1995 (11) TMI 35

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....red by D. K. SETH J.--Mr. Upadhyaya, appearing on behalf of the petitioner, contends that in order to exercise the power under section 132A(1)(b) of the Income-tax Act, 1961, both the tests, as provided in clause (b), are to be satisfied, namely, that the documents must be useful for, or relevant to, any proceeding which, according to him, means a pending proceeding only and that the person to ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....Mr. Upadhyaya submits that section 132A does not provide that the said power can be exercised even in a case in which the proceeding is yet to be commenced as is specifically provided in section 132A(1)(b) on account of Explanation 2, provided in section 132, explaining that the word "proceeding" includes also all proceedings under the said Act which may be commenced after such date in respect of ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....isition under section 132A(1)(b) would be a nullity and void. In reply, Mr. Bharatji Agarwal submitted that while adopting sub section (4A) to sub-section (14) by reference under section 132A(3), Explanation 2 is also adopted, inasmuch as Explanation 2 explaining proceedings in section 132 refers to the whole section and not to a particular sub-section. The word "proceeding" is present in the p....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... produced. We have examined the said file and the order. From the perusal of the said file and the order it is apparent that nothing has been recorded in respect of any apprehension or belief that in case any summons is issued or might be issued, the documents may not be produced. The order does not speak about satis faction or formation of opinion in respect of the condition that the docu ment wi....