TaxTMI 
TaxTMI 
1997 (2) TMI 56
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....passed under section 132(1) of the Income-tax Act. They also prayed for a direction to return the gold ornaments and other articles seized under exhibit P-2 order. A search was conducted at the business premises of the petitioner on January 6, 1997. It was seen that the firm had been doing unaccounted gold business advancing amounts in respect of gold pledged. The advances so made comes to Rs. 39,56,630. In the absence of satisfactory explanation gold weighing 10,802.300 gms. approximately valued at Rs. 47,53,000 were seized under section 132(1) of the Act. The petitioner requested for the release of the seized articles on furnishing immovable property security along with the valuation report showing the value of the property at Rs. 24,4....
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....ers Association v. State of Tamil Nadu [1995] 98 STC 457, while dealing with pawners' right, held as follows : "While pledging an article with a licensed pawnbroker, the pawner not only parts with the possession of the pledged article in favour of the pawnbroker, but by virtue of such pledge parts with the rights he held to sell the pledged article in the case of default of payment and discharge of the loan or redemption of the article pledged within the time stipulated therefor. Such auction or sale by the pawnbroker does not depend upon any further consent or permission by the pawner." Therefore, the action of the Department in seizing the jewels which represented undisclosed investment cannot be held to be illegal. Chapter XIV-B....
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....ssment years 1992-93 to 1994-95 19,98,750 Interest income siphoned away during current financial year up to 7-1-1997 2,53,395 Unaccounted investment in gold loan business as on 7-1-1997 39,56,630 Cash balance on the unaccounted gold loan business 66,548 &....