Vinod P.A. vs. Assistant State Tax Officer - Kerala High Court, 03 January 2019

Cause title — parties, addresses and appearances

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE DAMA SESHADRI NAIDU THURSDAY ,THE 03RD DAY OF JANUARY 2019 / 13TH POUSHA, 1940 WP(C).No. 73 of 2019 PETITIONER/S: VINOD P.A. AGED 44 YEARS PROPRIETOR, M/S.SKYLITE ROOFINGS, CC 32/66B3, NANDANATH KOCHACKO ROAD, CHAKKARAPARAMBU, THAMMANAM P.O., COCHIN-682032, ERNAKULAM DISTRICT. BY ADV. SRI.TOMSON T.EMMANUEL RESPONDENT/S: 1 ASSISTANT STATE TAX OFFICER STATE GOODS AND SERVICES TAX DEPARTMENT, SQUAD NO.IV, MALAPPURAM AT PERINTHALMANNA-679 322. 2 STATE OF KERALA, STATE GOODS AND SERVICE TAX DEPARTMENT, SECRETARIAT, THIRUVANANTHAPURAM-695 001, REPRESENTED BY SECRETARY TO GOVERNMENT. 3 COMMISSIONER (GST), GOVERNMENT OF INDIA, MINISTRY OF FINANCE, DEPARTMENT OF REVENUE, CENTRAL BOARD OF INDIRECT TAXES AND CUSTOMS, NEW DELHI-110 001. 4 STATE DEPUTY COMMISSIONER (APPEALS), STATE GOODS AND SERVICES TAX DEPARTMENT, ERNAKULAM, COCHIN-682 015. W.P.(C) No.73/2019 -2- 5 THE FEDERAL BANK LTD., ERNAKULAM BYE PASS BRANCH, COCHIN-682 032, REPRESENTED BY ITS BRANCH MANAGER. OTHER PRESENT: DR THUSHARA JAMES, GP THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 03.01.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

J U D G M E N T The petitioner transported certain goods from Tamil Nadu to Perinthalmanna. When the authorities checked the documents carried along with the goods, they found the documents to be defective. Suspecting tax evasion, the authorities detained the goods and demanded penalty, as well as tax. Aggrieved, the petitioner filed W.P.(C) No.36238 of 2018 for the release of goods and for the expeditious completion of adjudication.

In terms of the judgment in W.P.(C) No.36238 of 2018, the petitioner furnished Bank Guarantee for the entire amount demanded, and had the goods released.

-3-

Later, the primary authority completed the adjudication and issued the Ext.P8 order imposing penalty, and appropriating the Bank Guarantee, too. The petitioner filed the Ext.P9 appeal against that order. But he apprehends that the authorities, in the meanwhile, may encash the Bank Guarantee.

Heard the counsel for the petitioner and the Government Pleader.

I reckon that, in the interest of justice, the authorities will keep the Bank Guarantee untouched till the Ext.P9 is considered. With these observations, I dispose of the writ petition. DAMA SESHADRI NAIDU JUDGE jjj -4- APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1OF TAX INVOICE NO.1681/18-19 DATED 02- 11-2018 ISSUED BY M/S.METECNO INDIA PVT. LTD., TAMIL NADU FOR THE INTERSTATE SUPPLY OF ROOFING SHEET, AGAINST 18% IGST. EXHIBIT P1 AOF E-WAY BILL NO.571065187219 DATED 02- 11-2018 ACCOMPANIED WITH EXHIBIT P1 TAX INVOICE. EXHIBIT P2OF NOTICE U/S.129(3) GST ACT 2017 SERVED TO THE PETITIONER BY 1ST RESPONDENT THROUGH DRIVER OF TRANSPORT VEHICLE, ON 05-11-2018 AT 04.15 PM DEMANDING SECURITY DEPOSIT, ALLEGING SUBSIDIARY E-WAY BILL NOT PRODUCED. EXHIBIT P3OF JUDGMENT DATED 07-11-2018 PASSED BY THIS HON'BLE COURT IN WP(C) NO.36238 OF 2018. EXHIBIT P4OF BANK GUARANTEE NO.IBG91595 DATED 07-11-2018 FOR RS.1,85,760/- ISSUED BY 5TH RESPONDENT BANK IN ACCORDANCE WITH EXHIBIT P3 JUDGMENT, SUBMITTED BEFORE 1ST RESPONDENT. EXHIBIT P4 AOF BOND IN FORM GST INS04 DATED 07-11- 2018 FOR THE VALUE OF THE GOODS, SUBMITTED BEFORE 1ST RESPONDENT ALONG WITH EXHIBIT P4. EXHIBIT P5OF RELEASE ORDER DATED 09-11-2018 ISSUED BY 1ST RESPONDENT IN COMPLIANCE TO EXHIBIT P3 JUDGMENT. EXHIBIT P6OF LETTER DATED 09-11-2018 OBTAINED FROM PETITIONER BY 1ST RESPONDENT FOR ADJUDICATON, SIMULTANEOUS TO RELEASE OF GOODS ITSELF. EXHIBIT P7OF LETTER DATED 15-12-2018 ISSUED BY 1ST RESPONDENT TO 5TH RESPONDENT BANK, FOR REALIZATION OF EXHIBIT P4 BANK GUARANTEE.

-5- EXHIBIT P8OF ORDER DATED 15-11-2018 IMPOSING PENALTY U/S.129(3) OF SGST ACT, COMMUNICATED TO PETITIONER ON 01-01-2019 BY 1ST RESPONDENT. EXHIBIT P9OF STATUTORY APPEAL U/S.107 OF SGST ACT WITH A PRAYER FOR STAY, SUBMITTED BEFORE 4TH RESPONDENT AGAINST EXHIBIT P8 ORDER.