C. VIJAY KUMAR Vs. JOINT COMMISSIONER (NORTH)

JUDGEMENT

(1.) The petitioner carries on business as a sole proprietary under the name of M/s.Annam Steels. It purchased a property being factory land, building and machinery at Survey No.73/1- and 73/11, Malathul Village, Thiruvallur Taluk and District brought to auction by Tamil Nadu Industrial Investment Corporation Ltd. (TIIC). The property was owned by one M/s.Srinivasa Chemical Pvt. Ltd. (assessee) which had availed financial assistance from TIIC. Since the assessee had defaulted in the repayment of the financial assistance received, the property was brought to sale by TIIC by tender-cum-open-auction on 01.12.2009 and the petitioner emerged as the successful bidder. The sale consideration was a sum of Rs.70 lakhs and sale W.P. Nos.2775, 2788, 2780, 2781, 2784, 2785 & 2787 of 2020 certificate was issued to the petitioner on 10.08.2010. Possession of the movables and immovales have been taken by the petitioner.

(2.) Thereafter the petitioner approached the Sub-Registrar for registration of the sale deed. The request was denied on the ground that an encumbrance was registered on the property by the Commercial Taxes Department. The petitioner thus approached the Assistant Commissioner of Commercial Taxes/R2, seeking lifting of the attachment and was informed that the assessee was in arrears of tax, which would have to be settled for the lifting of the attachment to be considered.

(3.) The Settlement of Arrears Ordinance, 2010 was cited to the petitioner and the petitioner advised to avail of the said scheme for settling of the assessee's arrears. The petitioner thus, on the advise received, filed applications on 25.08.2010 in terms of Section 5(1) of the Tamil Nadu Sales Tax (Settlement of Arrears) Act, 2019 (Settlement Act) for the periods 1990-91 1991-92, 1992-93, 1993-94, 1994-95, 1995-96 (TNGST) and 1992-93 (CST). A total amount of Rs.27,46,304/- (Rs.27 lakhs approx) was paid.