TaxTMI 
TaxTMI 
2015 (2) TMI 536
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....nces of the case and in law, the Learned CIT(A)-3, Mumbai erred in deleting the addition of Rs. 14,67,118/- on account of disallowance u/s. 14A in respect of exempt income. The addition was consequential to CIT(A)'s direction contained in order dated 23.11.2009." 2. The learned DR vide letter 21.11.2014 has submitted as under: "The impugned case was fixed for hearing before Hon'ble Member of 'J' Bench on 19.11.2014. This case was heard on that date. The Hon'ble Members are requested to have the case de-heard/re-heard in view of the following circumstances: 1. In the assessment order u/s 143(3) ....
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....rtment has filed the appeal against CIT(A)'s order dated 30.12.2010 and it is learnt that the impugned order was not placed in the paper book before the Hon'ble Bench. The copy of the same is enclosed herewith. In view of the above facts and circumstances, it is most humbly prayed that appeal may kindly be de-heard/re-heard." (empahasis supplied by us) 3. A perusal of above stated bundle of facts relating to this case reveals that the issue relating to disallowance u/s 14A of the Income Tax Act has already been settled with the decision of this Tribunal vide order dated 8.12.2010. The Deptt. did not raise this issue in its appeal before the Hon'ble High Court. This issue thus has become final. When an issue is finally settled by th....
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....d not advance any argument on the point as to how the present appeal was maintainable or on what grounds the department was justified in not complying the orders of the Tribunal or what is the basis for the present appeal. It is also not a case of omission, inadvertence or negligence, but the department consciously after getting necessary approvals from higher/concerned officers, has come in appeal before us agitating the directions of the Ld. CIT(A) to comply the order of this Tribunal, without assigning any reasons as to why it should not be complied. The order of the lower judicial authority merges with that of the appellate authorities and the lower authority is bound to give effect to the order of the higher/appellate authority unless ....
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....ically held that the principles of judicial discipline require that the orders of the higher appellate authorities should be followed unreservedly by the subordinate authorities. 5. Faced with somewhat similar circumstances in the case of "ACIT vs. Veena Developers" ITA Nos. 5820, 5821 & 5822/Mum/2012 date of decision 13-08-2014, this Tribunal had summoned the concerned AO as well as the concerned CIT-Administration who accorded permission to file the appeal to explain their position as to why appropriate course of action be not taken against them including awarding of exemplary costs against them and also why a reference should not be sent to the Hon'ble High Court against them under the contempt of court's Act. The said officials vide ....