Settlement proceedings continue despite departmental objections, with writ interference refused at the interlocutory stage.

Where settlement applications had been admitted and the proceedings were still pending, the High Court declined to interfere at the interlocutory stage. It held that objections based on the Department's report could still be raised before the Settlement Commission, and the statutory settlement process should be allowed to continue in accordance with law. The Revenue was therefore left to pursue its grounds before the Commission, rather than obtain premature writ interference.

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Issues: Whether the writ petitions challenging the Settlement Commission's order admitting the settlement applications and proceeding without first accepting the Department's report under the settlement provisions were fit for interference at that stage.

Analysis: The applications under the settlement machinery had already been admitted and the proceedings were still pending before the Settlement Commission. The Department's objections, including those based on its report, could still be raised before that forum. In such circumstances, there was no justification for the High Court to intervene at the interlocutory stage. The Court followed the principle that where the statutory settlement process is ongoing, the proper course is to permit the Commission to consider the objections and proceed in accordance with law.

Conclusion: The challenge was rejected, and the Revenue was left to urge its grounds before the Settlement Commission.

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