Kerala High Court
M/S.Lg Electronics India Pvt. Limited vs The Deputy Commissioner (Appeals) on 2 August, 2024
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MRS. JUSTICE SHOBA ANNAMMA EAPEN
FRIDAY, THE 2ND DAY OF AUGUST 2024 / 11TH SRAVANA, 1946
WP(C) NO. 13968 OF 2017
PETITIONER:
M/S.LG ELECTRONICS INDIA PVT. LIMITED
34/565B, 1ST FLOOR, FORTUNE ARCADE,NH BYEPASS,
PADIVATTOM, EDAPALLY, KOCHI-682 024,
REPRESENTED BY ITS BRANCH ACCOUNTS
MANAGERMR.SHANMUGHADAS.B.
BY ADVS.
SRI.A.KUMAR
SMT.G.MINI
RESPONDENTS:
1 THE DEPUTY COMMISSIONER (APPEALS)
COMMERCIAL TAXES, ERNAKULAM.682 016.
2 THE ASSISTANT COMMISSIONER-I
SPECIAL CIRCLE-I, DEPARTMENT OF COMMERCIAL
TAXES,ERNAKULAM.682 016.
3 INSPECTING ASSISTANT COMMISSION
REVENUE RECOVERY, DEPARTMENT OF COMMERCIAL
TAXES,KAKKANAD.682 030.
BY ADV.
SRI.SAYED M. THANGAL (GOVERNMENT PLEADER)
THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON
02.08.2024, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
WP(C) NO.13968/2017
2
JUDGMENT
Dated this the 02 nd day of August, 2024.
The above Writ Petition is filed seeking for a direction to
quash Exts.P8, P9 and P10 appellate orders and also to set
aside Exts.P11, P11(A) and P11(B) revenue recovery
notices.
2. The facts of the case in brief are as follows:-
The petitioner is a Private Limited Company,
engaged in the sale of consumer goods and also a
registered dealer under the Kerala Value Added Tax Act
under the rolls of the 2nd respondent. The petitioner was
assessed by the 2nd respondent for the assessment year
2006-2007 under KVAT and CST Act and for 2008-2009
under the KVAT Act, as per Exts.P1 to P3 orders.
3. Aggrieved by the said orders, the petitioner
approached the statutory authorities by filing Exts.P4 to P6
appeals. Thereafter, Exts.P8 to P10 appellate orders were
passed without hearing the petitioner. Pursuant to Exts.P8
to P10 appellate orders, revenue recovery proceedings
were initiated against the petitioner. Thereafter, Exts.P11,
P11(A) and P11(B) revenue recovery notices were issued.
Aggrieved by that, the petitioner has approached this Court
with the above Writ Petition.
4. I heard the learned counsel for the petitioner as
well as the learned Government Pleader for the
respondent.
5. The learned counsel for the petitioner submitted
that the petitioner was not served with any notice before
Ext.P8 to P10 appellate orders were passed. It was further
submitted that as per Ext.P12, there was a change in the
address of the petitioner's Company and it was informed to
the 2nd respondent, assessing authority, which was
endorsed in the local delivery book and the change of
address of the petitioner was not uploaded in the system
by the assessing authority. It is also submitted by the
learned counsel for the petitioner that though appeal was
filed by the petitioner, notice was not served on the
petitioner due to the change in address. The petitioner
was not afforded an opportunity of hearing. Hence, there
is violation of principles of natural justice.
6. Per Contra, the learned Government Pleader
submits that change of address was not intimated to the
appellate authority by the petitioner, which is stated in the
appellate order. Though notice was issued to the
petitioner, it was returned as 'addressee left' and since
there was no response from the part of the petitioner, the
appeals were decided ex parte.
7. It is an admitted fact that proper notice was not
served on the petitioners, after filing of the appeal and
there was a change in the address of the petitioner and as
per Ext.P13 also, it is revealed that the change of address
of the petitioner was noted in the Registration Certificate.
It may be true that the assessing authority was aware of
the change of address. However, the appellate authority
was not aware about the change of address and there was
no proper intimation to the appellate authority regarding
the change of address by the petitioner. However, it is
seen that though the appeals were filed, the petitioner was
not afforded an opportunity of hearing and an ex parte
order has been passed by the appellate authority and a
huge liability has been cast upon the petitioner. Since
there was no proper service of notice to the petitioner
before disposal of the appeals, I find that one more
opportunity has to be afforded to the petitioner to prove
his case. Accordingly, the Writ Petition is disposed of as
follows:-
I. Exts.P8 to P10 appellate orders are set aside. The
petitioner is directed to appear before the
appellate authority on 30.08.2024 and shall
furnish the correct address of the petitioner.
II. Thereafter, the appellate authority is directed to
re-consider Exts.P4 to P6 appeals afresh and pass
orders on the same, within a period of three
months, from the date of receipt of a certified
copy of the judgment, with notice to the petitioner
and also after affording an opportunity of hearing.
III. It is made clear that till such orders are passed,
the coercive proceedings pursuant to Ext.P1 to P3,
shall be kept in abeyance.
IV. The petitioner shall produce a certified copy of the
judgment along with the copy of the writ petition
before the appellate authority for compliance.
Sd/-
SHOBA ANNAMMA EAPEN
JUDGE
JJ
APPENDIX OF WP(C) 13968/2017
PETITIONER'S EXHIBITS
EXHIBIT P1 TRUE COPY OF THE CST ASSESSMENT ORDER FOR THE YEAR
2006-2007 DTD.16.2.2010.
EXHIBIT P2 TRUE COPY OF THE KVAT ASSESSMENT ORDER FOR THE YEAR
2006-2007 DTD. 16.2.2010.
EXHIBIT P3 TRUE COPY OF KVAT ASSESSMENT ORDER FOR THE YEAR
2008-2009 DTD. 13.11.2009.
EXHIBIT P4 TRUE COPY OF THE CST APPEAL FOR THE YEAR 2006-2007
DTD. 18.3.2010.
EXHIBIT P5 TRUE COPY OF THE KVAT APPEAL FOR THE YEAR 2006-2007
DTD. 18.3.2010.
EXHIBIT P6 TRUE COPY OF KVAT APPEAL FOR THE YEAR 2008-2009 DTD.
14.12.2009.
EXHIBIT P7 TRUE COPY OF THE LETTER DATED 04.04.2017 APPLYING
FOR CERTIFIED COPY OF THE APPELLATE ORDERS.
EXHIBIT P8 TRUE COPY OF THE CST APPELLATE ORDER FOR THE YEAR
2006-2007 DTD. 20.9.2016.
EXHIBIT P9 TRUE COPY OF THE KVAT APPELLATE ORDER FOR THE YEAR
2006-2007 DTD. 20.9.2016.
EXHIBIT P10 TRUE COPY OF THE KVAT APPELLATE ORDER FOR THE YEAR
2008-2009 DTD. 20.9.2016.
EXHIBIT P11 TRUE COPY OF THE REVENUE RECOVERY NOTICE 06-07 FOR
CST ISSUED BY THE 3RD RESPONDENT DTD. 23.2.2017.
EXHIBIT P11A TRUE COPY OF THE REVENUE RECOVERY NOTICE 06-07 FOR
KVAT ISSUED BY THE 3RD RESPONDENT DTD. 23.2.2017.
EXHIBIT P11B TRUE COPY OF THE REVENUE RECOVERY NOTICE 08-09 FOR
KVAT ISSUED BY THE 3RD RESPONDENT DTD. 23.2.2017.
EXHIBIT P12 TRUE COPY OF THE ENTRY IN THE LOCAL DELIVERY BOOK
DATED 09.08.2011 ACKNOWLEDGING RECEIPT OF THE LETTER
OF CHANGE IN BRANCH ADDRESS.
EXHIBIT P13 TRUE COPY OF THE REGISTRATION CERTIFICATE CARRYING
THE ENDORSEMENT OF THE ASSESSING AUTHORITY.
//TRUE COPY//
PA TO JUDGE
