IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM TUESDAY, THE 20TH OCTOBER 2009 / 28TH ASWINA 1931 WP(C).No. 29570 of 2009(M) -------------------------- PETITIONER(S): --------------- M/S.CINZAC SALES & SERVICES (P)LTD, CHITTOOR ROAD, PACHALAM, ERNAKULAM REPRESENTED BY CYNTHIA ZACHARIAS, DIRECTOR. BY ADV. SRI.HARISANKAR V. MENON RESPONDENT(S): --------------- 1. THE INTELLIGENCE OFFICER(IB), DEPARTMENT OF COMMERCIAL TAXES, EDAPPALLY, KOCHI-24. 2. DEPUTY COMMISSIONER (APPEALS), DEPARTMENT OF COMMERCIAL TAXES,ERNAKULAM. 3. COMMERCIAL TAX OFFICER, IIND CIRCLE, KALAMASSERY AT PALARIVATTOM. GOVERNMENT PLEADERSRI.C.K.GOVINDAN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 20/10/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: C.K.ABDUL REHIM, J. ------------------------------ W.P.(C).No.29570 OF 2009 ------------------------------ Dated this the 20th day of October, 2009 J U D G M E N T ---------------------- 1. Challenge in this writ petition is against Ext.P3 interim order passed by the 2nd respondent appellate authority on an appeal filed against Ext.P1 order imposing penalty. In Ext.P3, the appellate authority had granted interim stay against realisation of the amounts of penalty, pending disposal of the appeal, on condition of payment of Rs.1 lakh and on furnishing sufficient security for the balance amount before the assessing authority. 2. When the matter came up for consideration on today, learned counsel appearing for the petitioner submitted that the amount of Rs.1 lakh insisted under Ext.P3 has already been paid. Further grievance of the petitioner is that the assessing authority is insisting for production of Bank guarantee in lieu of the security to be furnished. According to the petitioner insistence for production of Bank guarantee towards the balance amount is creating practical difficulties and putting the petitioner to prejudice. Therefore direction is sought for against the 1st respondent for accepting security bond for satisfying the W.P.(C).29570/09-M 2 condition imposed in Ext.P3. 3. Having considered facts and circumstances of the case, I am of the opinion that the writ petition can be disposed of directing the 1st respondent to accept security bond in the form prescribed under the KVAT Rules without sureties, as sufficient security for the balance amount as per the condition imposed in Ext.P3 till disposal of the appeal. Hence the respondents are directed as above. C.K.ABDUL REHIM, JUDGE. okb