JUDGMENT

Thomas, J.-Whether a bona fide statutory tenant has the right to continue in possession even after an order of purchase was made under Section 269-UE(1) in Chapter XX-C of the Income Tax Act, 1961 (for short the Act ), is the question sought to be raised in this appeal. According to the appellant the answer to the said question must be in the affirmative.

2. A brief sketch of the racts .

The Appellant-a Private Limited Company - is tenant on the ground floor of a building situate on the Mount Road (now called Anna Salai), Madras. On 30.3.1989, owner of the building entered into an agreement with another person for sale of the building, for a sum of Rs. 26 lacs. The Appropriate Authority, constituted under Chapter XX-C of the Act, on coming to, know of the aforesaid agreement initiated proceedings, in exercise of its powers under the said Chapter for purchase of the building. He ordered the building to be purchased by the Central Government for the same consideration as shown in the agreement in accordance with Section 269-UA(C) of the Act. Appropriate Authority then issued a communication to the appellant informing it that the building stood vested in the Central Governmen