1 (1) Where, during the pendency of any proceeding before it, the Settlement Commission is of the opinion that for the purpose of protecting the interests of the revenue it is necessary so to do, it may, by order, attach provisionally any property belonging to the applicant in the manner provided in the Second Schedule:
Provided that where a provisional attachment made under section 281B is pending
immediately before an application is made under section 245C, an order under
this sub-section shall continue such provisional attachment up to the period up
to which an order made under section 281B would have continued if such
application had not been made:
Provided further that where the Settlement Commission passes an order under this
sub-section after the expiry of the period referred to in the preceding proviso,
the provisions of sub-section (2) shall apply to such order as if the said order
had originally been passed by the Settlement Commission.
(2) Every provisional attachment made by the Settlement Commission under sub-section (1) shall cease to have effect after the expiry of a period of six months from the date of the order made under sub-section (1):
Provided that the Settlement Commission may, for reasons to be recorded in writing, extend the aforesaid period by such further period or periods as it thinks fit 2 ***.
--------------------
1. Ins. by Act 26 of 1988, s. 42 (w.e.f. 1-4-1988).
2. The words ", so, however, that the total period of extension shall not in any
case exceed two years" omitted by Act 22 of 2007, s. 65 (w.e.f. 1-6-2008).
Section 245B Income-tax Settlement Commission
Section 245BA Jurisdiction and powers of Settlement Commission
Section 245BC Power of Chairman to transfer cases from one Bench to another
Section 245BD Decision to be by majority
Section 245C Application for settlement of cases
Section 245D Procedure on receipt of an application under section 245C
Section 245DD Power of Settlement Commission to order provisional attachment to protect revenue
Section 245E Power of Settlement Commission to reopen completed proceedings