The Assessing Officer imposed a penalty under section 271(1)(c), and the Tribunal dismissed the assessee’s appeal. The assessee contended that it had filed an application seeking consolidation of appeals, but the application was neither disposed of nor was any fresh hearing date communicated, resulting in denial of opportunity to appear and argue against the penalty. In the circumstances, the assessee was to be given an additional opportunity to be heard and to satisfy the Tribunal that penalty was not leviable or that the quantum of penalty required reduction. The matter was accordingly remanded to the Tribunal for fresh consideration. Directed to deposit cost of Rs.150,000 in the name of Government KEM Hospital.