IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM MONDAY, THE 13TH SEPTEMBER 2010 / 22ND BHADRA 1932 WP(C).No. 28256 of 2010(F) -------------------------- PETITIONER: ------------- TIDE WATER HEALTH CARE SOLUTIONS PVT. LTD., NEAR NIPPON TOYOTA, NETTOOR P.O., MARADU, ERNAKULAM DISTRICT, KERALA-682 304. BY ADV. SMT.T.RADHAMANI RESPONDENTS: --------------- 1. THE INTELLIGENCE OFFICER, SQUAD NO.III, COMMERCIAL TAXES, ERNAKULAM-13. 2. THE DEPUTY COMMISSIONER (APPEALS), COMMERCIAL TAXES, COMMERCIAL TAX COMPLEX, ERNAKULAM-13. GOVT. PLEADER SRI.C.K.GOVINDAN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 13/09/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: C.K.ABDUL REHIM, J. -------------------------------------- W.P.(C).No.28256 of 2010 -------------------------------------- Dated this the 13th day of September, 2010 J U D G M E N T ---------------------- Ext.P13 is an order issued by the 1st respondent under Section 47(6) of the Kerala Value Added Tax Act, 2003, imposing penalty to the tune of Rs.16,25,000/- on the petitioner. The proceedings were initiated pursuant to interception of a transport, under Section 47(2) of the KVAT Act. Goods detained were released to the petitioner pursuant to Ext.P4 judgment of this court on the petitioner furnishing Bank Guarantee for the security deposit demanded. In Ext.P13 the 1st respondent had ordered to adjust the amount of Bank Guarantee towards penalty imposed. Aggrieved by Ext.P13 the petitioner had already approached the Appellate Authority by filing Ext.P14 appeal. It is also submitted that applications seeking interim stay as well as early hearing of the matter was W.P.(C).28256/10-F -2- filed along with the appeal. Grievance of the petitioner is that without considering pendency of the appeal the 1st respondent is now taking steps for realising the Bank Guarantee. Hence the petitioner is seeking direction for an early disposal of the appeal and till then to restrain realisation of the amounts covered under the Bank Guarantee. 2. Heard, Government Pleader appearing for the respondents. Having considered the fact that the amount of penalty imposed is fully secured through Bank Guarantee, I am of the opinion that realisation of the amount can be directed to be kept in abeyance till the appeal is disposed of. 3. Under the above circumstances the writ petition is disposed of directing the 2nd respondent to consider and pass orders on Ext.P14 appeal, after affording an opportunity of hearing to the petitioner, as early as possible, at any rate within a period of six weeks from the date of receipt of a copy of this judgment. Till such time W.P.(C).28256/10-F -3- orders are passed on the appeal, realisation of the amount covered under the Bank Guarantee furnished by the petitioner shall be kept in abeyance, provided the petitioner takes steps to keep the Bank Guarantee alive. The petitioner will produce a copy of this judgment before the 2nd respondent. C.K.ABDUL REHIM, JUDGE. okb