Settlement  Commission while passing the order u/s 245D(4) made certain addition and also waived the interest levied u/s 234A, 234B and 234C of the Act. On ratification filed by the revenue the Settlement Commission partly  allowed the  application. Being aggrieved by the order of Settlement Commission the assessee  filed  two writ petitions before the High Court.  High Court set aside the rectification order passed by the Settlement Commission . Revenue aggrievedby the order of Settlement Commission filed two petitions before the High Court . High Court reversed the waiver of interest in terms of Settlement Commission ‘s direction contained in its order dt 11-10-2002. On appeal  the Court held that , when Settlement Commission passed first order disposing of assessee’s application, issue with regard to powers of Commission was not settled by any decision of Apex Court. Decisions in CIT v. Anjum M.H. Ghaswala  (1997) 252 ITR 1 (SC) and Brij Lal  v.CIT ( 2010) 328 ITR 477 (SC), were rendered after Settlement Commission passed order in present case. Therefore, Commission had no occasion to examine issue in question in context of law laid down by this Court in those two decisions. High Court instead of going into merits of issue, should have set aside original order passed by Commission and remanded case to Commission for deciding issue relating to waiver of interest payable under S 234A , 234B, and 234C afresh. High Court failed to see that order of Commission was already set aside by High Court itself in first round in light of law laid down by in case of Brijlal wherein, it was laid down that Commission had no power to pass orders u/s 154. Order passed by Settlement Commission to extent it decided issue in relation to waiver of interest was set aside and case was remanded to Commission to decide issue afresh. Settlement Commission in exercise of its power under Sections 245D(4) and (6) does not have the power to reduce or waive interest statutorily payable under Sections 234A, 234B and 234C,except to the extent of granting relief under the circulars issued by the Board under Section 119 of the Act.Matter remanded  to settlement Commission.