DIRECTOR OF INSPECTION OF INCOME TAX(INVESTIGATION) NEW DEL vs POORAN MAL & SONS & ANOTHER

The Supreme Court addressed the interpretation of Section 132(5) of the Income-Tax Act, 1961, concerning the attachment of property and the period within which the Income-Tax Officer must act. The Court held that the ninety-day period is for the benefit of the person whose property is seized and can be waived by consent, as demonstrated in the case where the respondents consented to a fresh inquiry. The Court ultimately ruled that the Income-Tax Officer's subsequent order was valid despite being issued beyond the initial ninety-day period, affirming the High Court's decision in favor of the respondents.