1996 (3) TMI 524

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....egistration certificate under the Tamil Nadu General Sales Tax Act, 1959 and the Central Sales Tax Act, 1956 from 1975 onwards, has been called upon to pay a sum of Rs. 1,50,000 as security deposit in any nationalised bank in order to prove the genuiness of his business transactions failing which it is threatended that the registration certificate will be cancelled. 2.. Section 21(2-B) and (2-C) r....

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....dditional security under sub-section (2-B) by the authority referred to therein, unless he has been given an opportunity of being heard. The amount of security which a dealer may be required to furnish under sub-section (1-A) or sub-section (2-B) or the aggregate of the amount of such security and the amount of additional security which he may be required to furnish under sub-section (2-B) by the ....

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....gs bank deposit duly pledged in the name of the registering authority, etc. 4.. In the instant case before threatening the cancellation of registration with direction to pay a sum of Rs. 1,50,000 in cash by depositing in a nationalised bank, the Commercial Tax Officer (FAC), Sankarankoil, has not applied his mind to the above provisions of the Here italicised. Act and Rules. He has arbitrarily d....