The court has the discretion to set aside show cause notices but allows the authority to issue fresh notices if convinced of grounds, and directs the petitioner to file objections for consideration.

1. Heard the learned counsel appearing for the petitioner and the learned counsel appearing for the respondents.

2. At this stage of the hearing of the writ petition, the learned counsel appearing for the petitioner had placed before this Court, an order, dated 05.09.2007, made in W.P.Nos.29108 and 29109 of 2007, wherein this Court had set aside the show cause notice, dated 19.07.2007 and the impugned order passed pursuant to the said notice, and had directed the first respondent therein to cause an enquiry, with regard to the liability of the petitioners therein under Section 179 of the Income Tax Act, 1961, and to pass appropriate orders thereon, on merits and in accordance with law. The learned counsel appearing on behalf of the petitioner had submitted that a similar order may be passed in the present Writ Petition.

3. In view of the above, the impugned show cause notice, dated 21.08.2012, is set aside. However, it is made clear that it would be open to the fourth respondent to issue a fresh notice to the petitioner, if the said authority is convinced that there are grounds to issue such a notice, under Section 179 of the Income Tax Act, 1961. On such notice being issued by the fourth respondent, the petitioner shall file his objections,if any, within the period specified therein. Thereafter, it is for the fourth respondent to consider the objections filed by the petitioner and to pass appropriate orders thereon, on merits and in accordance with law, after giving an opportunity of personal hearing to the petitioner.

The writ petition is disposed of accordingly. No costs. Consequently, connected Miscellaneous Petition is closed.