M/S Peptech Housing Pvt. Ltd. ... vs The State Of Madhya Pradesh
2022 Latest Caselaw 912 MP

                                  1
                                                    WP. No.24304/2021




HIGH COURT OF MADHYA PRADESH, PRINCIPAL SEAT
                AT JABALPUR


Case Number and                   WP No.24304/2021
Parties Name
                             M/s Peptech Housing Pvt. Ltd.
                                          Vs.
                                State of M.P. and others

Date of Order           19/01/2021
Bench Constituted       Division Bench:
                        Justice Sheel Nagu
                        Justice Purushaindra Kumar Kaurav
Judgment delivered      Justice Sheel Nagu
by
Whether approved     No
for reporting
Name of counsels for Shri Pavan Kumar Dwivedi, Advocate
parties              for the petitioner.

                        Shri  Swapnil     Gangully,     Deputy
                        Advocate General for the respondents.
Law laid down                                  -
Significant                                    -
paragraph numbers

                              ORDER

19.01.2022

Per: Sheel Nagu, J.

This petition under Article 226 of the Constitution of India by a Private Limited Company prays for following reliefs:

"i) The application of the petitioner for settlement as filed u/S 24-B of the VAT Act Annexure P/10 & P/11 may kindly be directed to be decided at an early date.

ii) The proceedings of recovery pursuant to orders dated 30.01.2020 Annexure P/5 & P/6 (VAT and ET) may kindly be kept in abeyance till the pendency of the application of settlement.

iii) Any other suitable direction which this Hon'ble Court deems fit in the facts and circumstances of the case may kindly be passed."

2. The short grievance of the petitioner is that in the backdrop of his appeal against the order of assessment dated 30.01.2020, having been

WP. No.24304/2021

dismissed for non-furnishing the pre-deposits in terms of Section 46(5)

(ii) of the M.P. VAT Act (for short 'VAT Act') and despite the petitioner thereafter having preferred an application for settlement under Section 24-B of the VAT Act, the same continuous to be pending and yet the Revenue is pressing for recovery.

3. Since the petitioner has sought to invoke Section 24-B of the VAT Act for settlement on the ground of hardship with the entire amount alleged to be disputed, it is incumbent upon the Settlement Authority as constituted under Section 24-A of the VAT Act to decide the case for settlement if admissible under the law and till then dissuade from taking any penal action.

3. Accordingly, looking to the short prayer made, this Court deems it proper to dispose of this petition with the following directions:

(a) The Settlement Authority constituted under Section 24-A of the VAT Act is directed to decide the application for settlement if preferred by the petitioner, and if not already decided.

(b) Till the settlement application is decided, the Revenue is restrained from taking any penal action against the petitioner pursuant to the assessment order dated 30.01.2020 (Annexure P/5).

(c) In case no settlement application has been filed then this order be treated to be null and void and the Revenue can proceed with the recovery.

                                                     (d)    No cost.

                                               5.    Petition stands disposed of.



                                               (SHEEL NAGU)               (PURUSHAINDRA KUMAR KAURAV)
                                                  JUDGE                             JUDGE

YS

Digitally signed by YOGESH KUMAR SHIRVASTAVA Date: 2022.01.21 10:50:22 +05'30'