DIRECTOR OF INSPECTION OF INCOME TAX INVESTIGATION NEW DELHI Vs. POORAN MAL AND SONS

JUDGEMENT

(1.) This case is an off-shoot of a search and seizure in pursuance of the provisions of Sec. 132 of the Income-tax Act, 1961 dealt with in the decision of this Court in Pooran Mal v. Director of Inspection, (1974) 1 SCC 345 = (AIR 1974 SC 348). One of the cases there dealt with was Writ Petition No. 446 of 1971 filed by one Pooran Mal. The facts stated therein are set out below for the sake of brevity:

(2.) In the case dealt with earlier by this Court the constitutional validity of Section 132 and legality of the search and seizure alone were under consideration. This Court held the provisions valid and the search and seizure legal.

(3.) Thereafter respondent 1, which is a firm of which Pooran Mal was a partner, and respondent 2, who claims to be another partner of the 1st respondent firm, filed Writ Petition No. 82 of 1972 challenging the order of the Income-tax Officer dated 12-1-1972. This writ petition was disposed of on 6-4-1972 on the basis of the consent of the parties. The relevant portion of the order is as follows: