JUDGMENT

VIBHU BAKHRU, J Introduction

1. The Principal Director General of Income Tax (Admn. & TPS) [hereafter ‘DGIT’] has filed the present petition impugning an order dated 01.07.2016 (hereafter ‘impugned order’) passed by the Board for Industrial and Financial Reconstruction (hereafter ‘BIFR’) in Case No.53/1995 relating to respondent no.1 – M/s The Indian Plywood Mfg. Co. Pvt. Ltd. (hereafter ‘the Company’).

2. In terms of the impugned order, the BIFR had directed the Income Tax Authorities to comply with its earlier order dated

26.02.2013 within a period of 45 days.

3. The aforesaid order dated 26.02.2013 passed by the BIFR modified the Rehabilitation Scheme (hereafter ‘the Scheme’), which was approved by the BIFR under Section 18(5) of the Sick Industrial Companies (Special Provisions) Act, 1985 (hereafter ‘SICA’) by an order dated 13.02.2001. The Scheme was amended to the limited extent of including additional exemptions from payment of income tax under the Income Tax Act, 1961 (hereafter ‘IT Act’).

The controversy

4. The DGIT assails the impugned order, essentially, on two fronts. First, that further concessions, as contemplated in the order dated 26.02.2013, could not be granted