IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) WEDNESDAY, THE ELEVENTH DAY OF JUNE TWO THOUSAND AND EIGHT PRESENT THE HON'BLE MRS JUSTICE T.MEENA KUMARI and THE HON'BLE MR JUSTICE RAMESH RANGANATHAN WRIT PETITION NO : 11843 of 2008 Between: M/s. Berger Paints (India) Limited, Sy.No. 133, Plassey Lanes, MBN Reddy Estate, Malla Reddy Gardens, Boinpally, Secunderabad, Rep. by its Administrative Officer Mr. G. Srinivasa Rao. ..... PETITIONER AND 1 The Assistant Commissioner (CT), LTU, Charminar Division, Hyderabad. 2 The Appellate Deputy Commissioner (CT), Punjagutta Division, Hyderabad. .....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 one in the nature of Writ of Mandamus declaring the action of the 2nd respondent in rejecting the stay application filed by the Petitioner for the assessment year 2004-2005 under the APGST Act through the impugned proceedings Dt. 22-5-2008 as illegal, arbitrary, high handed and to set aside the same and restrain the 1st respondent from taking any coercive steps for recovery of the disputed tax of Rs. 39,25,259/- under the APGST Act for the assessment year 2004-2005 pending disposal of the appeal before the 2nd respondent and pass Counsel for the Petitioner: MR.BHASKAR REDDY VEMIREDDY Counsel for the Respondents.: SRI K. RAJI REDDY, SPL. STANDING COUNSEL FOR COMMERCIAL TAX The Court made the following : THE HON'BLE MRS JUSTICE T.MEENA KUMARI and THE HON'BLE MR JUSTICE RAMESH RANGANATHAN WRIT PETITION NO : 11843 of 2008 ORDER: (Per Hon’ble Smt. Justice T. Meena Kumari) This writ petition is filed by the petitioner seeking to declare the action of the 2nd respondent in rejecting the stay petition as illegal and arbitrary and to restrain the 1st respondent from taking any coercive steps for recovery of the disputed tax of Rs.39,25,259/- for the assessment year 2004-2005, pending disposal of the appeal before the 2nd respondent. The main grievance of the petitioner is that against the assessment order passed by the 1st respondent, an appeal has been preferred before the 2nd respondent and along with the said appeal, an application seeking stay of collection of the disputed tax was filed, but the said application was rejected and taking advantage of the said rejection order, the 1st respondent is insisting for payment of the disputed tax. Hence, the present writ petition has been filed by the petitioner. Heard the learned Counsel appearing for the petitioner and the learned Special Standing Counsel for Commercial Tax and perused the material available on record. It is the contention of the learned Counsel for the petitioner that the petitioner has preferred an appeal before the 2nd respondent and the same is pending and that at the time filing the appeal, the petitioner has already paid 12.5% of the disputed tax and in these circumstances, if the relief of stay is not granted and if the disputed tax is recovered, the very purpose of filing the appeal before 2nd respondent would be defeated. In the facts and circumstances of the case and in view of the fact that the appeal is pending before the 2nd respondent, without expressing any opinion on the merits of the case, We feel it a fit case wherein stay can be granted, but subject to certain conditions. Accordingly, there shall be stay of recovery of the disputed tax for the assessment year 2004-2005 pending disposal of the appeal before the 2nd respondent subject to the condition of the petitioner depositing 50% of the disputed tax, within a period of six weeks from today. However, it is made clear that the amount paid if any, shall be given credit to the above stipulated sum. Subject to the above direction, the writ petition is disposed of. No order as to costs. ________________________ Justice T. Meena Kumari ___________________________ Justice Ramesh Ranganathan Date: 11th June, 2008 Note: Issue C.C. on Monday (BO) Gurc/nn. THE HON'BLE MRS JUSTICE T.MEENA KUMARI and THE HON'BLE MR JUSTICE RAMESH RANGANATHAN WRIT PETITION No:11843 OF 2008 (Order delivered by the Hon’ble Smt. Justice T. Meena Kumari) 11/06/2008