COMMISSIONER, TRADE TAX/COMMERCIAL TAX Vs. SATYAM TRADERS

JUDGEMENT

(1.) M/s Satyam Traders, Talla Mota Dhak is undisputedly a registered dealer at Najibabad. Najibabad is in the State of Uttar Pradesh. M/s Satyam Traders undisputedly deals in the sale and purchase of iron scrap and ingot. In so far as the present controversy is concerned, M/s Satyam Traders purchased 18.640 metric tons of cast iron dust from M/s Sagar Enterprises, Najibabad. The instant purchase was made by M/s Satyam Traders from within the State of Uttar Pradesh. The purchase made by the respondent from M/s Sagar Enterprises, is not subject matter of the present controversy.

(2.) M/s Satyam Traders, Talla Mota Dhak, whilst transporting the aforestated cast iron dust, was found to be travelling over the territory of Uttarakhand. This came to be determined when the police authorities of the State of Uttarakhand challaned truck, bearing Registration No. HR-38E-4721, at Jashodharpur. The aforesaid truck was carrying cast iron dust purchased by the respondent from M/s Sagar Enterprises. It is not a matter of dispute, that Jashodharpur is located in the State of Uttarakhand. Not only was the fine/ penalty imposed on the aforesaid truck by the concerned Magistrate at Kotdwar, but the assertion made at the hands of the driver of the truck under reference was taken into consideration to establish, that the truck was travelling over the territory of the State of Uttarakhand.

(3.) It is the admitted case, that the police authorities of the State of Uttarakhand brought the aforesaid factual position to the notice of the Trade Tax Authorities. Based on the fact, that Form 31 was not presented, when the truck was impounded, the Assessing Authority arrived at the conclusion, that the action of the respondent herein, namely, M/s Satyam Traders, was in violation of Section 28-A(2) of the Uttar Pradesh Trade Tax Act, 1948. Section 28-A aforesaid is being extracted hereunder: