BUILTECH EXPORTS Vs. STATE OF KERALA AND ANR

JUDGEMENT

(1.) The Petitioner complains that though he was transporting a consignment of non-malleable cast iron, the same has been detained by the second Respondent for suspected evasion of tax as per Ext.P1 proceedings. According to the Petitioner, the goods transported by him are liable to be taxed only at the rate of 4%. However, without any justification, tax at the rate of 12.5% has been demanded in Ext.P1. The Petitioner seeks orders for the release of goods and vehicle on payment of tax at the rate of 4%.

(2.) The learned Govt. Pleader on the other hand submits that though the goods have been billed as non-malleable cast iron, on physical verification it was found that the vehicle contained cast iron grills which is a finished product exigible to tax at 12.5%. It was in the said circumstance that the consignment was detained. It is pointed out that the goods could be released only after completion of the adjudication process.

(3.) I do not think that it is necessary for the goods to be detained indefinitely, in anticipation of completion of the adjudication process. The vehicle and the goods can be released to the Petitioner on his furnishing sufficient security for such release, after preparing a mahazar and if necessary, retaining a sample of the goods that were actually being transported. Authenticated photographs of the truck loaded with the articles could also be taken before release, in support of the case of the Revenue.