TaxTMI 
TaxTMI 
TaxTMI 
1990 (6) TMI 227
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....4-1990 at 11.00 a.m. 2. We were moved on 2-5-1990 and we passed an interim order on LA. 1/90 filed in this matter. We directed that the sum of Rs. 3,15,000/- which were seized in cash on 24-4-1990 from one Kallu alias Awadh Bihari s/o Tulsiram Agarwal, resident of Gandigar-Ka-Tapra, Jhansi and ordered to be paid to him by respondent No. 2 Shri A.K. Samadhiya, Judicial Magistrate, First Class, Gwalior, to be deposited by S.H.O. Jangakganj, Police Station, Gwalior, (who was holding the money) with Additional Registrar, High Court of M. P. Bench Gwalior. We directed that the money so deposited in this Court shall not be disbursed in any manner without this Court's prior permission. 3. Although the said Kallu alias Awadh Bihari was not im....
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....ate on requisition being made by him in that regard, the proceeding which the learned Magistrate continued after receipt of the case diary, by passing orders on 26-4-1990 and 30-4-1990, are wholly without jurisdiction and those orders are liable to be quashed. In support of this submission counsel has relied on the provisions of Section 132-A(1)(c) and Sub-section (3) thereof, besides relying on Section 132(4-A) of the said Act. In short, counsel's submission is that the Police Officer, namely, S.H.O. Police Station, Janakganj was "Officer/authority", who had taken in to his "custody" the money and in that regard he was acting under "authority" of "law". Thus, the department had the jurisdiction to act under Section 132-A for transfer o....
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....oxed copy of the said warrant of authorisation in the prescribed form No. 45-C bearing the date 25-4-1990. 5. We are surprised to note that although in his order dated 26-4-1990 learned Magistrate noted the objection of the A.P.P. in regard to "Income-tax Clearance" of respondent No. 3 and although the case diary was before him, no care was taken by the learned Magistrate to apprise himself of the legal position in regard to the custody of the money seized by the police from respondent No. 3 and his compee (order sheet form) under the law to deal therewith. We find that in the case diary there is a copy of the letter which was addressed on 26-4-1990 by S.H.O. Janakganj Police Station, Gwalior to Shri R.K. Khatuja, Income Tax Officer, Gwali....
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.... passing any order in regard to custody of the money. We are surprised to note that for reasons not disclosed in the order it was regarded sufficient to ignore and overlook all the documents, which were there in the case diary as earlier referred. Indeed, in case the learned Magistrate was careful and was conscious of his judicial duty of dealing with the matter in accordance with law, he was bound not to ignore and overlook the documents which were on record, in the case diary and also before him in the proceedings. We reiterate that it was incumbent on him in the facts and circumstances of the case not to pass any order in the matter without first hearing the department as department evidently a necessary party to lay its claim for custod....
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....ed as aforesaid. Be it noted in this connection that the police had not registered any crime against respondent No. 3 and the Income Tax Department on being apprised of the seizure had laid claim to that money and to custody thereof in accordance with provisions afore-quoted. Neither S.H.O. Janakganj police. Station, nor learned Magistrate, had any jurisdiction to enquire into the validity of the warrant of authorisation for delivery of that money, to the Income Tax Officer concerned namely, Shri Khatuja, nor of the competence of the Officer issuing that warrant of Authorisation. Indeed, we are further of the view that this court also, in this matter, is not at all concerned with the validity of the warrant of authorisation. We are simply c....