IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM WEDNESDAY, THE 6TH OCTOBER 2010 / 14TH ASWINA 1932 WP(C).No. 30457 of 2010(F) ------------------------------------------ PETITIONER(S): ------------------------ V.N.BINDU, PROPRIETOR, M/S.NANDA MARKETING COMPANY, PULLEPPADY CROSS ROAD, ERNAKULAM. BY ADVS. SRI.V.MADHUSUDHANAN, SRI.B.UNNIKRISHNA KAIMAL, SRI.T.ISSAC. RESPONDENT(S): --------------------------- 1. THE INTELLIGENCE INSPECTOR, SQUAD NO.III, COMMERCIAL TAXES, ALAPPUZHA - 673 301. 2. THE INTELLIGENCE OFFICER, SQUAD NO.III, COMMERCIAL TAXES, ALAPPUZHA- 673 301. 3. THE ASSISTANT COMMISSIONER, INTELLIGENCE, COMMERCIAL TAXES, ALAPPUZHA- 673 301. R1 TO R3 BY GOVERNMENT PLEADER SRI. C.K.GOVINDAN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 06/10/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: Kss C.K.ABDUL REHIM, J. ------------------------------------------- W.P.(C).No.30457 of 2010 ------------------------------------------- Dated this the 6th day of October, 2010 J U D G M E N T ---------------------- Detention under Section 47(2) of the Kerala Value Added Tax Act, 2003 (KVAT Act) is under challenge. Ext.P3 notice shows the reasons for detention as the transport was not accompanied by the transporter copy (duplicate copy) of the invoice, but only the original was available. Further, the detaining authority found that eventhough the invoice is dated 30.9.2010, the transport was effected only on 2.10.2010. Hence it is suspected that the consignor might have transported goods on the strength of the copy of the invoice on some earlier occasion. 2. According to the petitioner, the delay caused in transportation was due to non-availability of vehicle and the original of the invoice happened to be accompanied with the transport only because the vehicle was arranged by the consignor. On the other hand, Government Pleader appearing on behalf of W.P.(C).30457/10- -2- respondents submitted that there is every chance to presume that there was an attempt in evasion of payment of tax. 3. Since the enquiry contemplated under Section 47 need be completed, I am not entering on any findings regarding merit of the matter. The detention need not be continued till finalisation of the enquiry. 4. Under the above circumstances the goods detained under Ext.P3 notice along with the vehicle is directed to be released on the petitioner making payment of 50% of the amount or furnishing Bank Guarantee for 50% of the amount demanded under Ext.P3. The petitioner shall also furnish a Security Bond in the format prescribed under the KVAT Rules, without sureties, for the balance 50%. 5. The competent authority shall expedite the enquiry and finalise the same after affording an opportunity of hearing to the petitioner, at the earliest possible, at any rate within a period of six weeks from the date of release of the goods. C.K.ABDUL REHIM, JUDGE. okb