TMI Blog2021 (8) TMI 482X X X X Extracts X X X X X X X X Extracts X X X X ..... movable property and that the security bond should be in Form XIX-B and should be filed in duplicate, the original of which should bear appropriate adhesive non judicial stamps or court fee stamps - The statutory form as stipulated in Form XIX-B states that the applicant, who is the husband of the appellant herein filed an application for registration before the respondent under the TNGST Act, 1959 and the Registering Authority directed the appellant's husband to furnish security as required under Section 21 of the TNGST Act, 1959. Admittedly, there is no necessity for registration of a security bond as the appellant is irrevocably bound herself to the dues payable by the firm at the time when the registration was applied by the hus ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tition challenging the notice of recovery issued by the respondent dated 31.5.2002 under the provisions of the Tamil Nadu Revenue Recovery Act, 1864 read with Section 29 of the TNGST Act, 1959 and to direct the respondent to raise the encumbrance created by way of intimation dated 12.12.2007. 4. The learned Single Judge, by the impugned order, dismissed the said writ petition and aggrieved by the same, the appellant is before us by way of this appeal. 5. The legal issue, which is canvassed before us in this appeal is as to whether the learned Single Judge was right in not taking note of the fact that Section 24(2) of the TNGST Act, 1959 provides the charge and priority over the other claims against the property of a registered dealer ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ment of Tamil Nadu that for any amount due and payable by the registered dealer towards tax or penalty, they are first entitled to proceed against the property of the appellant, which had been more fully described in the schedule to the security bond. 8. The argument of the appellant is that she has been described as a surety. 9. In fact, the description of the appellant as a surety is on account of the appellant having executed the surety bond. 10. What we are required to look into is the statutory form, which has been stipulated under the provisions of the Tamil Nadu General Sales Tax Rules and more particularly in terms of Rule 24(15- A) of the said Rules. The said Rule enumerates various forms of security, which the registered ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e under Section 21 of the TNGST Act, 1959 is not required, the bond shall be void and of no effect, otherwise, it should remain in full force and effect. The statutory form further stipulates the amount of stamp that should be affixed. 13. Admittedly, there is no necessity for registration of a security bond as the appellant is irrevocably bound herself to the dues payable by the firm at the time when the registration was applied by the husband of the appellant. Therefore, it will be too late in the day for the appellant to state that the property cannot be proceeded against, that it is her individual property and that the provisions of the TNGST Act, 1959 do not specifically provide for recovery of arrears of sales tax from a person, wh ..... X X X X Extracts X X X X X X X X Extracts X X X X
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