https://www.taxtmi.com/caselaws?id=163306 During the statutory suspension under section 22(1) of the Sick Industrial Companies (Special Provisions) Act, 1985, coercive recovery action against the company's assets was barred unless Board consent was obtained. That protection was held to extend to sales tax recovery proceedings under State law, so a notice and penalty action under rule 16(2) of the Central Sales Tax (Orissa) Rules, 1957 for non-payment of the demanded tax could not be treated as valid during the currency of the embargo. The discretionary penalty power under rule 16(2) had to be exercised judicially and reasonably, and the notice proposing penalty and penalty order were quashed. en-us Mon, 02 Apr 2007 00:00:00 +0530 Fri, 28 Mar 2014 18:09:02 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=163306 During the statutory suspension under section 22(1) of the Sick Industrial Companies (Special Provisions) Act, 1985, coercive recovery action against the company's assets was barred unless Board consent was obtained. That protection was held to extend to sales tax recovery proceedings under State law, so a notice and penalty action under rule 16(2) of the Central Sales Tax (Orissa) Rules, 1957 for non-payment of the demanded tax could not be treated as valid during the currency of the embargo. The discretionary penalty power under rule 16(2) had to be exercised judicially and reasonably, and the notice proposing penalty and penalty order were quashed. Case-Laws VAT and Sales Tax Mon, 02 Apr 2007 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=163306