The Allahabad High Court has dismissed a writ petition filed by New Adil Educational Society, Hardoi, while strongly condemning the conduct of the petitioner’s counsel for making misleading submissions before the Court.
The bench of Justice Shekhar B. Saraf and Justice Abdhesh Kumar Chaudhary observed that the coordinate Bench had only restricted proceedings relating to Section 56 of the Income Tax Act. It had expressly permitted the Income Tax Department to continue proceedings on other issues not connected to Section 56. The reassessment in the present case, being based on alleged unexplained investments under Section 69, was therefore well within the scope permitted by the earlier order.
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The case arose from a reassessment order dated March 20, 2026, passed under Section 147 read with Section 144B of the Income Tax Act, 1961. The petitioner contended that the reassessment proceedings were in violation of an earlier order dated November 29, 2024, passed by a coordinate Bench of the Court.
However, the court found this submission to be factually incorrect and misleading.
The Court observed that the petitioner’s counsel repeatedly argued that the earlier order had granted blanket protection against any reassessment proceedings, which was contrary to the record. The Bench held that such submissions were not only false but were made with the intent to mislead the Court.
Strongly disapproving of this conduct, the Court remarked that the practice of making false submissions to “hoodwink the Court” must be deprecated. It further noted that the petitioner had attempted to obtain relief by suppressing material facts and misrepresenting the contents of the earlier order.
While the Court observed that such conduct warranted imposition of costs, it refrained from doing so in view of the unconditional apology tendered by the counsel. Instead, the Court issued a stern warning and dismissed the writ petition.
Case Details
Case Title: New Adil Educational Society Hardoi Versus UOI
Case No.: Writ Tax No. – 521 Of 2026
Date: 07/04/2026
Counsel For Petitioner: Ajay Pratap Singh
Counsel For Respondent: A.S.G.I., Kushagra Dikshit
