Madras High Court
Karthikeya Cotton vs Unknown on 1 April, 2016
Author: M.Duraiswamy
Bench: M.Duraiswamy
IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 01.04.2016 CORAM THE HONOURABLE Mr. JUSTICE M.DURAISWAMY W.P.No.12489 of 2016 and WMP.Nos.10805 and 10806 of 2016 Karthikeya Cotton Rep. by Aitha Yugander, Partner, College Road, Padmashali Street, Jammikunta, Telengana - 505 122. .. Petitioner v. The Commercial Tax Officer (Enf) Roving squad, Vellore, (Ranipet Check post) Tamil Nadu. .. Respondent Writ Petition filed under Article 226 of the Constitution of India to issue a Writ of Certiorarified Mandamus, to call for the records on the file of the respondent and quash the compounding notice, vide Notice G.D.No.670/2015-16, dated 26.03.2016 and direct the respondent to release the goods. For Petitioner : Mr.T.Shanmugam For Respondent : Mr.Manoharan Sundaram, AGP (T) ORDER
The petitioner has filed the above writ petition to issue a writ of Certiorafied Mandamus, to call for the records on the file of the respondent and to quash the compounding notice, dated 26.03.2016 and direct the respondent to release the goods.
2. It is the case of the petitioner that they are manufacturers and dealers in Cotton Bales in the State of Telengana. The petitioner entered into a contract with M/s. Moon Spinners Ltd., Kalakad Road, Nanguneri, for sale of 125 cotton bales. Pursuant to the same, the petitioner had moved the goods from Karim Nagar, Telengana. The petitioner also was in possession of Invoice, E-way bill and lorry receipt. The goods were intercepted and detained by the Commercial Tax Officer, the respondent herein on 24.03.2016, on the ground that there was no CST tax collected and therefore, to verify the genuineness of the transaction, the goods were detained along with the vehicle at Ranipet circle.
3. According to the petitioner, the Detention Notice, dated 24.03.2016 is without any authority of law and further, according to him, under Sections 14 and 15 of the CST Act, the levy of tax by the State legislature shall not be beyond the rate prescribed under Section 15 of the CST Act, i.e., 5%.
4. The learned counsel appearing for the petitioner further submitted that the petitioner is willing to pay one time tax compounding of Rs.1,28,934/- and on payment of the said amount, the respondent may be directed to release the consignment along with the vehicle.
5. Mr.Manoharan Sundaram, learned Additional Government Pleader, taking notice for the respondent submitted that on payment of the tax of Rs.1,28,934/-, the respondent may be directed to release the goods and the vehicle and in case, the petitioner is aggrieved over the order passed by the respondent, the petitioner may be directed to file a Revision before the concerned authority.
6. Having regard to the submissions made by the learned counsel on either side, since the petitioner is willing to pay the one time tax amount of Rs.1,28,934/-, the petitioner is directed to pay the said amount and on payment of the said amount, the respondent is directed to release the goods and the vehicles forthwith. In case, the petitioner is aggrieved over the order passed by the respondent, it is open to the petitioner to challenge the same, by way of filing Revision before the concerned authority.
With this observation, the writ petition is disposed of. No costs. Consequently, connected miscellaneous petitions are closed.
01.04.2016 Index : Yes/No
Note : Issue copy of the order today (01.04.2016)
tsvn
To
The Commercial Tax Officer (Enf)
Roving squad, Vellore,
(Ranipet Check post)
Tamil Nadu.
M.DURAISWAMY, J
tsvn
W.P.No.12489 of 2016
01.04.2016