IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE K.M.JOSEPH WEDNESDAY, THE 23RD JULY 2008 / 1ST SRAVANA 1930 WP(C).No. 22134 of 2008(I) -------------------------- PETITIONER: ----------------- BEEPATH CASTINGS (P) LTD., NIDA, KANJIKODE, PALAKKAD, REP. BY ITS MANAGING DIRECTOR, MOIDEENKOYA.P.K. BY ADV. DR.K.B.MUHAMED KUTTY (SR.) SRI.K.M.FIROZ RESPONDENTS: --------------------- 1. ASSISTANT COMMISSI0NER (AUDIT ASSESSMENT), COMMERCIAL TAXES, PALAKKAD. 2. THE DEPUTY COMMISSIONER (APPEALS), COMMERCIAL TAXES, ERNAKULAM. BY GOVT. PLEADER SRI. C.K. GOVINDAN. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 23/07/2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: K.M.JOSEPH, J. - - - - - - - - - - - - - - - - - - - - - - - - - WP.(C) No.22134 of 2008 - - - - - - - - - - - - - - - - - - - - - - - - - Dated this the 23rd day of July, 2008 JUDGMENT Ext.P1 is an order imposing penalty in a sum of nearly Rs.50 Lakhs. Petitioner preferred appeal. He had also filed an application for stay. Stay was granted by Ext.P5 subject to the condition that the petitioner pays 60% of the penalty amount and furnishes security for the balance amount. 2. I heard learned Senior Counsel for the petitioner Dr.K.B.Mohamedkutty and the learned Government Pleader. Dr.K.B.Mohamedkutty points out that having regard to the position obtained at law in fact penalty proceedings itself is illconceived. This is a submission made in the context of the fact that the petitioner had already compounded and he also draws support from the decision of a learned Single Judge reported in P.P.Varkey & Co. v. Sales Tax Officer-1, Chalakudy and Others ((1999) 7 KTR 585). He also submits that at any rate having regard to the fact that it is a penalty, the imposition of condition of 60% is too onerous and this court may relieve the petitioner from the condition. WPC. 22134/2008. 2 3. Having gone through the order imposing penalty, I am of the view that the interests of justice will be served instead of directing the petitioner to pay 60% of the penalty, the petitioner can be directed to pay 50% of the penalty. Accordingly, the writ petition is disposed of modifying Ext.P5 and ordering that it suffices that the petitioner pays 50% of the penalty and furnishes security for the balance amount. Petitioner is granted two weeks time from today to comply with Ext.P5 order as modified by this judgment. (K.M. JOSEPH, JUDGE) sb