Writ Petition Allowed: Impugned Order Set Aside Due to Lack of Jurisdiction and Ultra Vires Actions u/s 14B.

The HC allowed the writ petition, setting aside the impugned order dated February 28, 2005, annexure P 6, due to the respondent's lack of jurisdiction and the order being ultra vires section 14B of the Act. The court found the order ante-dated and directed further investigation by the Financial Commissioner-cum-Secretary, Government of Punjab, Department of Excise and Taxation. No costs were awarded.

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Issues Involved:
1. Whether the writ petition is liable to be dismissed on account of alternative remedy available to the petitionerRs.
2. Whether the impugned order dated February 28, 2005, annexure P 6 is ultra vires the provisions of section 14B of the ActRs.
3. Whether the impugned order dated February 28, 2005, annexure P 6, is ante-dated inasmuch as it refers to release of goods on March 1, 2005, and its effectRs.

Detailed Analysis:

Re: Question No. (i)
The court considered whether the writ petition should be dismissed due to the availability of an alternative remedy. The State cited several judgments to support its argument, including *Transport Corporation of India Ltd. v. State of Andhra Pradesh*, *State of Goa v. Leukoplast (India) Ltd.*, and *Titaghur Paper Mills Co. Ltd. v. State of Orissa*. These cases generally upheld the principle that writ petitions should not be entertained when an alternative remedy is available unless the order is without jurisdiction or in violation of natural justice. However, the court noted that Article 226 of the Constitution does not absolutely bar the entertainment of writ petitions where an authority is shown to have assumed jurisdiction it does not possess. The court referenced *Whirlpool Corporation v. Registrar of Trade Marks, Mumbai*, which clarified that the High Court could entertain writ petitions despite alternative remedies in cases involving fundamental rights, violations of natural justice, or actions without jurisdiction. The court concluded that since the jurisdiction assumed by the respondent was without legal basis, the writ petition was not liable to be dismissed on account of the alternative remedy.

Re: Question No. (ii)
The court examined whether the impugned order was ultra vires section 14B of the Act. The facts showed that the petitioner had declared the goods as liable to tax at the last stage, while the Check-post Officer determined they were liable at the first stage, leading to a penalty. The petitioner argued that the goods were "general goods" and cited the Supreme Court's judgment in *Vasantham Foundry v. Union of India*, which differentiated "cast iron" from "iron". The court reviewed several judgments, including *Cement Marketing Co. of India Ltd. v. Assistant Commissioner of Sales Tax, Indore*, which emphasized that bona fide legal disputes should not be equated with tax evasion. The court also referenced *Automobile Products of India Limited v. State of Karnataka* and *Utkal Galvanisers Limited v. Commissioner of Commercial Taxes, Orissa*, which highlighted that Check-post Officers should not settle highly debatable issues. The court concluded that the petitioner's contention required adjudication and was not frivolous or mala fide. Therefore, the jurisdiction assumed by the Check-post Officer was without legal basis, making the impugned order ultra vires section 14B of the Act.

Re: Question No. (iii)
The court found that the impugned order, annexure P 6, and order annexure R 1 were different, with annexure P 6 referring to the release of goods on March 1, 2005, despite being dated February 28, 2005. This discrepancy indicated that the order was ante-dated. The court did not accept the explanation provided for this discrepancy and directed the Financial Commissioner-cum-Secretary, Government of Punjab, Department of Excise and Taxation, to look into the matter and take appropriate action.

Conclusion:
The writ petition was allowed, and the impugned order dated February 28, 2005, annexure P 6, was set aside with no order as to costs.

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