IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) TUESDAY, THE TENTH DAY OF JUNE TWO THOUSAND AND EIGHT PRESENT THE HON'BLE MRS JUSTICE T.MEENA KUMARI AND THE HON'BLE MR JUSTICE RAMESH RANGANATHAN WRIT PETITION NO : 10708 of 2008 Between: M/s Concept Industries (P) Ltd., 1st Floor, Akash Ganga, Plot No.144, Srinagar Colony, Hyderabad. Rep by one of its Directors Mr.V.L.N.Madhusudan. ..... PETITIONER AND 1 Commissioner of Commercial Taxes, 1st Floor, Commercial Taxes, Complex, Opp Gandhi Bhavan, Nampally, Hyderabad. 2 Deputy Commissioner (CT), Punjagutta Division, 4th Floor, Mayurkushal Towers, Gunfoundry, Abids, Hyderabad. 3 Commercial Tax Officer, Srinagar Colony, 7th Floor, Mayurkushal Towers, Gunfoundry, Abids, 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 a writ order or direction more particularly in the nature of mandamus declaring the order dated 04.10.2006 passed by the 1st respondent in CCT'S Ref No.AII/(3)/42/2006 is illegal, arbitrary, unconstitutional and violation of principles of natural justices and promissory estoppel and consequently to direct the 1st respondent to go by its order dated 18.02.2006 in CCT's Ref.No.AII(3)/41/2006 and also direct the 2nd respondent to return the agreement dated 26.12.2003 and to pass Counsel for the Petitioner:MR.T.RAMESH BABU Counsel for the Respondent No.: GP FOR COMMERCIAL TAX The Court made the following : ORAL ORDER: (per THE HON’BLE MRS. JUSTICE T.MEENA KUMARI) Seeking a writ of mandamus declaring the order, dated 4.10.2006 made by the first respondent as illegal and arbitrary consequently to direct the first respondent to abide by its order dated 18.2.2006 and to direct the respondent to return the agreement dated 26.12.2003, the petitioner filed this writ petition. The petitioner is engaged in manufacturing of food products including confectionary and is a registered dealer on the rolls of the third respondent herein under CST Act. While so, the petitioner entered into agreement as required under the Scheme of Industrial Incentives with the Commercial Tax Department on 26.12.2003 creating lean over plant and machinery. The petitioner paid an amount of Rs.3,09,538/- to the Commercial Tax Department towards the first and second instalment as per the Industrial Incentive Scheme for the financial year 2004 and 2005 leaving a balance of Rs.24,60,225/-, and thus fell in arrears. Therefore, the petitioner by letter dated 21.12.2005 represented to the 2nd respondent to permit it to sell its assets and to pay the outstanding amount of deferred tax. The petitioner sold the machinery and paid an amount of Rs.17,98,149/- in November, 2006 and by letter dated 17.11.2006, sought for the return of the agreement dated 26.12.2003. But the 3rd respondent in its notice, dated 18.11.2006, basing on the orders from the first respondent, insisted for payment of total deferred tax in lumpsum. Hence, the present writ petition. Heard the learned counsel for the petitioner and the learned Special Standing Counsel for Commercial Taxes. Admittedly, the first respondent by order dated 4.10.2006 informed the second respondent that the benefit of discount cannot be extended to the petitioner unit, as it is not working and directed the 2nd respondent to recover the entire amount due in lumpsum. This order, dated 4.10.2006, was communicated by the third respondent in its notice, dated 18.11.2006, to the petitioner and insisted for payment of the total deferred tax in lumpsum. The impugned order is dated 4.10.2006 passed by the first respondent, which was communicated to the petitioner by letter dated 18.11.2006 issued by the third respondent. The petitioner kept quiet for two long years without either making payment or assailing the same. No plausible explanation is offered for the laches, which denotes that the petitioner is not diligent. Consequently, we do not see any reason to entertain the writ petition. The Writ Petition accordingly fails and is dismissed. No order as to costs. ____________________ T.MEENA KUMARI, J. __________________________ RAMESH RANGANATHAN, J. JUNE 10, 2008 MAS ..... REGISTRAR // TRUE COPY // SECTION OFFICER To 1.2CCs to 2.2CD copies Form-NIC-OGS/WP{LS}