High Court Kerala High Court

V.Mohammed Nizabudheen vs Commissioner Of Commercial Taxes on 7 August, 2009

Kerala High Court
V.Mohammed Nizabudheen vs Commissioner Of Commercial Taxes on 7 August, 2009
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

RP.No. 687 of 2009(H)


1. V.MOHAMMED NIZABUDHEEN,NAMMANDA HOUSE,
                      ...  Petitioner

                        Vs



1. COMMISSIONER OF COMMERCIAL TAXES,
                       ...       Respondent

2. INTELLIGENCE OFFICER(IB)II,OFFICE OF THE

3. P.MOHAMMED,S/O.ALAVI HAJI,AGED 60 YEARS,

4. P.SIDHIQUE PANDIKASALA,S/O.NOORDEEN,

5. ABINAYAA IMPORTS AND EXPORTS,NO.26 -9,

6. TAHSILDAR,ERANAD,MANJERI.

7. VILLAGE OFFICER,VAZHAKKAD,

                For Petitioner  :SRI.G.HARIHARAN

                For Respondent  : No Appearance

The Hon'ble MR. Justice P.R.RAMACHANDRA MENON

 Dated :07/08/2009

 O R D E R
                 P.R. RAMACHANDRA MENON, J.
             ........................................................................

                         R.P. No. 687 OF 2009 IN

                             WP.(C) 17917 OF 2009

                          & W.P.(C) 17917 OF 2009
             .........................................................................
                    Dated this the 7th August, 2009


                                      O R D E R

The Writ Petitioner, who is one of the partners of the 5th

respondent-Firm, (of which, the respondents No. 3 and 4 are

the other partners) has approached this Court challenging Exts.

P7 and P8 revenue recovery proceedings initiated at the

instance of the 9th respondent (who is stated as having no

connection with the petitioner at all); simultaneously seeking for

a direction to consider Ext.P6 petition for early hearing of the

Revision Petition, stated as filed before the first respondent –

Commissioner.

2. When the matter came up for admission before this

Court, the coercive proceedings were intercepted on condition

that the petitioner remitted a sum of Rs.Two lakhs within two

weeks. However, the petitioner, instead of remitting the said

R.P. No. 687 OF 2009 IN WP.(C) 17917 OF

2009 & W.P.(C) 17917 OF 2009

2

amount, has chosen to approach this Court by filing the present

Review Petition, also producing two assessment orders passed

by the 9th respondent against the 8th respondent as Annexures2

and 3, pointing out that Exts. P7 and P8 revenue recovery

proceedings are actually in respect of Annexures 2 and 3, as

aforesaid and hence that the said coercive steps stated as being

pursued against the petitioner in respect of the dues payable by

the 8th respondent are not correct or sustainable.

3. The learned Government Pleader, with reference to the

contents of the counter affidavit filed on behalf of the

respondent Nos.2 and 9, submits that the proceedings taken by

the 9th respondent against the 8th respondent as per Annexures

2 and 3 and the proceedings taken by the departmental

authorities against the petitioner are entirely different. It is also

asserted that Exts.P7 and P8 revenue recovery proceedings

initiated against the petitioner are in respect of the amounts

due towards the penalty imposed vide Ext.P2 order and

inclusive of the protective assessment order passed by the

R.P. No. 687 OF 2009 IN WP.(C) 17917 OF

2009 & W.P.(C) 17917 OF 2009

3

second respondent under the relevant provisions of law, when

the 8th respondent denied the transaction (as having purchased

Timber from the petitioner, stated as effected as per the

records/Books of Accounts of the petitioner). The learned

Government Pleader also submits that, all the files and

proceedings forming the subject matter of Ext. P2 were also

forwarded to the 9th respondent for completing the formalities

and it was accordingly, Requisition bearing No.RRC.23/2008

dated 29.10.2008 was issued by the 9th respondent leading to

Exts. P7 and P8 revenue recovery steps. This being the

position, there is absolutely no merit or bonafides in the

submission made from the part of the Writ petitioner/Review

petitioner and that the prayers in the Writ Petition as well as in

the Review Petition are not liable to be entertained, submits the

learned Government Pleader.

4. It remains to be an undisputed fact that the petitioner

sustained Ext. P2 penalty order imposed by the second

respondent, which was sought to be challenged by filing a

R.P. No. 687 OF 2009 IN WP.(C) 17917 OF

2009 & W.P.(C) 17917 OF 2009

4

revision petition before the Deputy Commissioner of Commercial

Taxes, Kozhikode, before whom, he lost the battle. Met with the

said circumstances, the petitioner preferred the second Revision

before the first respondent and one of the prayers raised in the

Writ Petition was for a direction to consider and pass appropriate

orders on Ext. P6 petition filed before the first respondent for

early hearing of the second Revision Petition.

5. The learned counsel for the petitioner conceded that no

petition for stay has been preferred before the first respondent;

simultaneously adding that it was only because of the reason

that no revenue recovery proceedings were stated as being

pursued against the petitioner at that point of time.

6. It is very much evident from Ext. P2 order passed by the

second respondent that the said proceeding takes in, the

‘penalty’ as well as the ‘tax amount’ . Of course, there is a

contention for the petitioner that the second respondent does not

have any power, jurisdiction or competence to fix the tax, which

has been rebutted from the part of the respondents in their

R.P. No. 687 OF 2009 IN WP.(C) 17917 OF

2009 & W.P.(C) 17917 OF 2009

5

counter affidavit, referring to G.O. (MS)No. 158/2002/TD (SRO .

1046/2002 Dated 25.10.2002) asserting that the Intelligence

Officer has all the powers of the assessing authority under the

KGST Act and has jurisdiction throughout the State of Kerala. In

any view of the matter, this aspect is also stated as the subject

matter of consideration before the first respondent in the second

Revision Petition stated as pending before him. This being the

position, the liability of the petitioner to satisfy the amount

covered by Ext.P2 will, of course, depend upon the outcome of

the second Revision Petition; which however has not been sought

to be stayed, by filing any petition.

7. To have a finality to the issue projected before this

Court in the Writ Petition as well as in the Review Petition, the

first respondent is directed to consider the Revision Petition filed

by the petitioner as referred to in Ext. P6 and to finalise the

same in accordance with law, after giving an opportunity of

hearing to the petitioner, as expeditiously as possible and at any

rate within two months from the date of receipt of a copy of the

R.P. No. 687 OF 2009 IN WP.(C) 17917 OF

2009 & W.P.(C) 17917 OF 2009

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judgment. It is also made clear that all coercive proceedings

now stated as being pursued, pursuant to Exts. P7 and P8 shall

be kept in abeyance on condition that the petitioner deposits a

sum of Rs. Two lakhs as ordered by this Court vide interim

order dated 30.06.2009 while admitting the Writ Petition.

However, the time to effect the deposit, as above , is hereby

enlarged and the petitioner shall effect the same within a

further period of three weeks.

Both the Writ Petition as well as the Review Petition are

disposed of accordingly.

P.R. RAMACHANDRA MENON,
JUDGE.

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