M.Venkateshwarulu vs. The Principal Director of Income Tax (Investigation)

WP/12149/2026HC TelanganaHBHC01025459202621 April 2026Bench: P.SAM KOSHY,NARSING RAO NANDIKONDA6 pages

AI SummaryPartly Allowed

What did the High Court hold?

The High Court, considering the limited relief sought by the petitioner, which was a direction to the Income Tax authorities to decide on the representations made, disposed of the writ petition. The Court explicitly stated that it was not expressing any opinion on the merits of the contents of the representations. The operative direction was to respondent Nos. 1 to 3 to take an appropriate decision on the aforesaid representations in accordance with law. No order as to costs was made. Any pending miscellaneous applications were also closed. The Court's decision was based on the procedural aspect of compelling the authorities to consider the representations, rather than adjudicating the underlying dispute.

What were the facts?

The petitioner, M. Venkateshwarulu, filed a writ petition before the High Court for the State of Telangana at Hyderabad. The petition was directed against the Principal Director of Income Tax (Investigation), the Director General of Income Tax (Investigation), and the Principal Chief Commissioner of Income Tax (respondents 1 to 3). The petitioner also impleaded several other individuals as respondents (4 to 15). The core of the petition was a prayer for a writ of mandamus directing respondents 1 to 3 to consider representations made by the petitioner on May 31, 2023, and October 10, 2025. These representations concerned a dispute over a property measuring 4 Acres 21.15 Guntas in Sy.No.219/212, Nemargomula village, Bibinagar Mandal. The petitioner alleged that the unofficial respondents were dealing with this property, which is also subject to a civil court dispute, and that they were engaged in illegal actions. The petitioner sought a detailed inquiry into these transactions.

What were the issues?

1. Whether the inaction of the Income Tax authorities (Respondents 1 to 3) in considering the petitioner's representations dated 31.05.2023 and 10.10.2025, concerning alleged illegal transactions involving a disputed property, is illegal, arbitrary, and violative of constitutional and statutory provisions? (Question of law and fact, concerning Articles 14, 19, 21, and 300A of the Constitution of India, and provisions of the Income Tax Act, 1961, Prevention of Money Laundering Act, 2002, and Prohibition of Benami Property Transactions Act, 1988). Assessee's Contention: The petitioner argued that the inaction of the Income Tax authorities in considering his representations regarding alleged illegal dealings with his property was illegal, arbitrary, and violative of fundamental rights and statutory provisions. He sought a direction for a detailed inquiry. Revenue's Contention: The revenue, represented by the Senior Standing Counsel for Income Tax, did not explicitly present arguments on the merits of the petitioner's claims. The focus was on the limited relief sought by the petitioner.

Which sections of the Income-tax Act were involved?

Income Tax Act, 1961, Prevention of Money Laundering Act, 2002, Prohibition of Benami Property Transactions Act, 1988

AI-generated summary — verify with the full judgment below

IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Jurisdiction) TUESDAY, THE TWENTY FIRST DAY OF APRIL TWO THOUSAND AND TWENry SIX PRESENT THE HONOURABLE SRI JUSTICE P.SAM KOSHY AND THE HONOURABLE SRI JUSTICE NARSING RAO NANDIKONDA WRIT PETITION NO: 121 49 0F 2026 134/7 | ...PETITIONER Between: AND M. Venkateshwarulu, S/o Late M. Agaiah, Aged about. 66 years, Occ. Retired Employee, Ri/o. H.No.2-4-'l 18/75, Street No.7, South Swaroop Nagar, Uppal, Medchal Malkajgiri District. '1 . The Principal Director of lncome Tax (lnvestigation), gth Floor, Aayakar Bhavan, Basheerbagh, Hyderabad, Telangana-500 004. 2. The Director General of lncome Tax (lnvestigation), 8th Floor, Aayakar Bhavan, Basheerbagh, Hyderabad, Telangana-500 004. 3. The Principal Chief Commissioner of lncome Tax, 1Oth Floor, C Block, lncome Tax Towers, A.C.Guards, Hyderabad, Telangana-500 004. 4. K.Sanjeeva Reddy, S/o Late Dharma Reddy, Aged about. 77 years, Occ. Agriculture, R:/o. H.No.1-7-71151, Street No.8, Maheshwari Nagar, Habsiguda, Uppal Medchal Malkajgiri District-sO0 007. 5. Mettu Mohan Reddy, S/oBal Reddy, Aged about. 45 years, Occ. Agriculture, Rl/o. H.No.1-63/'1, Nemargomula Village, Bibinagar Nagal Mandal, yadadri Bhuvanagiri District. 6. B Narayana Reddy, S/o B Rajeev Reddy Aged about. 54 years, Occ. Agriculture, Rl/o. H. No. 1 -9-9 5412, Adikmet, Hyderabad, Tetangan a-500 044. 7. Madda Vijaya Reddy, S/o Madda Krishna Reddy, Aged about. 72 years, Occ. Agriculture, R/o. H.No.9-83/1 , Ranjole, Zaheerabad, Sangareddy, Telangana-502 318.

