3.) The Settlement Commission is required to adhere to the procedure prescribed thereunder. The powers are immense, inter alia, calling for the reports from the Commissioner (the authorized representative of the Revenue) as defined under the Act; carry out inspection, etc. It also has the power under Section 245H, to grant immunity from prosecution from the imposition of penalty.;