IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM TUESDAY, THE 26TH MAY 2009 / 5TH JYAISHTA 1931 OP.No. 22653 of 2002(V) ------------------------------------ PETITIONER(S): --------------- M/S.MUTHOOT HOTELS AND TOURISM VENTURES PRIVATE LIMITED, REPRESENTED BY ITS MANAGING DIRECTOR, MR.THOMAN JOHN MUTHOOT, MUTHOOT CENTRE, PUNNEN ROAD, THIRUVANANTHAPURAM BY ADV. SRI.V.CHITAMBARESH SRI.T.C.SURESH MENON SMT.M.R.VALSA SMT.RANJINI M.PONNACHAN RESPONDENT(S): --------------- 1. THE STATE OF KERALA, REPRESENTED BY THE SECRETARY TO REVENUE DEPARTMENT, SECRETARIAT, THIRUVANANTHAPURAM 2. THE REGIONAL TRANSPORT OFFICER, THIRUVANANTHAPURAM 3. THE SALES TAX OFFICER, FIRST CIRCLE, PEROORKADA, THIRUVANANTHAPURAM. BY GOVERNMENT PLEADER MR. K.P PRADEEP THIS ORIGINAL PETITION HAVING BEEN FINALLY HEARD ON 26/05 /2009 , THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: O.P NO.22653 OF 2002 APPENDIX PETITIONER'S EXHIBITS: Ext.P1: True copy of the licence granted to the petitioner dated 15.5.2002. Ext.P2: True copy of the sale certificate issued by M/s TELCO in regard to the lift bearing chassis No.388069 CXZ107441. Ext.P3: True copy of the sale certificate issued by M/s TELCO in regard to the lift bearing chassis No.388069 CXZ107443. Ext.P4: True copy of the application submitted in regard to the vehicle bearing chassis No.388069 CXZ107441. Ext.P5: True copy of the application submitted in regard to the vehicle bearing chassis No.388069 CXZ107443. Ext.P6: True copy of the letter addressed by the second respondent to the petitioner dated 22.7.2002. Ext. P7: True copy of the order in C.M.P No.9507/2002 in O.P No.5407/2002 dated 20.3.2002. /True Copy/ P.A TO JUDGE SPC C.K.ABDUL REHIM, J. --------------------------- O.PNo.22653 OF 2002 ------------------------------- DATED THIS THE 26th DAY OF MAY, 2009 J U D G M E N T ~~~~~~~~~~~ 1. The challenge in this writ petition is against the demand of entry tax with respect to a vehicle imported by the petitioner. The petitioner was seeking directions for registering the vehicle without insisting for payment of entry tax. By virtue of an interim order dated 9.2.2002 this court directed to register the vehicle, on the petitioner furnishing Bank Guarantee for the amount of tax due. 2. In the decision Thressiamma L.Chirayil v. State of Kerala reported in 2007 (1)KLT303, a Devision Bench of this court held that the Kerala Tax on entry of goods into local areas Act is unconstitutional. In view of the said decision the writ petition is liable to be allowed. OP No.22653/2002 2 3. The learned government pleader submits that the above decision is under challenge before the Hon'ble Supreme Court in a civil appeal filed by the State Government. However it is revealed that operation of the judgment of this court is not stayed by the Hon'ble Supreme Court. 4. Under the above circumstances, the writ petition is liable to be allowed. Accordingly it is held that the petitioner is not liable to pay entry tax with respect to the vehicle involved in this case. The Bank Guarantee if any furnished by the petitioner is liable to be released. But considering pendency of the matter before the Hon'ble Supreme Court, it is directed that the Bank Guarantee if any furnished by the petitioner will be released to him by the respondent, after obtaining a bond executed by him undertaking to pay the amount of entry tax due, if it is ultimately found that he is liable for the same. The writ petition is disposed as above. C.K.ABDUL REHIM, JUDGE. spc