Nakkala Sravini, Dio K.Sanje.eva Reddy, W/o Nakkala Sridhar Reddy Aged about. 41 Years, occ. Housewife, Ri/o. H.'trro.'r -7-71i51, street No.g, Maheshriari Nagar, Habsiguda, Ltppal Medchat Matkajgiri District_SO0 007. 9 Nakkala Sridhar Rerldy, Aged about. 41 years, Occ. Housewife, R/o. H.No.l-7- 71151, Street No.8, Maheshwari Nagar, Habsiguda, Uppat Meichal frrf altalgiri District-500 007. l0.Dhiravath Sreenu, S/o Late -Dhiravath Biehya, Aged about. 42 years, Occ. Agriculture, R/o. H.No.3-g6, chinna Thanda, -Nema'ragomura Virage, Bibinagar Mandal, Yadadri Bhuvanagiri District, Tetangana_ S08 126. 11. Dhiravath fVlanu. S/rr Late Dhiravath Bichya, Aged about. 40 years, occ. Agriculture, R/o. H.Nc.3-g6, Chinna Thanda, Nemlragomula Village, Bibin;g;r Mandal, Yadadri Bhuvanqgiri District, Telangana_ 50g 126. 12' Dhiravath chander, .S/o Late^ Dhiraveth Bichya, Aged about. 3g years, occ. Agriculture, RJo. H.No.3-87, Chinna Thanda, Nemaiagomula Village, Bibinag;r Mandal, Yadadri Bhuvanagiri District, Telangana_ 50g 126. 13. M.Vishnuvardhan Reddy, S/o Maddi Vijay Reddy, Aged about. 30 years, Occ. Business, R/o. H.No.9-83/1, Ranjole, Ziheerabad, Sangareddy, Telangana_ 50) 316. 14. Dheeravath Laxman, S/o Late Dheeravath Tavuru, Aged about. 45 years, Occ. Agricutture, R/o. Midhi .TlT9", Nemaragomuta' VIttage, AiOinagai-Ma;dJ, Yadadri Bhuvanagiri Drstrict, Telangana_ SOA' t 26. l5 Dheeravath Kamaramma, wo Late Dheeravath chandu, Aged about.43 years, Occ. Agricutture R/o. Midhi Thanda, Nemaragomuta Vifiag"e, aiUinaj* M;;;"1; Yadadri Bhuvanagiri District, Telangana_ S0g 1"26. ...RESPONDENTS Petition under Articre 1226 0f the constitution of rndia praying that in the circumstances stated in the affidavit fired therewith, the High corrt'r"y oL ji"r."i toto issue a wnt, order or direction, m_ore particurairy one in the nature of a writ of Mandamus, decraring the inaction of the Respondlni ruo.. r to s in consialring'the representations/compraints of the petitioner dated 31 .os.2023 "no r o. rt-ioii, u" illegal, arbitrary, high-handed, viorative of principres of naturar justice, Articres 14, 19,21 and 300 A of the constitution of lndia, i gso 'ano the provisions of rncome Tax Act, 1961 , the Prevention of M9l9y Laundering Act, 2OO2 and the prohibition of Benami Property Transactions Act, r 9g8 and conseluentty toJir""t the Respondent Nos.1 to 3 j: "_"ig!:l a detaited^en_quiry inro the transactioni deatt by the Respondenl r.ro.+ io rs rn respect of the petitioners property ad measuring - Ac.q-2l.is gt -.iir.i"J in Sy.No.21 9/21 2, Nemargom ula viltage, Bibinaga fr,f rnaui. I.A. No:1OF 2026 petition under secrion r 51 cpc praying that in the circumstances stated in the affidavit fited in support of the petition,ih;Fi[;';;l;,may be prss5gd to forthwith to

