https://www.taxtmi.com/caselaws?id=162996 A statutory first charge for sales tax arrears under the Tamil Nadu General Sales Tax Act prevails over a bank's security interest enforced under SARFAESI, because the tax statute expressly gives priority to revenue claims and operates in a different field from the later recovery regime. The bank's subsequent auction sale could not defeat the State's charge where attachment had already been published before completion of the sale. Publication of the attachment and sale in the Gazette also constituted constructive notice, defeating any plea of bona fide purchase. The result is that the arrears may be recovered from the property or its sale proceeds despite the secured creditor's enforcement action. en-us Wed, 17 Sep 2008 00:00:00 +0530 Fri, 28 Nov 2014 13:21:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=162996 A statutory first charge for sales tax arrears under the Tamil Nadu General Sales Tax Act prevails over a bank's security interest enforced under SARFAESI, because the tax statute expressly gives priority to revenue claims and operates in a different field from the later recovery regime. The bank's subsequent auction sale could not defeat the State's charge where attachment had already been published before completion of the sale. Publication of the attachment and sale in the Gazette also constituted constructive notice, defeating any plea of bona fide purchase. The result is that the arrears may be recovered from the property or its sale proceeds despite the secured creditor's enforcement action. Case-Laws VAT and Sales Tax Wed, 17 Sep 2008 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=162996