Penalty for suppressed turnover upheld where delayed revised returns and concurrent findings showed no bona fides under writ review.

Penalty under section 45A of the Kerala General Sales Tax Act was sustained where the assessee filed untrue returns and substantially suppressed turnover over two assessment years. The court accepted the concurrent factual findings that revised returns were filed only after a long delay in one year and only after verification of accounts had begun in the other, and it rejected the explanation based on reliance on a part-time accountant because the monthly returns also did not reflect true accounts. As bona fides turned on fact and no legal error was shown, the High Court refused interference under Article 226 and left the penalty orders undisturbed.

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Issues: Whether penalty under section 45A of the Kerala General Sales Tax Act, 1963 was sustainable for filing untrue returns and suppressing turnover, and whether the High Court should interfere under Article 226 of the Constitution of India.

Analysis: The returns for two assessment years suppressed substantial turnover, and the revised returns were filed only after long delay in one year and after verification of accounts had commenced in the other. The explanation based on reliance on a part-time accountant was not accepted, as the monthly returns also failed to reflect the true accounts. The question of bona fides was a question of fact, and the authorities had concurrently found against the assessee. The reduced penalty for one year was also considered fair.

Conclusion: The penalty under section 45A was upheld, and no ground for interference under Article 226 was made out.

Final Conclusion: The original petition was dismissed, and the impugned penalty orders were left undisturbed.

Ratio Decidendi: Where substantial suppression of turnover and delayed correction of returns establish lack of bona fides, concurrent factual findings sustaining penalty will not be interfered with in writ jurisdiction absent legal error.

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