Assessee, a jeweller, handedover Rs. 36.12 lakhs to his worker (Om) requiring him to undertake rail journey to Kolkata to buy jewellery.  On 31-8-2022, said worker was apprehended by Government Reserved Police (GRP) at Railway Station and in course of search by police authorities, Rs.36.12 lakhs was recovered from his bag.  Later, that information was passed on to Income Tax Authority who subjected cash recovered from Om to proceeding under section 132 (1A).  On 15-9-2022, assessee made an application to Assessing Officer in terms of section 132B(1)(i) read with proviso to section 132B(1)(i) to release amount seized. On writ the Court held that  provision under section 132B(1)(i) being directory, jurisdiction of Assessing Authority to deal with assessee’s application dated 15-9-2022 did not lapse or abate upon expiry of period of 120 days. Therefore, Assessing Officer was to be directed to decide application of assessee and if nature and source of cash seized was duly explained, such refundable amount would attract liability of interest under section 132B(4) read with Matter remanded.