1989 (7) TMI 316

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....nt and received by the second respondent, inasmuch as the same affect the writ petitioners. It will be noticed that there are no arrears of sales tax due from the writ petitioners. Some money for some commercial transaction between the Sirpur Paper Mills Limited and the writ petitioners is allegedly due to the writ petitioners. It is mentioned in the impugned proceedings that there is an account of Sri K. Srihari Rao, one of the partners of M/s. Jagresree Mines and Minerals, with second respondent, and the second respondent is directed thereunder not to pay an amount of Rs. 87,246 to Sri K. Srihari Rao or to any person authorised by M/s. Jagresree Mines and Minerals. It will be noticed that K. Srihari Rao & Company is not a defaulter. The ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ll constitute a good and sufficient discharge of the liability of such person to the extent of the amount referred to in the receipt. (4) Any person discharging any liability to the dealer after receipt of the notice referred to in this section, shall be personally liable to the assessing authority to the extent of the liability discharged or to the extent of the liability of the dealer for the amount due under this Act, whichever is less. (5) Where any person to whom a notice under this section is sent proves to the satisfaction of the assessing authority that the sum demanded or any part thereof is not due by him to the dealer, or that he does not hold any money for or on account of the dealer, then nothing contained in this section sha....