IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) TUESDAY THE FIRST DAY OF APRIL TWO THOUSAND AND EIGHT PRESENT THE HON'BLE MR JUSTICE B.PRAKASH RAO & THE HON'BLE MR JUSTICE C.Y.SOMAYAJULU WRIT PETITION No.4911 of 2008 Between: M/s.Central Power Distribution Company of AP Limited Red Hills,Sitaramprasad mansion, Opp:Singareni bhavan Hyderabad, rep.by its Chief General Manager(Expr) Sri Syed Bilal basha ..... PETITIONER AND 1 The Commercial Tax officer, Khairatabad Circle Hyderabad 2 The Appellate Deputy Commercial (CT), Punjagutta Divison, Hyderabad 3 The Additional Commissioner (CT) Legal, 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 to issue a writ or order direction particularly one in the nature of writ of mandamus granting stay of collection of the disputed penalty of Rs.38,44,227/- for the assessment year 2001- 02(APGST) arising in pursuance of the stay rejection orders of the third respondent dated 12.2.2008 passed in CCTs.Ref.No.LIII(2)/75/2008 pending disposal of the appeal before the Sales TAx Appellate Tribunal or to pass Counsel for the Petitioner: MR.S.KRISHNA MURTHY Counsel for the Respondent No.: GP FOR COMMERCIAL TAX The Court made the following: Form-NIC-OGS/WP{TRK} THE HON'BLE MR JUSTICE B.PRAKASH RAO & THE HON'BLE MR JUSTICE C.Y.SOMAYAJULU WRIT PETITION No.4911 of 2008 ORDER: (per Hon’ble Sri Justice B,Prakash Rao) Heard Sri S.Krishna Murthy, learned counsel appearing for the petitioner and Sri A.Krishna Kountanya, learned Special Government Pleader for Commercial Taxes and at their request, the writ petition itself is taken up for disposal at the admission stage. The petitioner filed this writ petition, inter alea, assailing the order of refusal to grant stay pending the substantive appeal on the file of the Sales Tax Appellate Tribunal, Hyderabad, passed by the 3rd respondent vide proceedings in CCT’s Ref.No.LIII(2)/75/2008, dated 12.02.2008. The subject matter in the appeal is with regard to levy of penalty, which according to the petitioner such levy of penalty does not arise. The learned Government Pleader for Commercial Taxes on the other hand sought to sustain the impugned order. Both the counsel advanced their arguments at length in regard to the provision of law noted in the penalty order and its correctness including its sustainability. However, having regard to the fact that the main appeal is yet to be heard and disposed of on merits by the Sales Tax Appellate Tribunal on hearing both sides, We refrain to express any opinion on those aspects. Either party is at liberty to put forth their contentions before the Sales Tax Appellate Tribunal at the time of hearing of the appeal. Having regard to the fact that since the subject matter in the appeal is with regard to levy of penalty, We feel that the interests of justice would have been met if stay was granted pending appeal, subject to deposit of 25% of the disputed penalty. Therefore, We set aside the order of the 3rd respondent dated 12.02.2008 and direct that 25% of the disputed penalty shall be paid by the petitioner within a period of eight weeks from today. For eight weeks, there shall be an unconditional stay and stay shall continue till disposal of appeal, provided the amount is deposited within the stipulated time. The deposit of amount shall be without prejudice to the rights of the petitioner in appeal. If any amount has already been paid by the petitioner, the same shall be given credit. The Writ Petition is accordingly disposed of. No order as to costs. ____________________ B.PRAKASH RAO,J ___________________ C.Y.SOMAYAJULU.J Dated: 01.04.2008 Dsr Note: Issue copy in two days B/o Dsr ... REGISTRAR // TRUE COPY // SECTION OFFICER To 1 The Commercial Tax officer, Khairatabad Circle Hyderabad 2 The Appellate Deputy Commercial (CT), Punjagutta Divison, Hyderabad 3 The Additional Commissioner (CT) Legal, Hyderabad 4.2CCs to 5.2CD copies