IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE S.SIRI JAGAN WEDNESDAY, THE 31ST AUGUST 2011 / 9TH BHADRA 1933 WP(C).No. 23517 of 2011(L) --------------------------------------- PETITIONER(S): ------------------------ M/S.GODREJ & BOYCE MFG. CO. LTD., NO.1, SIDCO INDUSTRIAL ESTATE, AMDATTUR, CHENNAI-600 098, REPRESENTED BY ITS KOCHI BRANCH COMMERCIAL MANAGER, SRI.T.V.SCARIYACHAN. BY ADV. SRI.TOMSON T.EMMANUEL RESPONDENT(S): ------------------------- 1. COMMERCIAL TAX INSPECTOR, COMMERCIAL TAXES CHECK POST, WALAYAR-678 101. 2. COMMISSIONER OF COMMERCIAL TAXES, PUBLIC OFFICE BUILDING, NEAR MUSEUM, THIRUVANANTHAPURAM-695 033. 3. STATE OF KERALA, REPRESENTED BY SECRETARY TO GOVT., SECRETARIAT, THIRUVANANTHAPURAM-695 001. R1 TO R3 BY GOVT. PLEADER MR.C.K. GOVINDAN. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 31/08/2011,THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: rs WP(C).No. 23517 of 2011(L) APPENDIX PETITIONER'S EXHIBITS: EXT.P1: COPY OF THE PURCHASE ORDER NO.CLPL/PO/SCM/11-12/009 DATED 14/06/2011 ISSUED TO THE PETITIONER BY M/S.CAPRICORN LOGISTICS PVT. LTD. FOR THE SUPPLY OF PRE-FABRICATED PALLET RACKS. EXT.P1(a): COPY OF THE DECLARATION DATED 16/08/2011 ISSUED TO THE PETITIONER BY M/S.CAPRICORN LOGISTICS PVT. LTD., DECLARING NON LIABILITY TO GET REGISTERED UNDER STATE LAWS OF CONSIGNEE STATE. EXT.P2: COPY OF THE TAX INVOICE NO.GZI/11041101 DATED 18/08/2011 RAISED BY THE PETITIONER, AFTER COLLECTING EXCISE DUTY AND FULL RATE OF CENTRAL SALES TAX AS PER THE LAW OF THE CONSIGNOR STATE. EXT.P3: COPY OF THE LORRY RECEIPT NO.002148 DATED 18/08/2011 ISSUED BY THE TRANSPORTER HINDUSTAN ROAD WINGS CORPORATION, CHENNAI, ACKNOWLEDGING EXT.P2. EXT.P4: COPY OF THE NOTICE NO.OR.398/2/11-12 DATED 23/08/2011, ISSUED BY THE 1ST RESPONDENT, TO THE PETITIONER. EXT.P5: COPY OF THE REPLY DATED 24/08/2011 SUBMITTED BY THE PETITIONER AGAINST EXT.P4 NOTICE, BEFORE THE 1ST RESPONDENT. EXT.P5(a): COPY OF THE CERTIFICATE OF OWNERSHIP IN FORM NO.16 DATED 18/08/2011, SUBMITTED BY THE PETITIONER BEFORE THE 1ST RESPONDENT, ALONG WITH EXT.P5. EXT.P5(b): COPY OF THE SERVICE TAX REGISTRATION CERTIFICATE NO.AABCC6364MST001 DATED 27/03/2007 ISSUED BY SERVICE TAX AUTHORITIES IN MUMBAI. EXT.P6: COPY OF THE CIRCULAR NO.20/2006 DATED 08/05/2006 ISSUED BY THE 2ND RESPONDENT IN CLARIFYING THAT FOR INCOMING GOODS, COMING FROM OUTSIDE THE STATE, NOT TO INSIST DOCUMENT UNDER THE CONSIGNEE STATE LAWS. EXT.P7: COPY OF THE JUDGMENT OF THIS HONOURABLE COURT REPORTED IN KTR 244(KER) IN THE CASE OF RASAL TRADE LINKS Vs. SALES TAX INSPECTOR & ORS., UPON A SIMILAR SITUATION. RESPONDENT'S EXHIBITS: NIL. //TRUE COPY// P.A. TO JUDGE rs S. SIRI JAGAN, J. - - - - - - - - - - - - - - - - - - - - - - - W.P.(C)No. 23517 of 2011 - - - - - - - - - - - - - - - - - - - - - - - Dated this the 31st day of August, 2011 J U D G M E N T Certain goods transported by the petitioner has been detained by the 1st respondent on allegation of attempt to evade tax primarily on the ground that the petitioner is not a registered dealer. The petitioner's contention is that, the petitioner is not liable to take out registration since the petitioner is a non-banking financial institution. The petitioner therefore seeks release of the goods and vehicle unconditionally. 2. This is opposed by the learned Government Pleader. According to him, the contentions of the petitioner are to be verified and if in the meanwhile the goods have to be released to the petitioner, the petitioner has to provide sufficient guarantee insofar as the petitioner is not a registered dealer. Having heard both sides, I dispose of this writ petition W.P.(C)No. 23517 of 2011 -2- with a direction to the respondents to release the goods and vehicle to the petitioner, on the petitioner depositing 50% of the amount covered by Ext.P4 and furnishing a simple bond without sureties for the balance amount. The appropriate authority under the Act shall complete the proceedings pursuant to Ext.P4 as expeditiously as possible, at any rate, within a period of three months from the date of receipt of a copy of this judgment. The security furnished by the petitioner shall be dealt with in accordance with the final orders to be passed. The deposit of the 50% can either be by the consignor or by the consignee. But the bond shall be executed by both together. Sd/- S. SIRI JAGAN JUDGE //True copy// P.A. TO JUDGE shg/