THANKAM CHEMICALS PVT. LTD. Vs. STATE OF KERALA

JUDGEMENT

(1.) CHALLENGE in these S.T. Revision cases is against penalty levied for two years i.e. 1997 -98 & 1998 -99, for the alleged misuse of Form 18 issued by the Petitioner Company.

(2.) WE have heard learned Counsel for the Petitioner and learned Government Pleader for the Respondent.

(3.) ADMITTEDLY , the business run by the promoter as proprietorship was taken over by the Petitioner Company as a going concern. There is also no case that item purchased is not raw material used in manufacture of final products and so much so, if the promoter S.T. retained his registration and Form 18 issued to him, he could have issued Form 18 for the very same purchase. In other words, breach is only technical in the succeeding Company, which took over the business and issued Form 18 for the purchase made by the promoter while he was running the business as it's proprietor.