IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE K.M.JOSEPH MONDAY, THE 25TH AUGUST 2008 / 3RD BHADRA 1930 WP(C).No. 24888 of 2008(K) -------------------------- PETITIONER: ------------ MS.MANUELSONS HOTELS PVT. LTD., CALICUT BY MANAGING DIRECTOR P.M.UTHOOP BY ADV. SRI.P.RAGHUNATH RESPONDENTS: ------------- 1. ASST.COMMISSIONER-II, SPECIAL CIRCLE-1, CALICUT, 2. DEPUTY COMMISSIONER (APPEALS), COMMERCIAL TAXES, CALICUT. BY GOVERNMENT PLEADER ADV.SRI.C.K.GOVINDAN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 25/08/2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: K.M. JOSEPH, J. ```````````````````````````````````````````````````` W.P.(C) No. 24888 OF 2008 K ```````````````````````````````````````````````````` Dated this the 25th day of August, 2008 J U D G M E N T Petitioner challenges Exts.P1, P8 and P9 and seeks to quash Ext.P3 in the alternative. Petitioner also seeks a direction to dispose of Exts.P2, P10 and P11 appeals. 2. Ext.P1 is an order by which the petitioner has been called upon to furnish additional security in a sum of Rs.5 lakhs for the reason that the petitioner has not filed the monthly returns and not paid the tax under both KVAT and KGST Acts. The petitioner did not remit the additional security after issuance of Ext.P1. Therefore, Exts.P8 and P9 are issued cancelling the registration under the KGST Act and KVAT Act in respect of the liquor section and the hotel section. Against Ext.P1, the petitioner preferred Ext.P2 appeal along with an application for stay which came to be rejected by Ext.P3. Against Exts.P8 and P9, petitioner WPC.24888/08 : 2 : preferred Exts.P10 and P11 appeals. All the appeals are pending. 3. I heard learned counsel for the petitioner and learned Government Pleader. Learned counsel for the petitioner points out that the petitioner could not file the monthly returns and pay tax due to financial stringency. Learned counsel for the petitioner submits that the petitioner is prepared to pay the amount demanded in Ext.P1 in five instalments. Learned Government Pleader submits that the amount may be paid in two instalments. Learned Government Pleader submits that the petitioner must file monthly returns for the period April 2007 to December 2007. Learned counsel for the petitioner submits that the petitioner has already filed monthly returns and remitted the tax. Learned counsel for the petitioner also submits that the petitioner is prepared to withdraw Exts.P2, P10 and P11 appeals as a condition for the renewal of the registration. Having regard to the facts of the case, writ petition is disposed WPC.24888/08 : 3 : of as follows: If the petitioner pays a sum of Rs.2.5 lakhs and withdraws Exts.P2, P10 and P11 appeals, the registration both under the KVAT Act and KGST Act of the petitioner will be restored. This will be subject to the following further conditions. The petitioner should pay a sum of Rs.1.25 lakhs on or before 10.9.2008 and the balance Rs.1.25 lakhs on or before 10.10.2008. If the petitioner complies with the same, the payment will be treated as compliance with Ext.P1 order and Exts.P8 and P9 will stand set aside. If the petitioner does not pay Rs.2.5 lakhs as aforesaid, Exts.P8 and P9 will stand revived without any reference to the petitioner and will be treated as valid. (K.M.JOSEPH, JUDGE) aks