WHIRPOOL OF INDIA LTD Vs. STATE OF KERALA

JUDGEMENT

(1.) AGGRIEVED by Ext.P5 order imposing penalty under Section 47 (6) of the Kerala Value Added Tax Act, 2003 (KVAT Act), the petitioner had preferred appeal before the 4th respondent as evidenced from Ext.P6. Along with the appeal, the petitioner had filed Ext.P7 interlocutory application seeking stay of realisation of the amount of penalty, pending disposal of the appeal. It is stated that 50% of the amount was furnished as Bank Guarantee at the time of release of the detained transport and the petitioner is seeking stay only with respect to the balance 50%. Through Ext.P8 order issued by the 4th respondent the application for interim stay was dismissed. This Writ Petition is filed challenging by Ext.P8 order.

(2.) ACCORDING to the petitioner, dismissal of the interlocutory application was totally unreasonable and unjustified. It is contended that the petitioner had made out a prima facie case regarding un-sustainability of the order of penalty. ACCORDING to the petitioner there is a far chance of the appeal being allowed. Under the above circumstances, dismissal of the stay petition and insistence for payment of the entire amount is highly unjustifiable, is the contention. It is contended that the order was issued in a mechanical manner without proper application of mind and proper advertance to the ground raised in the appeal.

(3.) HAVING considered the fact that 50% of the amount has already been recovered, I am of the view that a direction for an early disposal of the appeal by the 4th respondent keeping the recovery steps in abeyance, will only be reasonable in order to meet the ends of justice.