(1)Where luxuries are seized under Sub-section (1) of Section 13 from a stockist on account of his failure to make payment of penalty imposed on him under Sub-section (2) of Section 6 or on account of his attempting to evade payment of luxury tax and the stockist fails to comply with the requirements of Sub-section (4) of Section 13 and get the seized luxuries released, the appropriate Luxury Tax Officer shall cause a notice in Form X to be served upon the stockist informing the stockist of his intention to sell the luxuries seized from him in auction for the purpose of realisation of the unpaid amount of penalty or luxury tax, as the case may be, if he fails to take delivery of the seized luxuries on production of receipted challan as a proof of payment of penalty or luxury tax, as the case may, on a date specified in the notice, and the said officer shall specify the date in the notice ordinarily not less than thirty days after the service of the notice.(2)If the stockist fails to take delivery of the luxuries seized from him on or before the date specified in the notice issued under sub-rule (1) within such time allowed by the appropriate Luxury Tax Officer, such Officer shall issue a proclamation for open auction for sale of such luxuries for cash on delivery fixing a date, not earlier than thirty days from the date of issue of such proclamation, and he shall mention in the proclamation the time and place of such sale with a description of the luxuries to be sold and publish such proclamation in two local newspapers. One copy of the proclamation shall be hung up for Public view at the place where the sale is to take place and one copy shall be forwarded to the person from whom such luxuries are seized.(3)The luxuries shall ordinarily be sold to the highest bidder, but if the Luxury Tax Officer thinks that the highest offer is inadequate, he may make a verbal declaration at the time of bidding to that effect and may adjourn the sale to same other date to be mentioned later on in another proclamation for auction sale. Such subsequent proclamation shall also be published in two local newspapers and copies thereof hung up at the place of auction and forwarded to the stockist.(4)The sale-proceeds mentioned in Sub-section (4) of Section 13 shall be deposited by the Luxury Tax Officer in the Government Treasury within seven days from the date of sale and the stockist shall be immediately informed thereafter of the balance referred to in Sub-section (5) of Section 13.(5)If the stockist makes an application within one year from the date of sale for refund of the balance amount, the Luxury Tax Officer shall issue a Refund Payment Order for such balance amount to the said stockist for encashment at the Government Treasury.
