Cause title — parties, addresses and appearances
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT:
THE HONOURABLE MR. JUSTICE P.B.SURESH KUMAR
MONDAY, THE 4TH DAY OF JUNE 2018 / 14TH JYAISHTA, 1940
WP(C).No. 15710 of 2018
PETITIONER(S)
QMAX ASSAY AND HALLMARKS,
RD TOWERS, PALLIKKULAM ROAD, THRISSUR - 680 001,
REPRESENTED BY ITS PARTNER JOSE P.P.
BY ADVS.SRI.S.ANIL KUMAR (TRIVANDRUM)
SRI.SAJU.K.PERUTTY
RESPONDENT(S):
1. THE INTELLIGENCE OFFICER (IB)
COMMERCIAL TAXES, NEAR CIVIL STATION,
PALAKKAD - 678 001.
2. THE STATE TAX OFFICER,
SQUAD NO.II, STATE GOODS AND SERVICES TAX DEPARTMENT,
MATTANCHERRY AT KARUKUTTY, ERNAKULAM DISTRICT, PIN - 683
576.
3. THE INTELLIGENCE OFFICER,
SQUAD NO.I, COMMERCIAL TAXES, POOTHOLE, THRISSUR - 680 004.
R8 BY ADV. SRI.HARISANKAR V. MENON
R8 BY ADV. SMT.MEERA V.MENON
R8 BY ADV. SMT.K.KRISHNA
RADDL.6,R7 & 9 -R 12 BY ADV. SRI.R.MURALIDHARAN (AROOR)
R140 BY ADV. K
R4,R5 BY ADV. SRI.A.KUMAR
R4,R5 BY ADV. SMTG.MINI(1748)
BY SRI. V.K.SHAMSUDEEN (SR.GP)
BY SR. GOVERNMENT PLEADER:SRI.V.K.SHAMSUDHEEN
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 04-06-2018,
THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
WP(C).No. 15710 of 2018 (K)
APPENDIX
PETITIONER(S)' EXHIBITS
EXHIBIT P1 COPY OF REGISTRATION CERTIFICATE.
EXHIBIT P1(A) COPY OF THE RECOGNITION DATED 4-01-2016 ISSUED BY
THE BUREAU OF INDIAN STANDARDS.
EXHIBIT P1(B) COPY OF THE RECOGNITION DATED 11-08-2016 ISSUED
BY THE BUREAU OF INDIAN STANDARDS.
EXHIBIT P2 COPY OF INVOICE DATED 02.05.2018.
EXHIBIT P3 COPY OF INVOICE DATED 26.09.2017.
EXHIBIT P4 COPY OF EXTRACT OF STOCK REGISTER FOR UNIT - I.
EXHIBIT P4(A) COPY OF EXTRACT OF STOCK REGISTER FOR UNIT - II.
EXHIBIT P4(B) COPY OF EXTRACT OF STOCK REGISTER FOR BULLION.
EXHIBIT P5 COPY OF RETURN FOR THE MONTH OF MARCH, 2018.
EXHIBIT P6 COPY OF SIR DATED 03.05.2018 PREPARED BY THE 1ST &
2ND RESPONDENTS.
EXHIBIT P6(A) COPY OF SIR DATED 03.05.2018 PREPARED BY THE 1ST
AND 2ND RESPONDENTS.
EXHIBIT P7 COPY OF MAHAZAR IN RELATION TO EXT P6.
EXHIBIT P7(A) COPY OF MAHAZAR IN RELATION TO EXT. P6 (A).
EXHIBIT P8 COPY OF RECEIPT FOR RECOVERY IN RELATION TO EXT.
P6.
EXHIBIT P8(A) COPY OF RECEIPT FOR RECOVERY IN RELATION TO EXT.
P6(A).
EXHIBIT P8(B) COPY OF DELIVERY CHALAN DATED 3-05-2018 ISSUED
BY M/S. JOSCO BULLION TRADES PVT LTD, THRISSUR.
EXHIBIT P8(C) COPY OF DELIVERY CHALAN DATED 3-05-2018 ISSUED
BY M/S. THE JOSCO FASHION JEWELLERS, THRISSUR.
EXHIBIT P9 COPY OF THE SEIZURE ORDER DATED 03.05.2018 ISSUED
BY THE 1ST RESPONDENT.
EXHIBIT P9(A) COPY OF THE SEIZURE ORDER DATED 03.05.2018 ISSUED
BY THE 2ND RESPONDENT.
