IN THE HIGH COURT OF KERALA AT ERNAKULAM The Hon'ble MR. Justice C.K.ABDUL REHIM ------------------------------------------- W.P.(C).No.37480 of 2010 (H) ------------------------------------------- Dated this the 3rd day of January, 2011 1. M/S.FOCUS APPARELS, A.V.BUILDING, ... Petitioner Vs 1. THE INTELLIGENCE INSPECTOR, SQUAD NO.II ... Respondent 2. THE INTELLIGENCE OFFICER, SQUAD NO.II 3. THE COMMERCIAL TAX OFFICER, For Petitioner :SRI.P.N.DAMODARAN NAMBOODIRI For Respondent : No Appearance JUDGMENT ----------------- The issue involved in this writ petition pertains to detention of goods on invoking Section 47(2) of the Kerala Value Added Tax Act, 2003 (KVAT Act). By virtue of an interim order issued by this court on 20.12.2010, it is reported that the goods detained along with vehicle was already released. 2. Under the above circumstances I am of the view that the writ petition can be closed directing the competent authority to finalise the enquiry at the earliest. 3. Therefore the writ petition is closed directing the competent authority having jurisdiction in the matter under Section 47(5) & (6) of the Act to finalise the enquiry proceedings after affording an opportunity of hearing to the petitioner, as early as possible, at any rate within a period of one month from the date of receipt of a copy of this judgment. C.K.ABDUL REHIM, JUDGE. okb .O R D E R Dated this the 20th day of December, 2010 --------------- Heard counsel appearing for the petitioner and Government Pleader appearing for the respondents. Contention of the petitioner is that the readymade garments now transported from Bangalore to the place of business of the petitioner are items manufactured on the basis of materials transported by the petitioner from Kerala, which, according to the petitioner, was entrusted as a job work with the consignor at Bangalore. The reason for detention is that none of the documents alleged to have been used for transport of the materials to Bangalore was seen affixed with seal of the Commercial Tax Check Post. Hence evasion of payment of tax was suspected. 2. I am of the view that pending finalisation of enquiry contemplated under Section 47 the goods can be released to the . W.P.(C).37480/10- -3- petitioner on payment of Advance Tax with respect to the goods in question and also on furnishing Security Bond for the demand of security deposit. 3. Therefore, there will be an interim direction to the 1st respondent to release the goods along with the vehicle, which is detained by virtue of Ext.P6 notice, on the petitioner paying Advance Tax with respect to the goods, without prejudice to finalisation of the proceedings under Section 47 and without prejudice to imposition of penalty if ultimately found liable. The petitioner shall also furnish Security Bond for the value of security deposit demanded under Ext.P6, in the form prescribed under the KVAT Rules, without sureties. Post the matter for further consideration on 3.1.2011. C.K.ABDUL REHIM, JUDGE. okb |