IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE S.SIRI JAGAN MONDAY, THE 19TH SEPTEMBER 2011 / 28TH BHADRA 1933 WP(C).No. 24887 of 2011(I) -------------------------------------- PETITIONER(S): ------------------------ M/S.C.K. TRADERS, 17/124, MAIN ROAD, THATHAMANGALAM P.O., PALAKKAD, REPRESENTED BY ITS PROPRIETOR, M. SAHABUDEEN. BY ADV. SRI.JOY THATTIL ITTOOP, SRI.A.G.ADITYA SHENOY. RESPONDENT(S): -------------------------- 1. STATE OF KERALA, REPRESENTED BY ITS SECRETARY, DEPARTMENT OF COMMERCIAL TAXES, THIRUVANANTHAPURAM-695 001. 2. THE COMMERCIAL TAX OFFICER, DEPARTMENT OF COMMERCIAL TAXES, CHITTUR, PALAKKAD-678 001. 3. THE COMMERCIAL TAX OFFICER, COMMERCIAL TAX CHECK POST, WALAYAR, KERALA-678 624. R1 TO R3 BY GOVT. PLEADER MR.SHAMSUDEEN V.K. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 19/09/2011,THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: rs WP(C).No. 24887 of 2011(I) APPENDIX PETITIONER'S EXHIBITS: EXT.P1: COPY OF THE CERTIFICATE OF REGISTRATION DATED 19/06/2007 ISSUED BY THE 2ND RESPONDENT. EXT.P2: COPY OF THE WORKS CONTRACT NO.570058 AWARDED BY HINDUSTAN NEWSPRINT LIMITED KOTTAYAM. EXT.P3: COPY OF THE INVOICE NO.PCI/CRN/2011-12/024 DATED 12/08/2011. EXT.P4: COPY OF THE CERTIFICATE OF OWNERSHIP UNDER FORM 16. EXT.P5: COPY OF THE SHOW CAUSE NOTICE DATED 07/09/2011 ISSUED BY THE 3RD RESPONDENT UNDER SECTION 47(2) OF THE KERALA VALUE ADDED TAX ACT. EXT.P6: COPY OF THE REPLY DATED 09/09/2011 FILED BY THE PETITIONER. RESPONDENT'S EXHIBITS: NIL. //TRUE COPY// P.S. TO JUDGE rs S. Siri Jagan, J. =-=-=-=-=-=-=-=--=-=-=-=-=-=-=-=-=-= W.P(C) No. 24887 of 2011 =-=-=-=-=-=-=-=-=--=-=-=-=-=-=-=-=-= Dated this, the 19th day of September, 2011. J U D G M E N T A crane purchased by the petitioner for executing a works contract was detained during transport on allegation of attempt to evade tax by issuing Ext.P5 notice directing the petitioner to furnish cash security for the amount covered by Ext.P5 pending further proceedings. This is under challenge in this writ petition. According to the petitioner, there is absolutely no reason to suspect evasion of tax insofar as the petitioner has purchased the crane only for execution of a works contract entered into by the petitioner with M/s. Hindustan News Print Ltd. The petitioner therefore seeks release of the crane. This is opposed by the learned Government Pleader, who points out that sufficient reasons have been mentioned in Ext.P5 for suspecting evasion of tax. 2. Having heard both sides, I dispose of this writ petition with a direction to the 3rd respondent to release the crane on the petitioner furnishing bank guarantee as security for the amount covered by Ext.P5. The appropriate authority under the Act shall complete proceedings pursuant to Ext.P5 as expeditiously as possible, at any rate within 3 months from the date of receipt of a copy of this judgment. The security furnished by the petitioner would be dealt with in accordance with the final orders to be passed. Sd/- S. Siri Jagan, Judge. Tds/