IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) WEDNESDAY, THE TWENTY SEVENTH DAY OF FEBRUARY TWO THOUSAND AND EIGHT PRESENT THE HON'BLE MRS JUSTICE T.MEENA KUMARI and THE HON'BLE MS JUSTICE G.ROHINI WRIT PETITION NO : 4076 of 2008 Between: M/s. R.R Timbers Besides Hero Honda Showrooms Bellary Road,Kurnool, Rep. by its Managing Partner Mr.B Rasheed Ahmed ..... PETITIONER AND 1 Deputy Commercial Tax Officer-III Kurnool 2 The Joint Commissioner (CT) Legal office of the Commissioner of Commercial Taxes, A.P,Hyderabad .....RESPONDENTS Petition under Article 226 of the constitution of India praying that in the circumstances stated in the Affidavit filed herein the High Court will be pleased to issue writ of Mandamus or any other appropriate writ or order or direction declaring the action of the respondent in rejecting the stay application in CCT Ref.No.LIII(3)/730/2007 dt.23-10-2007 for the assessment year 2002-03 as arbitrary, contrary to law and in violation of principles of natural justice and consequently grant stay of collection of balance disputed demand of Rs.97,724/- out of total disputed tax of Rs.1,43,632/- for the assessment year 2002-03 pending disposal of the appeal before the Sales tax Appellate Tribunal, Hyderabad. Counsel for the Petitioner:MR.M.V.PAVAN KUMAR Counsel for the Respondents.: SRI K. RAJI REDDY (SPL. STANDING COUNSEL FOR COMMERCIAL TAX) The Court made the following : HONOURABLE MRS. JUSTICE T.MEENA KUMARI & HONOURABLE MS JUSTICE G. ROHINI WRIT PETITION No:4076 OF 2008 ORDER: (Per Hon’ble Smt. Justice T. Meena Kumari) This writ petition is filed by the petitioner seeking to declare the action of the 2nd respondent in rejecting the stay application in CCT Ref.No.LIII (3)/730/2007, dated 23.10.2007 for the assessment year 2002-03 as arbitrary and illegal and consequently, to grant stay of collection of the balance disputed demand of Rs.97,724/- out of total disputed tax of Rs.1,43,632/- pending disposal of the appeal before the Sales Tax Appellate Tribunal. The main grievance of the petitioner is that against the order of the 1st respondent, the petitioner filed an appeal before the Appellate Deputy Commissioner, Kurnool. But the said appeal was dismissed. Hence, the petitioner carried the matter in appeal before the Sales Tax Appellate Tribunal. The petitioner also filed a stay application before the 2nd respondent. But the said application was rejected. While so, the Commercial Tax Officer-I, Kurnool, issued notice for recovery of arrears and demands. Hence, the present writ petition has been preferred by the writ petitioner. Heard the learned Counsel appearing for the petitioner and the learned Special Standing Counsel for Commercial Tax and perused the material available on record. It is the contention of the learned Counsel for the petitioner that an appeal is pending before the Sales Tax Appellate Tribunal and that the petitioner has already paid Rs.45,908/- and at this juncture, the 2nd respondent is not justified in rejecting the stay application. It is further contended that if the relief of stay is not entertained and if the balance disputed tax is recovered, the very purpose of filing the appeal before Tribunal would be defeated. In the facts and circumstances of the case and in view of the fact that the appeal is pending before the Tribunal and in view of the submission made by the learned Counsel for the petitioner that the petitioner has paid an amount of Rs.45,908/-, without expressing any opinion on the merits of the case, We feel it a fit case wherein stay can be granted, but subject to certain conditions. Accordingly, there shall be stay of recovery of the total disputed tax pending disposal of the appeal before the Tribunal subject to the condition of the petitioner depositing 50% of the disputed tax, within a period of six weeks from today. However, it is made clear that the amount paid if any, shall be given credit to the above stipulated sum. Subject to the above direction, the writ petition is disposed of. No order as to costs. ________________________ Justice T. Meena Kumari _________________ Justice G. Rohini Date: 27th February, 2008 Nn/Gurc. HONOURABLE MRS. JUSTICE T.MEENA KUMARI & HONOURABLE MS JUSTICE G. ROHINI WRIT PETITION No:4076 OF 2008 (Order delivered by the Hon’ble Smt. Justice T. Meena Kumari) 27/02/2008