Natural justice challenge to VAT penalty orders failed where notices, hearings, and statutory appeal remedy were available.

Penalty orders under the Kerala Value Added Tax Act were not interfered with because the assessee was given inspection reports, notices seeking books and documents, time to object, and several personal hearing opportunities; repeated adjournments and a belated reply did not establish denial of reasonable opportunity or breach of natural justice. The Court also noted that an effective statutory appeal remained available, where all objections could be examined on merits. The challenge to the penalty orders therefore failed, and the writ appeal was not entertained on merits.

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Issues: Whether the penalty orders under Section 67(1) of the Kerala Value Added Tax Act were liable to be interfered with on the ground of denial of opportunity and violation of natural justice, and whether the appellant should be relegated to the statutory appeal remedy.

Analysis: The records showed that the assessee was subjected to inspection, copies of the inspection reports were furnished, notices were issued calling for books and documents, and opportunities of personal hearing were granted on several dates. The proposal notice also gave time to file objections, and the authority recorded repeated adjournments sought by the dealer and the eventual filing of a belated reply. On this material, the Court found no denial of reasonable opportunity or breach of natural justice. It also noted that the appellant had an effective statutory appeal in which all objections could be raised and the appellate authority could examine the matter fully.

Conclusion: The challenge to the penalty orders failed, and the writ appeal was not entertained on merits in view of the absence of any illegality or impropriety in the Single Judge's decision.

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