IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE S.SIRI JAGAN FRIDAY, THE 5TH AUGUST 2011 / 14TH SRAVANA 1933 WP(C).No. 21384 of 2011(W) --------------------------------------- PETITIONER(S): -------------------- R.PRAKASH, AGED 31 YEARS, S/O.RANGASAMY, 24/A 131,VILANKURICHI ROAD, SARAVANPATTI, COIMBATORE-35,TAMIL NADU BY ADV. SRI.V.VENUGOPALAN NAIR RESPONDENT(S): ------------------------- 1. THE INTELLIGENCE INSPECTOR SQUAD NO.1 COMMERCIAL TAXES, OFFICE OF THE INTELLIGENE OFFICE (COMMERCIAL TAXES)ALAPPUZHA-688508 2. THE ASST.COMMISSIONER INTELLIGENCE, OFFICE OF THE INSPECTING ASST.COMMISSIONER(INTELLIGENCE) COMMERCIAL TAXES CAMP AT PATHIRAPALLI, ALAPPUZHA- 688508 3. SUB INSPECTOR OF POLICE, CHERTHALA-688524 BY GOVT. PLEADER SRI.C.K.GOVINDAN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 05/08/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: tss W.P.(C) NO.21384/2011 APPENDIX PETITIONER'S EXHIBITS P1:- COPY OF THE PURCHASE BILL OF THE EQUIPMENT DTD. 30.4.2007. P2:- COPY OF THE LETTER ISSUED BY M/S. SREE NARAYANA CONSTRUCTION PVT. LTD., TO THE CHECK POST AUTHORITY DTD. 25.3.2010. P3:- COPY OF THE WORK ORDER AWARDED BY TECHNO PARK, THIRUVANANTHAPURAM TO THE SAID CONSTRUCTION COMPANY. P4:- COPY OF THE DEMAND NOTICE ISSUED BY THE IST RESPONDENT DTD 31.7.2011. P5:- COPY OF THE LETTER ISSUED BY THE SERVICE ENGINEER DTD. 2.8.2011. RESPONDENT'S EXHIBITS NIL:- TRUE COPY P.S. TO JUDGE tss S.SIRI JAGAN, J. ================== W.P.(C).No. 21384 of 2011 ================== Dated this the 5th day of August, 2011 J U D G M E N T An earth remover, which was being transported by the petitioner allegedly for repair, was intercepted by the authorities under the Kerala Value Added Tax Act and detained, by Ext.P4 notice, demanding security for the amount covered by Ext.P4, on allegations of attempt to evade tax pending further proceedings. According to the petitioner, the earth remover was purchased in the year 2007 and it was only being transported for repairs. Therefore, the respondents have no jurisdiction to proceed against the earth remover under Section 47 of the Kerala Value Added Tax Act, is his contention. 2. The learned Government Pleader submits that the petitioner is not a registered dealer and, as stated in Ext.P4 itself, there is ample reason for suspecting evasion of tax. 3. When this Court asked the counsel for the petitioner as to whether the petitioner is prepared to furnish bank guarantee for the amount covered by Ext.P4, he submits that the petitioner is not in a position to provide bank guarantee. He, therefore, submits that if this Court is not inclined to direct release of the goods, the vehicle used for transportation of the earth remover may be released and the appropriate authority may be directed to complete proceedings pursuant to Ext.P4 within a short time. w.p.c.21384/11 2 4. Having heard both sides, I dispose of this writ petition with the following directions: The vehicle carrying the earth remover shall be released to the petitioner on the petitioner executing a simple bond without sureties to the satisfaction of the 1st respondent in respect of the earth remover detained by Ext.P4. The appropriate authority under the Act shall complete proceedings pursuant to Ext.P4 notice, as expeditiously as possible, at any rate, within one month from the date of receipt of a certified copy of this judgment. Sd/- sdk+ S.SIRI JAGAN, JUDGE ///True copy/// P.A. to Judge