http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 1 of 2  

CASE NO.: Appeal (civil)  1244 of 2007

PETITIONER: R. BALASUBRAMANIAM

RESPONDENT: ADDITIONAL DEPUTY COMMERCIAL TAX OFFICER

DATE OF JUDGMENT: 09/03/2007

BENCH: Dr.AR.LAKSHMANAN & ALTAMAS KABIR

JUDGMENT: J U D G M E N T (Arising out of SLP(C) No.23552/2005)

Dr.AR.LAKSHMANAN, J.

       Leave granted.         Heard Mr.Immanuel, learned counsel for the appellant and  Mr.R.Nedumaran, learned counsel for the respondent.         We have perused the order impugned in this appeal which reads thus :-                                 "ORDER

       This petition coming on for orders upon perusing the petition and  the affidavit filed in support thereof and upon hearing the  arguments of Mr.A.Immanuel, Advocate for the petitioner, the  Court made the following order:-

Heard both side.            

2       Interim stay is made absolute subject to the condition that the  petitioner/appellant deposits 50% of the total tax due to the  respondent within a period of eight weeks, failing which the stay  granted shall stand automatically vacated."         The matters relates to the sales tax arrears of vendee-appellant.   According to the appellant, the sales transaction was completed in the year  2000 and the proceedings were initiated against him by a notice issued by the  Addl.Deputy Commercial Tax Officer- III, Tuticorn on 31.07.2002 and an  assessment order was passed 06.12.2004 against the assessee M/s.Blesso  Construction and P.J. Engineering Constructions fixing the total tax due at  Rs.83,53,477/- by way of tax arrears including penalty etc. A Demand Notice was  issued to the appellant-assessee R.Balasubramaniam to pay the arrears of tax  due since the appellant has purchased the property  and is in possession of the  property in S.No.495/1A2, 495/1B2.  It is not in dispute that the appellant has  purchased the property in question for Rs.4,90,000/- as could be seen from the  sale deed.  According to the appellant, he was a bonafide purchaser. It is also  not in dispute that against the dismissal of the Writ Petition filed by the  appellant challenging the said assessment, the appellant preferred the Writ  Appeal which is pending final disposal before the High Court and during the  pendency of the Writ Appeal, the Division Bench of the High Court directed the  appellant to deposit 50% of the total tax due to the respondent within a period  of eight weeks, failing which the stay granted shall stand automatically vacated.  Aggrieved by the said interim order, the appellant preferred the above appeal in  this Court and this Court on 28.11.2005 while ordering notice to the respondent  ordered attachment of the property purchased by the appellant shall continue  and no further steps will be taken until further orders by this Court.  Since there  is an order of attachment during the pendency of the Civil Appeal in this Court,  the interest of the respondent is fully safeguarded by the said Order.  We,  therefore, set aside the order passed by the High Court ordering deposit of 50%  of the total tax due and request the High Court to dispose of Writ Appeal filed  by the appellant on merits and in accordance with law.

http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 2 of 2  

       We also make it clear that the attachment order passed by this Court  will continue till the disposal of the Writ Appeal.  The appeal stands disposed of  accordingly.           No costs.