GODREJ AND BOYCE MFG. CO. LTD. Vs. INTELLIGENCE INSPECTOR, INTELLIGENCE SQUAD NO. IV, COMMERCIAL TAXES, KOZHIKODE

JUDGEMENT

(1.) <FRM>JUDGEMENT_496_LAWS(KER)8_2012.htm</FRM>

(2.) PURSUANT to Ext. P1 purchase order placed by Amal Jyothi College of Engineering to supply some LCD projectors to be used in their classes for the purpose of conducting the technical education courses, the petitioner effected the supply as per Ext.P2 invoice dated 31.07.2012. As per the terms of purchase order, the petitioner has to effect the 'door supply' and accordingly, it was transported in vehicle bearing No.KL 07 AW 4431, when it was intercepted on 04.08.2012 issuing Ext. P3 notice under Section 47(2) of the KVAT Act doubting evasion of tax and demanding security deposit to the tune of Rs. 1,40,400/ - (Rupees one lakh forty thousand four hundred). According to the petitioner, though the factual position with regard to the satisfaction of the 'full CST' was sought to be substantiated by filing Ext. P4 reply, the first respondent did not accede to this; which made the petitioner to approach this Court. Heard the learned Government Pleader as well. Considering the facts and circumstances and in particular, that the petitioner is a registered dealer under the CST Act both under the Karnataka and Kerala statutes, in so far as the concerned branches are concerned, it is always open for the concerned respondent to pursue the adjudication proceedings in accordance with law. But, for that reason, the goods need not be detained any further. It shall be released to the petitioner forthwith, on executing a 'simple bond' without sureties. This shall be without prejudice to the rights and liberties of the respondents to pursue the adjudication proceedings, which shall be finalized in accordance with the relevant provisions of law, as expeditiously as possible.