9911796707
TMI Blog1993 (11) TMI 205X X X X Extracts X X X X X X X X Extracts X X X X ..... registration certificate granted to the dealer therefore the dealer wrongly included in the "C" form the air-conditioner and got the benefit of concessional rate of sales tax. It has been held by the Appellate Tribunal in paragraphs 3 to 5 of the order as follows: "3. The appellant contends that there is no false representation on the part of the appellant and the registration certificate covers the purchase of air-conditioners also and it was issued for the purchase of these articles and so the levy of penalty is not proper. The counsel for the appellant argued that air-conditioners are electrical machinery given in the certificate and even though air-conditioners are not specifically mentioned in that certificate it is only electrical m ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and the air-conditioner is a must for running the printing machinery. The air-conditioner is not connected with printing machinery for printing and it is not a required material for printing press. The machineries and the articles mentioned in the certificate required for the printing press alone are eligible for purchase by the appellants. Air-conditioner does not come under the machineries required for the printing press mentioned in the certificate. Hence we find that the appellant has violated the provisions of the Central Sales Tax Act and hence levy of penalty under section 10A is warranted. The Appellate Assistant Commissioner (CT), Kancheepuram, has correctly confirmed the levy of penalty with regard to air-conditioner and the Appel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... edge. 4.. Section 10(b) of the Central Sales Tax Act provides "If any person(b) being a registered dealer, falsely represents when purchasing any class of goods that goods of such class are covered by his certificate of registration;......." Therefore, what is necessary to be found is whether there is a false representation made by the dealer to the effect that a particular class of goods is included in or covered by the certificate of registration held by him. As already pointed out, all the authorities have found that there is a false representation made by the dealer when purchasing the goods in question that the same are covered by the certificate of registration held by it. In the instant case, the registration certificate issued to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Act. In the light of the finding recorded that the assessee falsely represented that the air-conditioner was included in the certificate of registration, this decision of the Tribunal cannot also be held to be contrary to the provisions contained in section 10A read with section 10(b) of the Central Sales Tax Act. Not only the aforesaid decision in Gemini Studios' case [1975] 36 STC 357 (Mad.) but also the decision of a Division Bench in another case, Sri Lakshmi Machine Works v. State of Madras [1973] 32 STC 407 (Mad.) and also that of the Kerala High Court in Varghese and Sons v. Sales Tax Officer [1965] 16 STC 323 have been considered by a Division Bench of this Court in Vijaya Electricals v. State of Tamil Nadu [1991] 82 STC 268. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... such a finding by itself shows the establishment of the blameworthy conduct, which would be the establishment of mens rea to the limited extent applicable to civil obligations. Mens rea can be established either by direct evidence or by drawing inferences from the established facts and circumstances of a given case. To the extent that mens rea is the blameworthy conduct, it goes without saying that the making of a 'false representation', which has been made an offence under section 10(b) of the Act, would bring the case of the defaulting party within the ambit of that section. The application of the doctrine of mens rea in cases of tax delinquency has been nicely summed up in 'Carpus Juris Secundum', Volume 85, at page 580 in paragraph 102 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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