Pankaj Samnotra vs Designated Authority

O.P. Sharma, J.—The facts of the case in brief are that the petitioner had filed declaration under Kar Vivad Samadhan Scheme, 1998

(KVSS) on 30-12-1998 before the designated authority under the KVSS. One of the conditions for the application of the KVSS was that an

appeal against the order, which falls for determination under the KVSS, should be pending. The declaration filed by the petitioner was rejected by

the designated authority on 8-3-1999 on the ground that no appeal was pending on the date declaration was filed. The petitioner again approached

designated authority for rectification of the order in view of the fact that the appeal filed by him had been restored by the Tribunal, Amritsar Bench,

by order dated 21-12-1998 and, therefore, the same was pending on the date declaration was filed. This plea was, however, rejected by the

authority by its order dated 25-3-1999, informing the petitioner that although the order of dismissal at the appeal has been recalled, but since the

time to take action under the KVSS had by that time expired, therefore, no action could be taken. The only question involved for determination is

that whether the designated authority was justified in rejecting the request of the petitioner for rectification on the plea advanced by it. The letter

dated 25-3-1999 (Annex-A) written by the designated authority reads as under :

Sub. : Declaration under KVSS, 98 - Asstt. Year 1990-91--Reg.

I am directed to refer to letter dated 23rd March, 1999 of your counsel and state that on the report of the Assessing Officer that appeal of the

department has been decided on 30-6-1998 and no other appeal was pending. The declaration was, therefore, rejected. It has now been

intimated by you that order of the ITAT has been recalled vide order dated 21-12-1998 but as the time to take action is already over, I am

directed to say that no action can be taken now at this stage.

This is for your information, please.

Admittedly, the KVSS was in force up to 31-12-1998 and the designated authority had to pass an appropriate order under the Scheme within

two months thereafter. As the petitioner had filed declaration within the prescribed period and his appeal was also pending at the relevant time, in

view of the order of the Tribunal dated 21-12-1998, therefore, the designated authority was under obligation to pass an appropriate order under

the KVSS. It is a matter of record that copy of the order of the Tribunal dated 21-12-1998 was forwarded to the Commissioner, Amritsar, who is

the designated authority under the Act. If he did not take notice of it, the petitioner cannot be denied the benefit of the KVSS.

Moreover, the maxim actus curiae neminem gravabit, i.e., an act of court shall prejudice no man or where a delay in an action is the act of the

court, neither party shall suffer for it, is applicable to the authorities discharging quasi-judicial functions as well. The moment designated authority

received communication from the Tribunal, it should have taken up the case and decided the same according to the KVSS because it cannot be

gainsaid that copy of the order must have been received within couple of days, as both the offices were located in the same building. The petitioner

cannot be made to suffer for the administrative lapse or lack of communication. In the circumstances, this petition is allowed. The letters dated 25-

3-1999 and 8-3-1999 are quashed and the designated authority is commanded to decide the declaration in accordance with the KVSS with

reasonable despatch.