1959 (10) TMI 29 - HC - VAT and Sales Tax

Summary

Issues:
1. Validity of assessment orders passed without notice to the petitioner.
2. Entitlement of petitioner to succeed in writ petitions due to denial of natural justice.
3. Jurisdiction of the court to quash assessment orders despite alternative remedies available.
4. Legality of penalty imposed in consequence of non-payment.

Detailed Analysis:
1. The petitioner, a dealer in fruits, raised objections to the levy of sales tax on commodities similar to those in a previous judgment. The petitioner was served a notice for an enquiry on 29th November 1957, but the assessment orders were passed a day earlier on the 28th. The court found that the assessment orders passed without notice and without an opportunity for the petitioner to present his case were invalid, as it amounted to a denial of natural justice. The court held that such orders must be considered void due to the denial of natural justice.

2. The court considered the petitioner entitled to succeed in the writ petitions due to the denial of natural justice. Referring to a previous case, the court emphasized that even if alternative remedies were available, the denial of natural justice warranted quashing the orders. The court cited the case of R. v. Wandsworth JJ. where it was held that a denial of natural justice entitled the applicant to an order of certiorari, even if other remedies were available. The court reiterated that passing orders against a person without granting them an opportunity to attend the hearing constituted a denial of natural justice.

3. Despite the government's argument that interference under Article 226 of the Constitution would not be justified as other remedies were available, the court maintained its stance on the importance of natural justice. The court cited the case law and concluded that the order passed against the petitioner without an opportunity to attend the hearing must be considered void on the ground of denial of natural justice. The court asserted its jurisdiction to quash the assessment orders through a writ of certiorari, despite the availability of other remedies.

4. The court further held that the penalty imposed in consequence of non-payment was also illegal and without jurisdiction, in line with the invalidity of the assessment orders due to denial of natural justice. Consequently, the assessment orders in the writ petitions were quashed, and the penalty imposed was deemed illegal. The court decided in favor of the petitioner, awarding costs and advocate's fees in each petition. The judgment focused on upholding the principles of natural justice and ensuring the legality of the assessment process.