IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE K.SURENDRA MOHAN FRIDAY, THE 16TH SEPTEMBER 2011 / 25TH BHADRA 1933 WP(C).No. 24844 of 2011(E) -------------------------- PETITIONER: -------------- M/S. BUILTECH EXPORTS, KARINKUNNAM P.O., THODUPUZHA REP. BY ITS PROPRIETOR, MR.FELIX THOMAS. BY ADV. SRI.L.RAJESH NARAYAN RESPONDENTS: ----------------- 1. STATE OF KERALA REP. BY SECRETARY, COMMERCIAL TAXES DEPARTMENT, SECRETARIAT, THIRUVANANTHAPURAM. 2. COMMERCIAL TAX INSPECTOR, COMMERCIAL TAX CHECK POST, WALAYAR. BY SENIOR GOVT. PLEADER, SRI.C.K. GOVINDAN. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 16/09/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No. 24844 of 2011(E) APPENDIX PETITIONER'S EXHIBIT: EXT.P1 : TRUE COPY OF THE NOTICE DATED 15.09.2011. /TRUE COPY/ PS TO JUDGE K. SURENDRA MOHAN, J. ------------------------------------------------------------ W.P(C) NO: 24844 OF 2011 ----------------------------------------------------------- Dated this the 16th September, 2011. JUDGMENT The petitioner complains that though he was transporting a consignment of non-malleable cast iron, the same has been detained by the second respondent for suspected evasion of tax as per Ext.P1 proceedings. According to the petitioner, the goods transported by him are liable to be taxed only at the rate of 4%. However, without any justification, tax at the rate of 12.5% has been demanded in Ext.P1. The petitioner seeks orders for the release of goods and vehicle on payment of tax at the rate of 4%. 2. The learned Govt. Pleader on the other hand submits that though the goods have been billed as non-malleable cast iron, on physical verification it was found that the vehicle contained cast iron grills which is a finished product exigible to tax at 12.5%. It was in the said circumstance that the consignment was detained. It is pointed out that the goods could be released only after completion of the adjudication process. 3. I do not think that it is necessary for the goods to be detained indefinitely, in anticipation of completion of the WPC 24844/2011 2 adjudication process. The vehicle and the goods can be released to the petitioner on his furnishing sufficient security for such release, after preparing a mahazar and if necessary, retaining a sample of the goods that were actually being transported. Authenticated photographs of the truck loaded with the articles could also be taken before release, in support of the case of the Revenue. 4. This writ petition is accordingly disposed of directing the second respondent to release the vehicle and goods detained as per Ext.P1 to the petitioner on his depositing 50% of the amount demanded in Ext.P1 and furnishing security for the balance amount by executing a personal bond. There shall be a further direction to the second respondent to complete the adjudication process as expeditiously as possible, at any rate within a period of three months from the date of receipt of a copy of this judgment. K. SURENDRA MOHAN Judge jj WPC 24844/2011 3