V M NAZAR Vs. STATE OF KERALA

JUDGEMENT

(1.) PETITIONER is the purchaser of a vehicle, which was confiscated under the Abkari Act. So much is evident from Ext.P2, which states that, the vehicle, bearing Reg.No.KL -6/C 7132, was confiscated to the Government and sold in public auction on 16.12.2009. The sale was confirmed in the name of the highest bidder. However, when change in registration was sought for and request made for payment of tax, the taxation authorities refused to accept the tax, unless a certificate under Section 8A of the Kerala Motor Transport Workers' Welfare Fund Act, 1985 is produced.

(2.) PETITIONER relies on Section 67H of the Abkari Act, to contend that, the petitioner, being a purchaser from the Government, and prior to the purchase, the vehicle having been vested in the Government, there can be no further demand made on the petitioner, who is a bona fide purchaser in a public auction. Section 67H is extracted hereunder:

(3.) GOING by the specific provision, which vests the vehicle in the Government, if a confiscation order is passed under the Abkari Act, the confiscated vehicle, would be encumbrance free. In such circumstances, the Motor Transport Workers Welfare Fund Board, cannot proceed against the vehicle nor would there be available a charge on the vehicle for payment of contributions, prior to such confiscation and sale. Definitely, the Board will be entitled to proceed against the earlier owner for payment of contribution. But, however, the purchaser from the Government, in any event, is not personally liable nor would the vehicle be liable for such prior liability. The vehicle, which vested in the Government, encumbrance free, is that purchased by the petitioner.