Dr. V.K. Jayakumar vs Income Tax Appellate Tribunal and Others

Antony Dominic, J.—Ext. P7 order of the 1st respondent is under challenge.

By this order, the stay petition filed by the petitioner, in which an order of stay was passed, has been vacated in the light of the provisions contained in Section 254(2A) of the Income Tax Act. For this purpose, the Tribunal has relied on the judgment of the Tribunal, Mumbai in the case of Narang Overseas (P) Ltd. However, it is now brought to my notice that the very order of the Bombay Bench of the Tribunal relied on by the 1st respondent has been reversed by the Mumbai High Court in the judgment reported in Narang Overseas (P) Ltd. Vs. Income Tax Appellate Tribunal and Others, .

In the light of the aforesaid judgment of the Bombay High Court, Ext. P7 order has lost its very basis and hence it deserves to be set aside and I do so. Tribunal shall reconsider Ext. P4 application filed by the petitioner for stay and pass appropriate orders thereon, as expeditiously as possible, at any rate within four weeks of receipt of a copy of this judgment. In the meantime, further proceedings pursuant to Ext. P8 will stand deferred.

Writ petition is disposed of as above.