direct Respondent Nos.1 to 3 to consider the representations of the Petitioner dated 31.05.2023 and 1O.10.2025, pending disposal of the present Writ Petition. Counsel for the Petitioners: SRI K. CHAITHANYA Counsel forthe Respondent No.l to 3: SRI N. PRAVEEN REDDY, SR. SC FOR INCOME TAX Counsel for the Respondent No.4 to 15: -'-' The Court made the following: ORDER

IN THE, HI(;H (]oT]R T I.'OR -I'HE STATE OF TELANGANA I\T HYDERAI]AD TIIE II(}NOIiItABI,F] SIII JUSTICE P.SAM KOSHY AND TTIF- H0N0I]I{,\I}I-E SRI .ITIS'IICD NARSING RAO NANDIKONDA W.P.No. 12119 of 2026 Dale:21 .04.2026 Rc t\vecn : Mr.M.Vcnkalcrlt t', lt itr Petitioncr And l he Principrrl l)ircetirt ol ltrt:trtlle lttr (ln t't'stigation ) I Ir.derahatl art<l olitcrs ...ltespondents OIIDIIR, tpt't !{r,tt l' , .\r i .lu.srit'c P Sam Kosb) Ilearri M r. K .('haithanya, learned counsel frlr the petitioner and Mr.N.l)rar e cn i'Lccld5.', learncd Scrlior Statrding Counsel for the lncornc firx I)cgrrrirrcrrt. tbr the respottdent and perused the record. 2. l'he lirrritctl iriir\ cr' lhat the petitioner has souglrt fbl in the llresent ulit petition i: lir| rt dircclirlrl to respondent Nos. I to 3 to considcr thc ic-1.,rc:;ctttatiorr that lte has rnadc tln 3 L05.2023 and 10.10.102-5 in rr::1,ett oi chunk o1- land, rvhich is in disputc before tht-' civil ('ourl., rlher'<: it rs alleged that unofficial respondents are clcaling with the sa;ri propelty arc charged for illegai actions.

--II\ :.lii.-e.1i 2 3. Be that as it may, considering the lirnited rclief that the petitioner has sought tbr a decision on the re presentations, without expressing any opinion on rnerits ot' the contents of the representations, the Writ Pc-tition as ol' trow stands disposed of directing respondent Nos. I to 3 to take appropliate decision on the aforesaid representations, in accordauce u'ith law. No order as to costs Miscellancous applications pending. if any, shall stand closed. To, //TRUE COPY// SD/. A. SREENIVASA REDDY ASSISTANT REGISTRAR CTION OFFICER 8 F oor, Aayakar Bhavan, 1 The Principal Director of lncome Tax (lnvestigati Basheerbagh, Hyderabad, Telangana-500 004 . The Director General of lncome Tax (lnvestigation), Floor, Aayakar Bhavan, 2 3 4 5 6 Basheerbagh, Hyderabad, Telangana-500 004' i[" pri*lirf Chief Commission-er of lncome Tax, 1Oth Floor' C Block' lncome Tax Towers, A.C.Guards, Hyderabad, Telangana-500 004' One CC to SRI K. CHAITHANYA, Advocate [OPUC] One CC to SRI N. PRAVEEN REDDY, SR' SC FOR INCOME TAX IOPUC] Two CD Copies BN

HIGH COURT DATED: 2110412026 ORDER WP.No.12149 of 2026 DISPOSING OF THE WRIT PETITION WITHOUT COSTS L4 .ss Aa-- * st {.\ \\ I H o E a , *o .LJT AL' .ev R L I

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