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2019 (3) TMI 415 - HC - Central ExciseRecovery of arrears of tax of company from the director of company - Prohibition restraining the respondents from taking coercive recovery measures - Held that:- It is well settled that in the absence of any specific provision in the statute, the duty/penalty liability of the company cannot be recovered from the assets of its director - The Director is not personally liable towards liability of the company. This court while delving into an identical issue in Subhash Goyal vs. State of Haryana and others, [2015 (11) TMI 1014 - PUNJAB AND HARYANA HIGH COURT] held that in the absence of taking any specific recourse to proceedings under Section 18 of the Central Sales Tax Act, 1956 and any valid order for effecting recovery of arrears of sales tax from the directors of a private limited company in liquidation, the proceedings relating to recovery of arrears of tax from the petitioner being a director were not permissible in law. The action of the respondents in compelling the petitioner to clear the dues of the company cannot be sustained - petition allowed - decided in favor of petitioner.
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