IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE S.SIRI JAGAN TUESDAY, THE 18TH JANUARY 2011 / 28TH POUSHA 1932 WP(C).No. 516 of 2011(L) ------------------------ PETITIONER(S): --------------- K.T.SHAJI, KOCHUMUTTATH TRADERS, MAMPAD, MALAPPURAM DISTRICT. BY ADV. SRI.N.MURALEEDHARAN NAIR SMT.K.HYMAVATHY RESPONDENT(S): --------------- INTELLIGENCE INSPECTOR, SQUAD NO.IV, COMMERCIAL TAXES, PALAKKAD-678 001. GOVT. PLEADER SHRI.V.K.SHAMSUDEEN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 18/01/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: S.SIRI JAGAN, J. ================== W.P.(C).No.516 of 2011 ================== Dated this the 18th day of January, 2011 J U D G M E N T The petitioner is a dealer under the Kerala Value Added Tax Act. Goods belonging to the petitioner were detained under Section 47(2) of the Act for alleged attempt to evade tax. The petitioner filed this writ petition challenging the same. On 7.1.2011, this Court passed the following interim order: “Heard counsel for the petitioner and Government Pleader appearing for the respondent. 2. The reason for detention stated in Ext.P3 is mainly that the bills evidencing purchase of the goods by the petitioner as well as the bill with respect to the sale on the basis of which the transport was effected, were not accompanied with the goods. It is also mentioned that the authority found that on physical verification there is difference in weight when compared with the entries in the delivery note, which is the only document accompanied. 3. According to learned counsel for the petitioner, the goods transported were purchased from registered dealers as well as own goods which was procured locally and since the transaction was covered by departmental delivery note, there is absolutely no suppression of any attempt or evasion of payment of tax. Learned Government Pleader, on the other hand contended that there was no reason as to why the purchase bills were not accompanied with the transport. He further point out the considerable difference in the weight, which is suspicious. 4. However, the question whether there was any attempt in evasion of tax is a matter which need be decided on finalisation of the enquiry. I am of the view that the goods can be released on the petitioner furnishing proper security. 5. There will be an interim direction to the respondent to release the goods on the petitioner remitting 'Advance Tax' on the basis of valuation arrived in Ext.P3 notice, without prejudice to completion of enquiry contemplated under Section 47 and also on w.p.c.516/11 2 furnishing security bond for the amount demanded under Ext.P3, in the form prescribed under the Kerala Value Added Tax Rules, without sureties. Post the matter for further consideration on 14.01.2011.” 2. In view of the interim order directing release of the goods on security, nothing remains to be done by this Court in this writ petition except to direct the respondent to complete the proceedings pursuant to detention, expeditiously. Accordingly, this writ petition is disposed of with a direction to the respondent to complete the proceedings pursuant to the detention of the goods expeditiously. The security furnished by the petitioner for release of the goods as per the order of this Court shall be dealt with in accordance with the orders to be passed pursuant to the detention. The writ petition is disposed of as above. Sd/- sdk+ S.SIRI JAGAN, JUDGE ///True copy/// P.A. to Judge