IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM TUESDAY, THE 28TH SEPTEMBER 2010 / 6TH ASWINA 1932 WP(C).No. 29784 of 2010(W) ------------------------------------------ PETITIONER(S): ------------------------ K.A.SUDHAKARAN,KOTTARAM TRADERS, PULPPALLY,WYNAD. BY ADVS. SRI.N.MURALEEDHARAN NAIR SMT.K.HYMAVATHY RESPONDENT(S): -------------------------- 1. INTELLIGENCE OFFICER,SQUAD NO.11, COMMERCIAL TAXES,SULTHAN BATHERY , WAYANAD 673 592 2. DEPUTY COMMISSIONER(APPEALS), COMMERCIAL TAXES,KOZHIKODE 673 006. 3. INSPECTING ASSISTANT COMMISSIONER(INT) COMMERCIAL TAXES,KALPETTA 673 121. BY GOVT. PLEADER SRI.C.K.GOVINDAN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 28/09/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: tss C.K.ABDUL REHIM, J. ------------------------------------------- W.P.(C).No.29784 of 2010 ------------------------------------------- Dated this the 28th day of September, 2010 J U D G M E N T ---------------------- Aggrieved by Ext.P2 order imposing penalty under Section 47(2) of the Kerala Value Added Tax Act, 2003 (KVAT Act), the petitioner had preferred Ext.P3 appeal before the 2nd respondent. Ext.P4 is the stay petition filed along with the appeal. 2. At the time when the transport was detained, the petitioner had furnished security by way of Bank Guarantee, for release of the goods. When the respondent attempted to encash the Bank Guarantee even without issuing a copy of the order imposing penalty, the petitioner had approached this court on an earlier occasion, and the encashment of Bank Guarantee was restrained. According to the petitioner, the Bank Guarantee in question is kept still alive. Under such circumstances, the petitioner seeks direction for disposal of the appeal on an early basis and till then to restrain encashment of the Bank Guarantee. 3. Heard, learned Government Pleader appearing for W.P.(C).29784/10-W -2- the respondents. Since the amount of penalty is fully secured by way of Bank Guarantee furnished by the petitioner, I am of the opinion that the writ petition can be disposed of directing the appellate authority to consider and pass orders on the appeal and till then to restrain recovery of the amount covered under the order imposing penalty. 4. The writ petition is accordingly disposed of directing the 2nd respondent to consider and pass orders on Ext.P3 appeal at the earliest possible, after affording an opportunity of hearing to the petitioner, at any rate within a period of six weeks from the date of receipt of a copy of this judgment. 5. Till such time orders are passed by the 2nd respondent as directed above, realisation of amount covered under Ext.P1 shall be kept in abeyance provided the petitioner keeps the Bank Guarantee alive. 6. The petitioner will produce copy of this judgment before the 2nd respondent. C.K.ABDUL REHIM, JUDGE. okb