Suo motu review notice must disclose clear grounds; vague reopening of a final assessment was quashed.

A suo motu review under section 48 of the Delhi Sales Tax Act, 1975 must rest on a mistake apparent from the record and the prior notice must clearly state the grounds for proposed action and give a reasonable opportunity of hearing. A vague notice that does not disclose specific grounds is contrary to the statutory scheme and natural justice, and the review power cannot be used to reopen a final assessment on a mere change of opinion. The later reliance on the Forty-sixth Amendment did not cure the defective notice. The review notice, demand and consequential orders were held invalid and quashed in favour of the assessee.

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Issues: Whether the suo motu review notice and the consequential review and demand orders issued under section 48 of the Delhi Sales Tax Act, 1975 were valid when the notice did not state definite grounds and the reassessment was sought on the basis of a later constitutional amendment.

Analysis: Section 48 permits review only on a mistake apparent from the record and requires prior written notice stating the intention to act and affording a reasonable opportunity of hearing. A notice that does not disclose the grounds on which review is proposed is vague and defeats the statutory scheme as well as the rule of natural justice. Review power cannot be used as a substitute for reopening a final assessment on a mere change of opinion. The earlier assessment order had become final between the parties, and the later reference to the Forty-sixth Amendment could not cure the absence of specific grounds in the notice or validate an action taken without fair notice.

Conclusion: The review notice and the orders made pursuant to it were invalid and liable to be quashed in favour of the assessee.

Final Conclusion: The writ petition succeeded, and the demand and review order were set aside because the statutory conditions for suo motu review were not satisfied and the action violated natural justice.

Ratio Decidendi: A suo motu review or rectification notice must itself disclose clear and specific grounds showing a mistake apparent from the record, and a final assessment cannot be reopened on a vague notice or on a mere change of opinion.

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