GREEN INDIA ENTERPRISES Vs. CHECK-POST OFFICER TIRUNELVELI

JUDGEMENT

(1.) PETITIONER seeks for the issuance of a writ of mandamus to direct the respondent not to insist on payment of tax on agency purchases without issuing any legal and statutory notice in the light of the decisions of the Supreme Court reported in [1992] 87 STC 196 (Commissioner of Sales Tax v. Bakhtawar Lal Kailash Chand Arhti) and [1993] 90 STC 1 [co-operative Sugars (Chittur) Ltd. v. State of Tamil Nadu].

(2.) ACCORDING to the petitioner, it is a proprietary concern, doing business in raw rubber sheets and that the concern is also registered under the TNGST Act, 1959 and CST Act, 1956. It also claims that it is a licensed dealer. While so, the grievance of the petitioner is that it used to purchase raw rubber from the local market and despatch them to the principals on receipt of directions from the principals "to purchase and despatch" and in the circumstances there was no scope for payment of sales tax either under the provisions of the TNGST Act or CST Act and therefore, the frequent detention of the petitioner's vehicles transporting such raw rubber by the respondent is in total violation of the TNGST Act. In those circumstances, the petitioner seeks for the issuance of the writ as prayed for.