High Court of KeralaWP(C)/2262/2015disposed of

M/S. Voltas Limited v. The Commercial Tax Inspector

2015-01-22Honourable Dr. Justice A.K.Jayasankaran Nambiar5 pages

IN THE HIGH COURT OF KERALA AT ERNAKULAM

PRESENT:

THE HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR THURSDAY, THE 22ND DAY OF JANUARY 2015/2ND MAGHA, 1936 WP(C).No. 2262 of 2015 (G) --------------------------- PETITIONER(S):

--------------- M/S. VOLTAS LIMITED 39/368, SHEMA BUILDING, M.G.ROAD ERNAKULAM, REPRESENTED BY ITS HEAD - SHARED SERVICE CENTRE TREESA BETTY FIGARUS BY ADV. SMT.S.K.DEVI RESPONDENT(S):

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1. THE COMMERCIAL TAX INSPECTOR COMMERCIAL TAX CHECK POST, WALAYAR - 678 625.

2. THE COMMERCIAL TAX OFFICER (ENQUIRY) O/O.THE DEPUTY COMMISSIONER DEPT. OF COMMERCIALTAXES MATTANCHERRY - 682 002.

3. THE MANAGER BANK OF INDIA, SHANMUGHAM ROAD, ERNAKULAM -682 031.

4. THE ASST.COMMISSIONER (ASSMT) DEPT OF COMMERCIAL TAXES, SPL.CIRCLE I ERNAKULAM 682 015.

BY SRI.DEVAN RAMACHANDRAN BY GOVERNMENT PLEADER SMT.SOBHA ANNAMMA EAPPEN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 22-01-2015, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

WP(C).No. 2262 of 2015 (G) --------------------------- APPENDIX PETITIONER(S)' EXHIBITS ------------------------- EXT.P-1: TRUE COPY OF THE CERTIFICATE NO.TIN 32070266965 C ISSUED UNDER THE ACT.

EXT.P-2: TRUE COPY OF THE ORDER NO.OR. 1811/01/09 - 10 DATED 21.8.2014 EXT.P-3: TRUE COPY OF THE EXTENDED BANK GUARANTEE FOR AN AMOUNT OF RS.305590/- DATED 25.4.2014 RESPONDENT(S)' EXHIBITS:NIL ----------------------- //TRUE COPY P.A TOP JUDGE

A.K.JAYASANKARAN NAMBIAR, J.

........................................................ ......................................................... Dated this the 22nd day of January, 2015

J U D G M E N T

The petitioner who has been served with Ext.P2 order is aggrieved by the steps taken by the respondents to encash a bank guarantee, that was furnished by the petitioner as security deposit pursuant to detention of goods, and which deposit was ordered to be converted into penalty in Ext.P2 order. It is the case of the petitioner that, against Ext.P2 order that was received by the petitioner on 20.01.2015, the petitioner has a remedy by way of appeal which can be availed within a statutory period of 30 days from the date of receipt of Ext.P2 order. The petitioner contends that the steps, if any, taken by the respondents to encash the bank guarantee, even before the expiry of the period granted under the statute to prefer the appeal, would be illegal, and hence, this writ petition to restrain the respondents from encashing the bank guarantee.

2. I have heard Smt.S.K.Devi, the learned senior counsel for the petitioner and Smt.Sobha Annamma Eappen, the learned Government Pleader for respondents.

3. On a consideration of the facts and circumstances of the

case as also the submissions made across the bar, I dispose the writ petition granting the petitioner one months time to file the appeal, together with the stay petition, before the appellate authority under the Kerala Value Added Tax Act. It is made clear that the respondents shall not encash the bank guarantee, furnished to them by the petitioner, till then. The petitioner is also directed to keep the bank guarantee alive during the pendency of the proceedings before the appellate authority. A.K.JAYASANKARAN NAMBIAR JUDGE mns/