EXHIBIT P10 COPY OF THE PROHIBITORY ORDER DATED 03.05.2018
ISSUED BY THE 2ND RESPONDENT.
EXHIBIT P10(A) COPY OF THE PROHIBITORY ORDER DATED 03.05.2018
ISSUED BY THE 2ND RESPONDENT.
EXHIBIT P11 COPY OF THE LETTER DATED 05.05.2018 ADDRESSED TO
THE 3RD RESPONDENT.
EXHIBIT P12 COPY OF OWNERSHIP CERTIFICATE DATED 04.05.2018 OF
JOSCO BULLION TRADERS PVT LTD.
EXHIBIT P12(A) COPY OF OWNERSHIP CERTIFICATE DATED 04.05.2018 OF
JOSCO FASHION JEWELLERS.
EXHIBIT P12(B) COPY OF OWNERSHIP CERTIFICATE DATED 04.05.2018 OF
HAYATH GOLD & DIAMONDS.
EXHIBIT P12(C) COPY OF OWNERSHIP CERTIFICATE DATED 04.05.2018 OF
HAYATH GOLD & DIAMONDS.
EXHIBIT P12(D) COPY OF OWNERSHIP CERTIFICATE DATED 04.05.2018 OF
NEW NAKSHATRA JEWELLERS.
EXHIBIT P12(E) COPY OF OWNERSHIP CERTIFICATE DATED 04.05.2018 OF
NGD JEWELS.
EXHIBIT P12(F) COPY OF OWNERSHIP CERTIFICATE DATED 04.05.2018 OF
JIJU GOLD WORKS.
EXHIBIT P12(G) COPY OF OWNERSHIP CERTIFICATE DATED 04.05.2018 OF
ANANDHAM GEMS AND DIAMONDS.
EXHIBIT P12(H) COPY OF OWNERSHIP CERTIFICATE DATED 04.05.2018 OF
NAVEEN DIAMOND JEWELS.
RESPONDENT'S EXHIBITS:NIL
//TRUE COPY//
SD/-
PA TO JUDGE
rsr
P.B.SURESH KUMAR, J.
--------------------------------------------
W.P.(C).No.15710 of 2018
---------------------------------------------------------------
Dated this the 4th day of June, 2018
J U D G M E N T
In terms of Exts.P9 and P9(a) orders, 25,024.180 gms of gold jewelery have been seized from the petitioner under sub-section (2) of Section 67 of the Kerala State Goods and Services Tax Act (the Act). The confiscation proceedings before the third respondent in furtherance to the seizures are yet to be over. The petitioner seeks directions to the third respondent to release the seized jewelery pending confiscation proceedings.
2.Heard the learned counsel for the petitioner as also the learned Government Pleader.
3.Sub-section (6) of Section 67 of the Act confers power on the third respondent to release the seized articles on : 2 : provisional basis, upon execution of a bond and furnishing of a security, in such manner and of such quantum, respectively, as may be prescribed or on payment of applicable tax, interest and penalty payable, as the case may be. Sub-rule (1) of Rule 140 of the Kerala State Goods and Service Tax Rules (the Rules) provides that the seized articles may be released on a provisional basis upon execution of a bond for the value of the goods in FORM GST INS-04 and furnishing of a security in the form of bank guarantee equivalent to the amount of applicable tax, interest and penalty payable. In the light of the aforesaid provisions, the petitioner is entitled to claim release of the seized articles.
4.The learned counsel for the petitioner submitted that he is unable to furnish bank guarantee in terms of sub-rule (1) of Rule 140 of the Rules. It was, however, pointed out that the seized articles belong to third parties, entrusted to the petitioner for Hall Marking and the owners of the articles are prepared to furnish bank guarantee so as to enable the petitioner to claim release of the seized articles. I do not find any stipulation anywhere that the security shall be furnished by the party claiming release of the seized : 3 : articles. In the circumstances, the writ petition is disposed of directing the third respondent to release the seized articles covered by Exts.P9 and P9(a) orders to the petitioner in accordance with sub-section (6) of Section 67 of the Act and sub- rule (1) of Rule 140 of the Rules. If the petitioner is unable to furnish bank guarantee in terms of sub-rule (1) of Rule 140 of the Rules, the bank guarantees furnished by the third parties for the said purpose shall be accepted. It is made clear that this Court has not adjudicated the contentions of the petitioner. P.B.SURESH KUMAR
JUDGE rsr
