2001 (10) TMI 1132

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....ncorporated under the Indian Companies Act and petitioner No. 2 is its Vice-President. For the assessment year 1993-94, the Sales Tax Officer rejected the books of accounts of the company and raised a demand of Rs. 33,48,97,000 thus enhancing the original assessment by Rs. 3,04,48,546. Against the said order, the petitioners filed first appeal before the Assistant Commissioner, but were not successful. Therefore, they preferred second appeal before the Sales Tax Tribunal. When the matter was pending before the Tribunal, notice of attachment was issued on them by the Sales Tax Officer. Being aggrieved by such notice, they approached this Court by filing a writ petition which was registered as O.J.C. No. 1969 of 1996. By order dated March 11,....

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....000 to the petitioners by his order dated July 1, 2000, copy whereof is annexure 1. The petitioners filed an application for refund on July 24, 2000, copy of which is at annexure 2. As stated earlier, the petitioners had claimed Rs. 73,73,424 towards interest, but the Sales Tax Officer has allowed Rs. 31,16,438 only on that head. While doing so, he has awarded interest at the rate of 10 per cent per annum on the refundable amount of Rs. 75,00,000, calculating it from the date of deposit. 3.. The questions now arise for determination are: (i) What should be the rate of interest payable to the petitioners on the deposit of Rs. 50,00,000 in absence of any percentage fixed by this Court by order dated March 11, 1996? (ii) From what dat....

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....dustries Ltd. v. State of Orissa [2004] 134 STC 62. directed to refund the amount of interest granted in their favour on the deposit of Rs. 25,00,000, as this Court had not given any direction regarding payment of interest on the said deposit. 5.. We have considered the rival submissions. While directing the petitioners to deposit Rs. 50,00,000, this Court has made it clear that interest shall be calculated from the date of deposit and not from the date of formal application of refund. Of course, this Court has not indicated at what rate interest is payable. But the mention of "the date of formal application" clearly indicates that this Court was referring to section 14-C of the Orissa Sales Tax Act, which reads as under prior to its ....