2013 (3) TMI 158 - HC - VAT and Sales Tax

Seizure order upheld upto the tribunal as Crane transported from Ghaziabad to West Bengal - Held that - Considering the invoice no. 429 dated 26.11.2012, the freight agreement no. 302 dated 26.11.2012 submitted by assessee clearly establishes that the Crane was not being transported from Ghaziabad to West Bengal but was actually in transit from Bhiwadi, district Alwar, Rajasthan to Murshidabad in West Bengal via Ghaziabad, Aligarh U.P. The aforesaid documents are relevant and material piece of evidence which have completely been ignored by the tribunal. The non consideration of the said documents vitiates the order of the tribunal, thus need to be set aside and the matter is remanded for its reconsideration.

Summary

Issues:
1. Seizure order upheld by tribunal.
2. Alleged misinterpretation of transit route.
3. Non-consideration of material evidence by authorities.
4. Remand for fresh order based on evidence.

Analysis:
1. The High Court addressed the issue of a seizure order upheld by the tribunal. The petitioner had purchased a Crane from a company in Ghaziabad and was transporting it from Rajasthan to West Bengal via Uttar Pradesh. However, the Crane was seized at the entry point in Ghaziabad on suspicion that it was not in transit but being exported directly to West Bengal from Ghaziabad. The authorities based their decision on the driver's statement.

2. The petitioner argued that the authorities failed to consider crucial evidence, including invoices, freight agreements, and tax forms, which clearly showed that the Crane was indeed in transit from Rajasthan to West Bengal through Uttar Pradesh. The documents presented by the petitioner were deemed relevant and material, indicating the actual transit route of the Crane.

3. The Court agreed with the petitioner's contention that the tribunal had overlooked significant evidence, leading to a flawed decision. The non-consideration of crucial documents by the tribunal was deemed to have tainted their order. As a result, the High Court set aside the tribunal's order dated 5.2.2013 and remanded the case for reconsideration with a direction to issue a fresh order based on all the evidence presented by the petitioner.

4. Consequently, the High Court allowed the revision, emphasizing the importance of considering all relevant documents and evidence in such cases. The tribunal was instructed to reevaluate the matter promptly and issue a new order within a month from the date of the High Court's directive. The judgment highlighted the necessity of a thorough examination of evidence to ensure a just and lawful decision in matters of seizure and transit disputes.