C VISWANATHAN Vs. STATE OF TAMIL NADU

JUDGEMENT

(1.) BY consent of both sides, the writ petition is taken up for final disposal.

(2.) THE prayer in the writ petition is to quash the G.O.Ms.No.81 Prohibition and Excise Department, dated 5.4.2004 and the consequential order passed by the second respondent dated 28.11.2005.

(3.) THE second respondent filed counter affidavit stating that as per G.O.Ms.No.968 Home (Prohibition and Excise-II) Department, dated 28.8.1989, penalty at the rate of 5% was ordered to be collected for the belated payment of notional loss caused and accordingly penalty for the financial year from 1983-84 to 1993-94 was worked out as Rs.1,39,331/- which was re-calculated for the Fasli year as Rs.1,34,556/- and notice was issued to remit the said amount by proceeding dated 6.12.1994. Petitioner challenged the said order and obtained stay. While disposing of the writ petition, a sum of Rs.25,000/- was ordered to be deposited, which was remitted on 12.12.2001. Subsequently, the petitioner remitted 5% penalty amount in monthly installments till 15.6.2005. THE necessity to make a further demand arose due to issuance of G.O.Ms.No.81 Prohibition and Excise Department, dated 5.4.2004 wherein the Government ordered to collect 12% interest from 12.5.1981 for the belated payments of notional loss. Since the petitioner had already remitted 5% interest, remaining 7% interest for the belated payment was calculated at Rs.1,95,064/- and orders have been issued on 28.11.2005 directing the petitioner to pay the amount. It is further stated that the second respondent is bound to implement the said Government order and therefore the demand notice was issued.