RECTIFICATION OF ERROR.

[Sadanand Bulbule]

Dear experts

The adjudicating authority has passed an order under Section 73 by blatantly discarding the solid merits which has culminated in the fastening of huge tax, interest and penalty. Aggrieved by the impugned order, an application for rectification of error under Section 161 has been filed coupled with documented evidence and binding judicial rulings. The authority has issued an endorsement indicating the date for personal hearing. Shockingly it first says that, though there is no merit/reason to consider such application, personal hearing is given on the grounds of “principles of natural justice”.

Since the authority has mentally decided to reject (mplicitly rejected) such application, is there any scope for natural justice? Having delivered “injustice” before the personal hearing, then what is the significance of PH? What is the recourse for such biased and prejudiced behaviour by the quasi-judicial authority?

AI Summary

Natural justice compromised: predetermination of rectification applications undermines fair hearing and invites judicial challenge.
An order under Section 73 prompted a rectification application under Section 161; the authority set a personal hearing but indicated no merit to the application, suggesting predetermination and potential breach of natural justice and Section 75(6)'s requirement to state relevant facts and basis of decision. Such pre-judgment gives rise to a presumption of bias and may be challenged through available appellate remedies and by writ petition alleging violation of procedural fairness.