V.V. Rao vs Union of India

S.H. Kapadia, J.—By this petition, petitioner who claims to be a tax informer under the income tax Act, 1961 (''the Act'') seeks payment of reward in respect of information in relation to evasion of tax of about Rs. 22 crores. In the petition, it is the case of the petitioner that on the basis of assurance given by the respondents, viz., the respondent No. 3, petitioner gave information to the Commissioner with regard to tax evasion as far back as in 1984. The respondents gave an interim reward of Rs. 10,000 for information given by the petitioner under the certificate dated 16-11-1984. Petitioner now claims 20 per cent of the amount of Rs. 22 crores as and by way of reward for giving information to the department in respect of tax evasion by various persons whose names are given. It is contended on behalf of the petitioner that despite several representations, no reply has been given. It is contended on behalf of the petitioner that the fact that the petitioner is a tax informer is not denied. In the circumstances, it is contended that the petitioner is entitled to the benefit of reward of 20 per cent on Rs. 22 crores. We do not find any merit in the contentions advanced on behalf of the petitioner. The petition raises large number of disputed facts. Merely because the income tax Department did not give reply to the petitioner''s claim for reward does not mean that the petitioner automatically gets his right to receive the said amount. The claim of the petitioner cannot be decided in writ jurisdiction under article 226 of the Constitution and the remedy, if any, is to institute civil proceedings by way of suit. In the above circumstances, writ petition fails, rule is discharged with no order as to costs.