TaxTMI 
TaxTMI 
1971 (2) TMI 88
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....mises at No.11/2, Narayana Mudali Street, Madras-1, is said to have been residing at No. 7, Kalappa Achari Street, Madras (Park Town) till 30th June, 1964. Thereafter, he left Madras and he had no residence of his own excepting his business premises. On the 2nd July, 1965, the special police establishment searched both the business premises and the residential premises at No. 7, Kalappa Achari Street, Madras, apparently under the impression that the petitioner continued in the said premises even after 30th June, 1964. It is common ground that on the date of search the petitioner was not in the premises but one Mr. Valchand. The police recovered certain materials from both the premises searched by them and this information was apparently mad....
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....ection of the incriminating material in the office of the Commissioner of Police. From the records it is seen that the commercial taxes department took steps to see that the records seized by them and on which their proposal to assess was based were made available to the assessee during working hours. The petitioner was called upon to go over to the office of the respondent on 23rd February, 1966. The petitioner sought an adjournment on that day through his Advocate and he requested not only for a postponement of the date of inspection but also to arrange for such inspection of the documents on any date in the month of March, 1966. To this counsel's reply dated 25th February, 1966, no answer was given and the impugned order of assessment wa....
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....partment like the police department with which absolute co-ordination is essential for proper administration of the State and for the due safeguarding of the State revenues. But that does not mean that the revenue, and in this case the commercial taxes department, can take it for granted that the material seized by the police department from a premises, which according to the petitioner was not his residential premises, can be the basis for a best judgment assessment without taking any effort to connect the material so seized with the petitioner and his business. It is not even stated that the revenue has taken all steps to verify such material by taking statements from the parties concerned, and that the assessee who is the aggrieved perso....
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....asis of the assessment and without even having the opportunity to cross-examine those persons who were prepared to speak against him. In the instant case, the commercial taxes department and the police department exchanged their records, and the revenue is said to have enquired some persons behind the back of the assessee and ultimately all such materials which were screened from the petitioner formed the basis of the so-called "final assessment". In these circumstances, I am of the view that there has been a violation of the principles of natural justice. The procedure adopted by the revenue not only offends the principle of audi alteram partem but also if accepted would give the go-by to the well-known rule that a person to be charged wit....