IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM WEDNESDAY, THE 4TH NOVEMBER 2009 / 13TH KARTHIKA 1931 WP(C).No. 31201 of 2009(U) -------------------------- PETITIONER(S): --------------- INDIAN OIL CORPORATION LTD, PANAMPILLY NAGAR,ERNAKULAM,COCHIN-682 036. REP.BY J.BOOMINATHAN,MANAGER(FINANCE). BY ADV. SRI.JOSE JOSEPH RESPONDENT(S): --------------- 1. THE INTELLIGENCE OFFICER(IB), ERNAKULAM,OFFICE OF THE DEPUTY COMMISSIONER, (INTELLIGENCE),COMMERCIAL TAXES,ERNAKULAM AT EDAPPALLY. 2. THE DEPUTY COMMISSIONER (APPEALS), COMMERCIAL TAXES,ERNAKULAM. 3. THE INSPECTING ASSISTANT COMMISSIONER, COMMERCIAL TAXES,CIVIL STATION,KAKKANAD, ERNAKULAM. GOVERNMENT PLEADER SRI.C.K.GOVINDAN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 04/11/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: C.K.ABDUL REHIM, J. ------------------------------ W.P.(C).No.31201 OF 2009 ------------------------------ Dated this the 4th day of November, 2009 J U D G M E N T ---------------------- 1. Petitioner is challenging Ext.P3 and P4 orders whereby penalty is imposed under Section 45A of the Kerala General Sales Tax Act, for the years 2007-08 and 2008-09. Aggrieved by Ext.P3 and P4 the petitioner had already filed appeals before the 2nd respondent as evidenced by Ext.P5 and P6. Eventhough the petitioner had filed stay petitions along with the appeals, the 2nd respondent has not taken up the stay petitions for consideration and the same is still pending. Without taking into consideration of pendency of the appeals now recovery steps have been initiated, as evidenced by Ext.P9 and P10. Therefore the petitioner is seeking directions for early disposal of the appeal and till then to keep in abeyance the recovery steps. 2. The impugned orders of penalty are issued mainly on the ground that the petitioner had failed to produce certificates as contemplated in S.R.O.474/05, with respect to sale of Petroleum products effected to the Union Territory of Lakshadweep. According to the petitioner they had received all such certificates subsequently, and copies of some of such W.P.(C).31201/09-U 2 certificates were produced even before finalisation of the impugned proceedings. It is submitted that the petitioner is ready and willing to produce the entire certificates obtained from the Union Territory of Lakshadweep before the 2nd respondent appellate authority. With respect to sale of Aviation Turbine Fuel (ATF) to non-scheduled airline companies, it is contended that as and when the petitioner came to know about the change in the rate of tax, he had collected tax at the higher rate and the same was paid. Under the above circumstances it is contended that the imposition of penalty is not at all sustainable and the petitioner is ready and willing to produce all material evidence in this regard before the appellate authority. 3. Having considered facts and circumstances and on advertence to the contentions raised, I am of the opinion that there is a strong prima facie case made out by the petitioner which need be examined by the 2nd respondent appellate authority while disposing the appeals. 4. Under the above circumstances the writ petition is disposed of directing the 2nd respondent to consider and pass orders on Ext.P5 and P6 appeals, after affording opportunity of hearing to the petitioner, as early as possible, at any rate within a period of one month from the date of receipt of a copy of this judgment. W.P.(C).31201/09-U 3 5. The respondents are directed to keep in abeyance further coercive steps for realisation of the amount of penalty covered under Ext.P3 and P4, initiated pursuant to Ext.P9 and P10 notices, till orders are passed on the appeals as directed above. C.K.ABDUL REHIM, JUDGE. okb