Dada Dhuniwale Khandwa Power Ltd., ... vs Commissioner Of Income Tax (Appeals) ...
- CitationCompany Appeal (AT) (Insolvency) No. 821 of 2019
Ratio decidendi
The rule this decision rests on
The Adjudicating Authority under the Insolvency and Bankruptcy Code, 2016 has no power under Section 60(5) to direct an authority under the Income Tax Act, 1961 to decide an appeal pending before it, where that direction is unconnected with the liquidation proceeding; an application seeking such a direction is therefore not maintainable before the Adjudicating Authority, and the liquidator must pursue the relief before the appellate forum itself or the next higher competent authority under the Income Tax Act.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
Dada Dhuniwale Khandwa Power Limited, Liquidator, .... Appellant
Vs
Commissioner of Income Tax (Appeals) -1. .... Respondent
Present:
For Appellant: Mr. Surinder Kumar, C.A. and Ms. Madhu Juneja, C.A. & AR of Appellant.
ORDER
14.08.2019 The 'Liquidator' has preferred this Appeal against the
order dated 5th July, 2019 passed by the Adjudicating Authority (National
Company Law Tribunal), Ahmedabad Bench, Ahmedabad, which reads as
follows: -
"The Applicant is represented through their respective Learned PCA.
The Misc. application is filed by the Liquidator of Dada Dhuniwale Khandwa Power Ltd, under Section 60(5) of the Insolvency and Bankruptcy Code, seeking direction on Commission of Income Tax to immediately disposed of the appeal cases pending before the corporate person and/or pass any such order as may deem fit. Gone through the records and pleadings, it is found that, this is not an Appropriate forum to file the instant application, seeking for directions upon the Income Tax (Appeal) for disposal of the appeal pending therein,
Company Appeal (AT) (Insolvency) No. 821 of 2019 Page 1 of 2 which is also a judicial forum as such the same is not maintainable before this Adjudicating Authority. The liquidator is expected to file the such application either before the same forum or next higher competent authority of Income Tax (Appeal) for any relief as the case may be.
Under such circumstances, we are constrained to pass any order, in the Misc. application as the present application is not maintainable.
Accordingly, MA 18 of 2019 is dismissed being not maintainable."
2. Mr. Surinder Kumar, the 'Liquidator' tried to submit that the
Adjudicating Authority had jurisdiction to direct the Commissioner of Income
Tax to decide the Appeal. However, we are of the view that no such power is
vested with the Adjudicating Authority to give any direction to any of the
Authority under the Income Tax Act, unconnected proceeding under
Liquidation. We find no illegality in the impugned order. The Appeal is
accordingly dismissed. No cost.
[Justice S. J. Mukhopadhaya] Chairperson
[Justice A.I.S. Cheema] Member (Judicial)
[Kanthi Narahari] Member (Technical) Ash/GC
Company Appeal (AT) (Insolvency) No. 821 of 2019 Page 2 of 2
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