Maruti Udyog Limited vs The Member, Sales Tax Tribunal and Another

S.P. Kurdukar, C.J.—Written statement filed on behalf of respondents is taken on record.

Admitted. Pleadings of the parties are complete. By consent, writ petition placed on board and called out for hearing.

Petitioner - Maruti Udyog Limited had filed an appeal before the Sales Tax Tribunal, Haryana, Chandigarh, challenging the revised assessment order made by the Revisional Authority, On the stay application filed by the petitioner, the Tribunal passed the following order on September 7, 1994 which was communicated to the petitioner on September 8,1994:-

"Heard. In view of the circumstances explained and the turnover involved, these appeals are entertained subject to the payment of entire amount by 30th November, 1994. To come up for regular hearing on 22.2.1995 and call for the record of the cases. Announced."

It is this order passed by the Sales Tax Tribunal which is subject matter of challenge in this writ petition.

Mr. Sarin, learned counsel appearing in support of this petition, urged that the impugned order suffers from non-application of mind to the various contentions which were raised in appeal memo and stay application. He urged that the impugned order does not indicate any reasons while rejecting stay application. He further urged that the Tribunal has failed to exercise its jurisdiction in accordance with law while disposing of the stay application.

Mr. Sharma, learned Addl. AG, appearing for the respondents urged that the Tribunal has applied its mind and has also noted the turnover of the petitioner. He urged that in the facts and circumstances of the case it is not necessary to give reasons while dismissing the stay application.

After hearing learned counsel for the parties, we are of the opining that the impugned order is unsustainable. It is a non speaking order and suffers from non-application of mind. The Sales Tax Tribunal while disposing of stay application must indicate the reasons in its order. Mr. Sarin rightly drew our attention to an unreported decision of this Court on identical facts in M/s. D.L.F. Recreational Foundation (P) Ltd., Gurgaon v. State of Haryana and Ors., (C.W.P. No. 6377 of 1994 decided on May 26, 1994). The impugned order dated September 7, 1994 (communicated on September 8, 1994) can not be, thus, sustained and it is accordingly quashed and set-aside. The stay application is revived and the matter is remitted back to the Sales Tax Tribunal, Haryana, Chandigarh, which will hear the parties and pass speaking order in accordance with law.

This writ petition to stand allowed in the above terms. No costs.