Section 44(4) in The M.P. Vanijyik Kar Adhiniyam, 1994
(4)Where the Commissioner, in consequences of information which has come into his possession, is satisfied that any dealer has at any time during-the year, in respect of which he has filed a declaration under sub-section (1), dealt in any taxable goods without complying with the requirement of sub-section (3), he may, after giving the dealer a reasonable opportunity of being heard and after making such enquiry as he considers necessary, make an order annulling the declaration and also impose upon him a penalty equal to three times the amount of tax payable on the taxable goods sold by him during that year.
