The petitioner was mulcted with Exts. P1 and P2 orders of assessment under Section 25 (1) of the KVAT Act and penalty imposed under Section 67 (1) of Act. Being aggrieved of the said orders, the petitioner preferred statutory appeals before the second respondent, which came to be allowed as per Ext. P3 order dated 28.11.2013. In the meanwhile, because of the coercive steps taken, the petitioner was constrained to deposit a sum Rs.8,70,004/- as evident from Exts. P7 and P8 receipts. Consequential steps are not finalized and refund is still to be effected, in view of Ext. P3 appellate order. At the same time, the first respondent passed Exts. P9 and P10 orders finalizing the assessment under the KVAT Act and CST Act for the year 2008 - '09. Machinery under the Revenue Recovery was also set in motion for realization of the amounts due as per Exts. P9 and P10, W.P.(C) No. 31172 of 2014 : 2 :
without finalizing the steps for effecting refund to the petitioner. This made the petitioner to approach this Court by filing the present writ petition.
2. The learned Government Pleader appearing for the respondent submits, on instructions, that there is some proposal to challenge Ext. P3 common appellate order, which in fact was passed more than 'one year' ago. For the time being, the petitioner stands succeeded and a sum of Rs. 8,70,004/- is liable to be returned to the petitioner. The amount due, now sought to be satisfied as per Exts. P9 and P10 is only to an extent of Rs.86,582/- plus such other amounts under the relevant heads. The learned counsel for the petitioner submits that the petitioner does not intend to challenge Exts. P9 and P10 under any circumstances and that the prayer is only to set off the liability from the amount to be refunded to the petitioner, vide Ext. P3.
3. After hearing both the sides, the first respondent is directed to finalize the proceedings pursuant to Ext. P3 order passed by the 2nd respondent and set off/refund the amount if at all due to the petitioner. The proceedings as above shall be finalized, at the earliest, at any rate, within two months from the W.P.(C) No. 31172 of 2014 : 3 :
date of receipt of a copy of this judgment. Coercive proceedings, if any, pursuant to Exts. P9 and P10 shall be kept in abeyance till such time. This Court does not intend to express anything with regard to the rights and liberties of the respondent to challenge Ext. P3, if same is sustainable in accordance with law.
The Writ Petition is disposed of.
kmd Sd/-
P. R. RAMACHANDRA MENON, (JUDGE)