IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) FRIDAY, THE TWENTY FIFTH DAY OF JULY TWO THOUSAND AND EIGHT PRESENT THE HON'BLE MRS JUSTICE T.MEENA KUMARI & THE HON'BLE MR JUSTICE RAMESH RANGANATHAN WRIT PETITION NO : 16090 of 2008 Between: M/s. Santhoshimatha Groundnut Oil Mill, T. Thirumalagiri Village, Thungathurthy Taluk, Nalgonda District rep by its proprietor Sri Bukka Laxmaiah ..... PETITIONER AND 1 Commercial Tax Officer, Suryapet, Nalgonda 2 Appellate Deputy Commissioner (CT), Hyderabad Rural Division. 3 The secretary, Sales Tax Appellate Tribunal Hyderabad bench, 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 an appropriate Writ, order or direction, more particularly one in the nature of Writ of Mandamus declaring the action of the ﬁrst respondent in insisting for payment of the disputed penalty and in contemplating to take coercive steps through the impugned proceedings dated 21-7-2008 in Form I and Form IV issued under the Revenue Recovery Act, pending disposal of the Appeal before the Hon'ble Sales Tax Appellate Tribunal as illegal, arbitrary, and high handedness and restrain the first respondent from taking any coercive steps for recovery of disputed penalty of Rs. 51,01,937/- for the year 2004-05 (APGST) pending disposal of the appeal before the Hon'ble Sales Tax Appellate Tribunal and pass such other order or orders. Counsel for the Petitioner:MR.BHASKAR REDDY VEMIREDDY Counsel for the Respondents No.: SPECIAL STANDING COUNSEL 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 : 16090 of 2008 ORDER: (Per Hon’ble Smt. Justice T. Meena Kumari) This writ petition is ﬁled by the petitioner seeking to restrain the 1st respondent from taking any coercive steps for recovery of the disputed penalty of Rs.51,01,937/- for the year 2004-2005, pending disposal of the appeal before the Sales Tax Appellate Tribunal. The main grievance of the petitioner is that against the penalty imposed by the 1st respondent, an appeal had been preferred before the 2nd respondent and the said appeal was dismissed. Aggrieved by the same, the petitioner has preferred a second appeal before the tribunal and the same is pending. While so, the 1st respondent is initiating coercive steps for recovery of the disputed penalty by way of issuing Form I and Form IV under the Revenue Recovery Act. Hence, the present writ petition has been ﬁled by the petitioner seeking to direct the respondents not to take any coercive steps, pending disposal of the appeal. Heard the learned Counsel appearing for the petitioner and the learned Special Standing Counsel 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 second appeal before the tribunal challenging the imposition of penalty and the said appeal is pending and at this juncture, if the relief of stay is not granted and if the penalty is recovered, the very purpose of filing the appeal would be defeated. In the facts and circumstances of the case and in view of the fact that the appeal is pending before the tribunal, 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 penalty in question pending disposal of the appeal before the tribunal subject to the condition of the petitioner depositing 25% of the penalty in question, within a period of six weeks from today. However, it is made clear that the penalty 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: 25th July, 2008 Nn/gurc. THE HON'BLE MRS JUSTICE T.MEENA KUMARI & THE HON'BLE MR JUSTICE RAMESH RANGANATHAN WRIT PETITION No:16090 OF 2008 (Order delivered by the Hon’ble Smt. Justice T. Meena Kumari) 25/07/2008