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2016 (10) TMI 750 - HC - VAT and Sales TaxRestoration of appeal - pre-deposit to hear the appeal - refund of amount by petitioner - 31.78 crores after giving credit to the tax amounts already deposited by the petitioner - Held that: - There may be some minor adjustment or a computation error in the authority arriving at such a figure. Nevertheless, it would not be possible to undertake entire assessment exercise to arrive at a figure with mathematical precession, nor would it be necessary. When the Tribunal has granted benefit of setting aside of assessment leading to tax demands worth hundreds of crores, least that was accepted of the petitioner was to refund that sum, which primafacie, the petitioner had received by way of refund of tax which was based on fake invoices. The Tribunal was perfectly justified in discarding the petitioner's defense that it was the employees of the firm who had carried out such fraud for which they were punished. The Tribunal noted that the firm received the refund based on such fake invoices and input tax credit. Fresh assessment may proceed. The same however cannot be by allowing the petitioner to retain the refund amount. When the Tribunal has imposed a condition of predeposit of ₹ 10 crores by way of condition to hear the Tax Appeal on merits and when the Tribunal had also granted sufficient time to deposit such amounts in installments, in facts of the present case, we see no reason to interfere - We had adjourned this petition on few occasions to enable the counsel for the petitioner to take instructions and to show in what manner the petitioner can even now deposit such sum. Barring pointing out that the department has attached petitioner's shares, of which the current value comes to ₹ 5.02 crores which the department may sell, the petitioner was unable to offer any further amount by way of predeposit. - petition dismissed.
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