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The theft astatine the slope occurred whilst the income taxation proceedings concerning the jewellery seizure were inactive ongoing. (AI image)
The Income Tax Department seizes assets and they are stolen from the slope locker they are stored successful - the concern is real, and the payer whose seized jewellery was stolen, won a compensation lawsuit successful Allahabad High Court.According to an ET report, during an income taxation raid astatine a Mr Jain's premises, officials discovered and confiscated golden jewellery valued astatine much than Rs 90 lakh, arsenic helium failed to supply documentation for its possession. However, successful an antithetic crook of events, the confiscated jewellery, which was stored successful a nationalised bank's unafraid facility, disappeared.The theft astatine the slope occurred whilst the income taxation proceedings concerning the jewellery seizure were inactive ongoing.
Consequently, Jain approached the Allahabad High Court to record a suit against Union Bank of India, the Income Tax Department and the bank's subdivision manager, seeking compensation for his important loss, the ET study said.
Seized jewellery stolen: How payer won the case
In his ineligible petition, Jain demanded compensation of Rs 94 lakh (94,64,844) on with 9% involvement per annum from July 30, 2025 until the colony of payment.In its verdict (WRIT TAX No. - 4160 of 2025) dated September 25, 2025, the Allahabad High Court made the pursuing observations:
- The tribunal noted evident delays successful the process by Income Tax Authorities.
- The petitioner (Jain) should person received the funds successful 2023 aft agreeing to the colony magnitude of Rs 41 lakh (41,52,146).
- The petitioner (Jain) has not received immoderate compensation for the seized jewellery that the responsive Bank lost.
- The tribunal stated that the petitioner (Jain) is entitled to compensation, careless of whether it comes from the responsive Bank oregon Income Tax Authorities. Since the Income Tax Authorities initially seized the jewellery, they carnivore work for its nonaccomplishment and indispensable supply the compensation.
The High Court of Allahabad issued instructions requiring Income Tax Authorities to analyse the valuation submitted by the petitioner (Jain) connected July 30, 2025.
Following verification of the valuation, authorities indispensable process the outgo wrong 4 weeks from the specified date.The judgement read: "We marque it wide that the petitioner (Jain) should beryllium paid the magnitude wrong the aforesaid period, different the Income Tax Authorities shall beryllium liable to wage penal involvement of 12% connected the valuation of the Jewellery starting from the day of seizure of the said jewellery. The Income Tax Authorities are astatine liberty to betterment the magnitude from the responsive Bank successful accordance with law. With the aforesaid directions, the writ petition is disposed of.
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