2021 (8) TMI 482

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....021 in W.P.No.24760 of 2018. 3. The appellant - Mrs.K.Parimalam, W/O late V.Kadirvel, who was the proprietor of M/s.Sri Angalamman Traders and who was registered as a dealer under the provisions of the Tamil Nadu General Sales Tax Act, 1959 (for short, the TNGST Act, 1959) on the file of the respondent, filed the said writ petition challenging the notice of recovery issued by the respondent dated 31.5.2002 under the provisions of the Tamil Nadu Revenue Recovery Act, 1864 read with Section 29 of the TNGST Act, 1959 and to direct the respondent to raise the encumbrance created by way of intimation dated 12.12.2007. 4. The learned Single Judge, by the impugned order, dismissed the said writ petition and aggrieved by the same, the appella....

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....lied for registration under the provisions of the TNGST Act, 1959, he was required to furnish security for registration. The appellant voluntarily offered the property in S.F.No.52/2A in site Nos.15 and 16 near SIHS Colony, Singanallur, Coimbatore measuring an extent of 10 cents and 382 sq.ft as a security and assured the Government of Tamil Nadu that for any amount due and payable by the registered dealer towards tax or penalty, they are first entitled to proceed against the property of the appellant, which had been more fully described in the schedule to the security bond. 8. The argument of the appellant is that she has been described as a surety. 9. In fact, the description of the appellant as a surety is on account of the appella....

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.... the appellant's husband to furnish security as required under Section 21 of the TNGST Act, 1959. Therefore, the appellant mortgages and creates a charge over the property mentioned in the schedule to the bond to the Government of Tamil Nadu under Section 21 of the TNGST Act, 1959 and covenants that if the security amount due under Section 21 of the TNGST Act, 1959 is not required, the bond shall be void and of no effect, otherwise, it should remain in full force and effect. The statutory form further stipulates the amount of stamp that should be affixed. 13. Admittedly, there is no necessity for registration of a security bond as the appellant is irrevocably bound herself to the dues payable by the firm at the time when the registra....