The petitioner is a registered dealer under the Kerala Value Added Tax Act, 2003 and engaged in the trade of timbers. The grievance of the petitioner is that, while the petitioner was effecting stock transfer of logs of venga tree to a place at Karnataka in the vehicle bearing No. KL 13 A 4391 on the strength of Exts. P1 to P3, they were intercepted by the second respondent issuing Ext. P4 notice under Section 47 (2) of the KVAT Act, doubting evasion of tax and demanding security deposit to the extent as specified, which made the petitioner to approach this Court for immediate intervention.
2. The learned counsel for the petitioner submits that absolutely no offence has been committed by the petitioner and there was no attempt to evade tax. The learned Government Pleader submits that the goods were detained doubting 'undervaluation' when compared to the market price of the goods sought to be transported.
W.P.(C) No. 29996 OF 2014 : 2 :
4. Considering the facts and circumstances, particularly the materials on record, this Court is of the prima facie view that insinuation now levelled against the petitioner may not be correct. However, the actual factual particulars can be unearthed only in the course of adjudication proceedings. But for that reason, the goods need not be detained any further and the same shall be released to the petitioner, on condition that, the petitioner furnishes a 'Simple Bond' without sureties for the amount shown in Ext. P4. This will be without prejudice to the rights and liberties of the respondents to pursue the adjudication proceedings, which shall be finalized in accordance with law, as expeditiously as possible, at any rate, within three months from the date of receipt of a copy of this judgment.
The petitioner shall produce a copy of this judgment along with copy of the writ petition before the concerned respondent for further steps.
The Writ Petition is disposed of.
kmd Sd/-
P. R. RAMACHANDRA MENON, (JUDGE)