IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) FRIDAY, THE EIGHTEENTH DAY OF APRIL TWO THOUSAND AND EIGHT PRESENT THE HON'BLE MR JUSTICE B.PRAKASH RAO And THE HON'BLE MR JUSTICE C.V.RAMULU WRIT PETITION NO.8594 of 2008 Between: M/s. Mahindra International Ltd., Park lane, Secunderabad, Rep by its Authorised signatory Mr.A.Kameswara Rao. ...PETITIONER AND 1. The Commercial Tax Officer, S.D.Road Circle, Secunderabad. 2 The Commercial Tax Officer, Bowenpally Circly, Hyderabad. 3 The Deputy Commercial Tax Officer, S.D. Road Circle, Secunderabad. 4. The Appellate Deputy Commissioner (CT), Punjagutta Division. ...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 an appropriate Writ, order or direction more particularly on the in the nature of Writ of Mandamus declaring the action of the 4th respondent in dismissing the stay application filed by the petitioner seeking stay of recovery of the disputed penalty of Rs.37,90,000/- for the tax period November, 2005 under APVAT Act 2005 through the impugned orders Dt.27-3-2008 and the consequential action of the 3rd respondent in issuing the impugned notice Dt.11-4- 2008 insisting for payment of the disputed penalty amount and contemplating to take coercive action for recovery of the disputed penalty amount as illegal arbitrary and high handed without authority of law and jurisdiction and set aside the same and refrain the 3rd respondent from taking any coercive steps for recovery of the disputed penalty pending disposal of the appeal before the 4th respondent and pass such other order or orders as this Hon'ble Court may deem fit and proper in the circumstances of the case. Counsel for the Petitioner: MR.BHASKAR REDDY VEMIREDDY Counsel for the Respondents: SPECIAL SC FOR COMMERCIAL TAX The Court made the following: THE HON'BLE MR JUSTICE B.PRAKASH RAO And THE HON'BLE MR JUSTICE C.V.RAMULU WRIT PETITION NO.8594 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 Appellate Deputy Commissioner (CT), Punjagutta Division, Hyderabad. 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 % (Twenty Five Percent) 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.V.RAMULU, J) 18th April 2008 grk Note: Furnish wire at party’s cost. B/o grk