JAIPUR MINERAL DEVELOPMENT SYNDICATE JAIPUR Vs. COMMISSIONER OF INCOME TAX NEW DELHI

JUDGEMENT

(1.) This appeal by special leave is against the order of Rajasthan High Court whereby the High Court held that it was functus officio to entertain an application for re-hearing the reference made under S. 66 (1) of the Indian I.-T. Act, 1922 (hereinafter referred to as the Act).

(2.) The assessee-appellant is carrying on business in soap stones. At the instance of the appellant, the following two questions were referred to the High Court by the Tribunal under S. 66 (1) of the Act:

(3.) The affidavit filed on behalf of the appellant shows that the clerk, who had misplaced the notice received from the High Court, while proceeding on leave and handing over the charge to another clerk, discovered on September 21, 1970 that the above mentioned notice had been received from the High Court. Counsel was then engaged on behalf of the assessee-appellant. On enquiry it was found that the matter had been disposed of on August 26, 1970. On September 24, 1970 an application was filed on behalf of the appellant stating that the paper books had not been filed because of bona fide mistake. Prayer was made for permitting the appellant to file the paper books and for re-hearing the reference. The High Court, as per order dated February 22, 1971, dismissed the aforesaid application after observing that it had become functus officio to entertain the application because of its earlier order declining to answer the reference. It is this order which is the subject-matter of the appeal.