IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.R.RAMACHANDRA MENON FRIDAY, THE 17TH SEPTEMBER 2010 / 26TH BHADRA 1932 WP(C).No. 7522 of 2007(U) ------------------------------------- PETITIONER: ------------------- M/S. PREMIER FOOTWEAR PRODUCTS PVT.LTD.- A COMPANY INCORPORATED AS NO.181-5618 OF 1994 ON 21ST DECEMBER 1994, (SSI UNIT KO-05-15552 DATED 24/12/1999) 7/576-A, VENGALI, CALICUT, KOZHIKODE-673 303, REP. BY ITS MANAGING DIRECTOR JOY VARGHESE, S/O. M.C.VARGHESE. BY ADV. SRI.MANJERI SUNDER RAJ. RESPONDENTS: ------------------------ 1. STATE OF KERALA, REP. BY SECRETARY TO GOVERNMENT OF KERALA, MINISTRY OF FINANCE (TAXES), TRIVANDRUM. 2. STATE OF KERALA, REP. BY SECRETARY TO GOVERNMENT OF KERALA, MINISTRY OF INDUSTRIES, TRIVANDRUM. 3. THE DIRECTOR OF INDUSTRIES & COMMERCE, TRIVANDRUM. 4. THE DEPUTY COMMISSIONER OF COMMERCIAL TAXES, KOZHIKODE. 5. SALES TAX OFFICER, IIND CIRCLE, KOZHIKODE. 6. DEPUTY TAHSILDAR (REVENUE RECOVERY), P.O.PUTHIYARA, KOZHIKODE-673 004. 7. THE DISTRICT INDUSTRIES CENTRE, REP. BY ITS GENERAL MANAGER, KOZHIKODE-673 032. RESPONDENTS 1 TO 7 REP. BY THE GOVERNMENT PLEADER, HIGH COURT OF KERALA, ERNAKULAM. R1 TO R7 BY GOVT. PLEADER SRI. K.P. PRADEEP. THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 17/09/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: W.P.(C). NO.7522/2007-U: APPENDIX PETITIONERS' EXHIBITS: EXT.P.1: COPY OF THE JUDGMENT DTD. 30/07/2004 IN W.P.(C).22723/2004 BY THE HON'BLE HIGH COURT OF KERALA. EXT.P.2: COPY OF THE FORM I REVENUE RECOVERY DEMAND NOTICE ISSUED BY DEPUTY TAHSILDAR, (RR) KOZHIKODE TO THE PETITIONER. EXT.P.3: COPY OF THE ORDER DTD. -/02/07 ISSUED BY GEN. MANAGER, IDC, KOZHIKODE TO THE PETITIONER GRANTING SALES TAX EXEMPTION. RESPONDENTS' EXHIBITS: NIL. //TRUE COPY// P.A. TO JUDGE. Prv. P.R. RAMACHANDRA MENON J. ~~~~~~~~~~~~~~~~~~~~~~~ W.P (C) No. 7522 OF 2007 ~~~~~~~~~~~~~~~~~~~~~~~ Dated, this the 17th day of September, 2010 JUDGMENT The case of the petitioner is that, the petitioner has been granted exemption from the liability to pay sales tax, in view of the nature of the commodity and transaction being pursued by the petitioner, as borne by Ext. P3. However, the assessment was finalized for the reason that no material was produced by the petitioner/assesse, particularly with regard to the claim for exemption, followed by the recovery notice as borne by Ext. P2. This made the petitioner to approach this Court by filing the present Writ Petition and on the basis of Ext.P3 order of exemption, the coercive proceedings were intercepted by this Court on 6.3.2007. 2. The learned Government Pleader appearing for the respondents submits that, the recovery notice as borne by Ext. P2 was issued much prior to the date of Ext. P3 order of exemption (which was issued only in February 2007). However, since there is no dispute for the respondents that, the petitioner has been granted exemption vide Ext. P3, recovery proceedings pursuant to Ext. P2 are not liable to be continued. It is ordered accordingly and Ext. P2 is set aside. 3. With regard to the extent of exemption being enjoyed by the petitioner vide Ext. P3, it is also made clear that, it will be open for the W.P. (C) No. 7522 of 2007 2 respondents to proceed with appropriate steps on the basis of fresh requisition, if at all any further liability is there, over and above the extent of exemption as provided in Ext. P3. The Writ Petition is allowed as above. No cost. P. R. RAMACHANDRA MENON, JUDGE kmd