IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) MONDAY, THE THIRTY FIRST DAY OF MARCH TWO THOUSAND AND EIGHT PRESENT THE HON'BLE MR JUSTICE B.PRAKASH RAO And THE HON'BLE MR JUSTICE C.Y.SOMAYAJULU WRIT PETITION NO.6773 of 2008 Between: M/s.Sri Chakra Enterprises, rep.by its Proprietor B.Rajaiah, S/o.B.Yadagiri 3-11-493, Mansoorbad, L.B.Nagar, Ranga Reddy District. ...PETITIONER AND 1 The Appellate Dy.Commissioner (CT), Hyderabad Rural Divison, Hyderabad. 2 The Commercial Tax Officer, Vanasthalipuram 3rd floor, Manoranjan Complex, Nampally, 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 a writ or direction more particularly one in the nature of writ of mandamus declaring the order dated 5.3.2008 in Appeal No.S/70/2007-08 VAT rejecting the stay of collection of the disputed taxes for the period from November 2006 to April 2007 by the 1st respondent as illegal, arbitrary, and contrary to the provisions of Andhra Pradesh VAT Act and set aside the same and direct the 2nd respondent not to collect the disputed penalty of Rs.10,57,977/- pending disposal of the main appeal before the 1st respondent. Counsel for the Petitioner: MR.KUNUKUDURGAPRASAD Counsel for the Respondents: GP FOR COMMERCIAL TAX The Court made the following: THE HON'BLE MR JUSTICE B.PRAKASH RAO And THE HON'BLE MR JUSTICE C.Y.SOMAYAJULU WRIT PETITION NO.6773 of 2008 ORDER: (Per the Hon’ble Mr Justice B.Prakash Rao) Heard both the sides and at their request, the main writ petition itself is taken up for disposal. The petitioner herein is aggrieved against the orders of not granting stay and issuing garnishee notice pending appeal on the file of the Sales Tax Appellate Tribunal. Having heard the learned counsel and on perusal of the material on record, since the appeal is pending involving several substantial questions, it is suffice in the interest of justice to grant stay subject to certain conditions. The Writ Petition is disposed of granting stay pending disposal of the appeal, on a condition of the petitioner depositing 25% of the disputed tax within a period of six weeks from today. The amounts, if any, paid already shall be given credit to. The impugned garnishee notice shall stand suspended till the disposal of the appeal. The appeal shall be disposed of on merits after giving notice and opportunity to both the sides. _________________ (B.PRAKASH RAO, J) __________________ (C.Y.SOMAYAJULU, J) 31st March 2008 RRB