IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) TUESDAY, THE TWENTY NINETH DAY OF JULY TWO THOUSAND AND EIGHT PRESENT THE HON'BLE MRS JUSTICE T.MEENA KUMARI and THE HON'BLE MR JUSTICE RAMESH RANGANATHAN WRIT PETITION NO : 16359 of 2008 Between: M/s.Sree Rayalaseema Green Steloy Ltd., Sy.No.142A & 143-B- 2, Aswathapuram village,Kurnool-518218 AP., rep.by its Chairman and Managing Director Sri K.Madhusudhan ..... PETITIONER AND 1 The Appellate Deputy Commissioner (CT) (FAC) Kurnool Divison, D.No.53-254/D8, near Bhashyam School Sankalbagh, N.R.Pet,Kurnool 2 The Assistant Commissioner (CT), Large Tax Payer Unit Behind Central Plaza, Near Ayyappa Swamy Temple Kurnool-518002 .....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 an appropriate writ order or direction more particularly in the nature of mandamus declaring the action of the ﬁrst respondent in rejecting the Stay petition of the petitioner in Stay petition No.5/2008-09 (KNL) dated 10.6.2008 as illegal and unjustiﬁed and consequently grant stay of collection of the disputed tax of Rs.44,65,349/- for the period May 2005 to Septemper 2007 under the AP Valued Added Tax Act 2005 pending disposal of the petitioner appeal before the first Respondent. Counsel for the Petitioner:MR.G.NARENDRA CHETTY Counsel for the Respondents No.: SRI A.V. KRISHNA KOUNDINYA, SPL.GP FOR COMMERCIAL TAX The Court made the following : THE HON'BLE MRS JUSTICE T.MEENA KUMARI & THE HON'BLE MR JUSTICE RAMESH RANGANATHAN WRIT PETITION NO : 16359 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 ﬁrst respondent in rejecting the stay petition of the petitioner, vide order, dated 10.6.2008, as illegal and unjustiﬁed and consequently, to grant stay of collection of the disputed tax of Rs.44,65,349/- for the period May 2005 to September 2007, pending disposal of the appeal before the first Respondent. The main grievance of the petitioner is that against the assessment order passed by the 2nd respondent, the petitioner ﬁled an appeal before the 1st respondent. Along with the appeal, the petitioner also ﬁled a stay petition seeking stay of collection of the disputed tax, pending disposal of the appeal. But the ﬁrst respondent rejected the stay petition. Hence, the present writ petition has been filed by the petitioner. Heard the learned Counsel appearing for the petitioner and the learned Special Government Pleader for Commercial Tax and perused the material available on record. It is the contention of the learned Counsel for the petitioner that the petitioner has preferred an appeal before the 1st respondent challenging the assessment order of the 2nd respondent and the same is pending and that the petitioner has already paid 12.5% of the disputed tax and at this juncture, if the relief of stay is not granted and if the entire disputed tax is recovered, the very purpose of ﬁling the appeal before the 1st respondent would be defeated. In the facts and circumstances of the case and in view of the fact that the appeal is pending before the 1st respondent, 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 disputed tax, pending disposal of the appeal before the 1st respondent, subject to the condition of the petitioner depositing 50% of the disputed tax, within a period of eight 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 Ramesh Ranganathan Date: 29th July, 2008 Note: Issue C.C. in one week. (BO) Nn/gurc. THE HON'BLE MRS JUSTICE T.MEENA KUMARI & THE HON'BLE MR JUSTICE RAMESH RANGANATHAN WRIT PETITION No:16359 OF 2008 (Order delivered by the Hon’ble Smt. Justice T. Meena Kumari) 29/07/2008