GASHA STEELS PRIVATE LIMITED Vs. ASST COMMISSIONER

JUDGEMENT

(1.) THE two petitioners herein who are two different dealers were transporting iron and steel articles loaded in the same lorry bearing No.KL-13/6595. The goods were intercepted by the second respondent on 6.6.2012 issuing Ext.P5 notice to the first petitioner under Section 47(2) of the KVAT Act, doubting evasion of tax and demanding security deposit to an extent of Rs. 54,145/-(Rupees fifty four thousand one hundred and forty five) which is under challenge in this writ petition.

(2.) THE case projected by the petitioners is that, the observations made by the concerned authority in Ext.P5 that there was some 'delay' in the matter of transportation and that there was 'excess quantity'. It is stated that the goods actually belonged to the two petitioners herein covered under two different consignments and they were being transported in the same vehicle. According to the petitioners all the relevant documents in support of the transportation as contemplated under Section 46(3) were there, the copies of which have been produced herein as Exts.P1 and P3 invoices and P2 and P4 delivery notes.

(3.) GOING through the materials on record and the admitted fact that Ext.P3 and P4 were never produced at the time of interception, the detention stands justified, though the acceptability of the explanation is a matter to be looked into and considered in the adjudication proceedings. Admittedly the said documents were not produced, presumably since they were not there at the relevant time; which made the detaining authority to observe that there was excess quantity which was not supported by the valid documents. This being the position, this is a matter to be adjudicated by the concerned authority in accordance with law. But for that matter, the goods need not be detained and the same shall be released to the petitioners on condition that the petitioners deposit 50% of the amount sought for vide Ext.P5 and execute a 'simple bond' without sureties for the balance amount. This shall be without prejudice to the rights and liberties of the respondents to pursue the adjudication proceedings in accordance with law, which shall be finalized passing appropriate orders under Section 47(6) as expeditiously as possible. Writ petition is disposed of.