BHARAT SANCHAR NIGAM LIMITED Vs. UNION OF INDIA

JUDGEMENT

(1.) Heard Sri Rajeev Kumar Sinha, learned counsel for the petitioner and the learned standing counsel for the State that has initiated recovery proceedings against the petitioner and a recovery certificate dated 06.07.2016 has been issued which is under challenge in the present writ petition on the ground that the foundation of the recovery namely, the order order dated 10.10.2014 does not conform to the provisions of the Building and Other Construction Workers' Welfare Cess Act, 1996 and the Rules framed thereunder.

(2.) The contention is that firstly, the petitioner was not involved in any such construction activity for the past one decade so as to get assessed for payment of any payment of cess. Secondly, no proper notices were served on the petitioner and thirdly, there is no final assessment with regard to the cess as per the 1996 Act hence any recovery pursuant to the provisional assessment is without any authority in law.

(3.) Counter affidavit has been filed on behalf of the State where it is alleged that notices had been dispatched to the petitioner and when the petitioner failed to give any response then the Assessing Officer proceeded to provisionally assess the quantum of cess on the basis of information available on record vide order dated 10.10.2014. It is further stated in the counter affidavit that consequent to issuance of notice to deposit after provisional assessment, the petitioner submitted a reply dated 23.02.2015. However, since no cess was deposited, the competent authority was left with no option but to issue a recovery certificate.