https://www.taxtmi.com/caselaws?id=27878 The court ruled in favor of the petitioner-company, emphasizing that the Income Tax Officer (ITO) must verify the accuracy of statements made in affidavits before commencing recovery proceedings for tax arrears. The court highlighted that unless the ITO establishes the statements as false, recovery actions cannot proceed under Section 226(3) of the Income Tax Act, 1961. The court discharged the rule but prohibited enforcement of recovery until the veracity of the statements was confirmed. Additionally, a Chamber Summons filed by former partners of the partnership firm was dismissed, and an inquiry was ordered to investigate the delay in addressing the petition since 1974. en-us Mon, 12 Sep 1983 00:00:00 +0530 Tue, 16 Feb 2010 15:50:33 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=27878 The court ruled in favor of the petitioner-company, emphasizing that the Income Tax Officer (ITO) must verify the accuracy of statements made in affidavits before commencing recovery proceedings for tax arrears. The court highlighted that unless the ITO establishes the statements as false, recovery actions cannot proceed under Section 226(3) of the Income Tax Act, 1961. The court discharged the rule but prohibited enforcement of recovery until the veracity of the statements was confirmed. Additionally, a Chamber Summons filed by former partners of the partnership firm was dismissed, and an inquiry was ordered to investigate the delay in addressing the petition since 1974. Case-Laws Income Tax Mon, 12 Sep 1983 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=27878