T if IN THE HIGH COURT OF ANDHRA PRADESH :: AMARAVATI (Special Original Jurisdiction) FRIDAY, THE TENTH DAY OF JANUARY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION NO: 975 OF 2025 Between: IRISE India Private Limited, Having its registered Office at X Cube, 1 Floor, Off Link Road. Andheri West, Mumbai-400053., Rep. its Assistant Manager/Authorized representative, namely Mr.Kiran Nehete. St ...Petitioner AND 1. The State of Andhra Pradesh, Rep. by its Principal Secretary, Transport Roads and Buildings Department, Secretariat Buildings, Velagapudi Village, Tullur Mandal, Guntur District. 2. The Transport Commissioner, Government of Andhra Pradesh, Pandit Nehru Bus Station, Vijayawada NTR District. 3. The Deputy Transport Commissioner-cum- Regional Transport Commissioner, Punammathota, Labbipet, Vijayawada - 520010. 4. The Motor Vehicle Inspector, Jagayyapet, NTR District. 5. The Assistant Motor Vehicle Inspector, Jagayyapet, NTR District. ...Respondents Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue a writ, order or direction more particularly one in the nature of writ of Mandamus questioning the action of the 3'^'^ respondent in not releasing the Unregistered Construction Equipment Vehicle (Imported) Engine and NO.LXGCPA501 RA005810 Chassis bearing NO.7524C009881/20240059, by directing to pay life tax @ 7.5% on the invoice including custom duty and GST, by issuing Show Cause Notice . NO.1011/C1/2024, dated 16.11.2024, as illegal, arbitrary, contrary to sections 40, 49, 207(2) of the Motor Vehicle Taxation Act, 1988 and section 3 of 19(1)(g), 21 and 300A of the Constitution of India and consequently direct the Respondent No.3 to release the Unregistered Chassis Construction Equipment Vehicle (Imported) bearing NO.LXGCPA501RA005810 and Engine No.7524C009881/20240059. lA NO: 1 OF 2025 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased to direct the Respondent No.3 to release the Unregistered Construction Chassis bearing (Imported) Vehicle Equipment No. LXGCPA501RA005810 and Engine No.7524C009881/20240059 pending disposal of the above writ petition. Counselfor the Petitioner:SRI MADHAVARAO NALLURI Counsel for the Respondent Nos.1 to 5: GP FOR TRANSPORT The Court made the following: ORDER —'r ^ - ::1:: > APHC010017792025 I IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3329] FRIDAY ,THE TENTH DAY OF JANUARY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION NO: 975/2025 Between: Irise India Private Limited ...PETITIONER AND The State Of Ap and Others ...RESPONDENT(S) Counsel for the Petitioner: 1.MADHAVA RAO NALLURI Counsel for the Respondent(S): 1.GP FOR TRANSPORT 2 THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION NO: 975 of 2025 This Court made the following ORDER: This writ petition is filed under Article 226 of the Constitution of India seeking the following relief; “..to issue a writ, order or direction more particularly one in the nature of WRIT OF MANDAMUS questioning the action of the 3^'^ respondent in not releasing the Unregistered Construction Equipment Vehicle (Imported) bearing Chasis No. LXGCPA501RA005810 and Engine NO.7524C009881/20240059 by directing to pay life tax @ 7.5% on the invoice including custom duty and GST, by issuing Show Cause Notice NO.1011/C1/2024, dated 16.11.2024, as illegal, arbitrary, contrary to sections Vehicle Taxation Act, 1963, and violative of Articles 14, 19(1)(g), and 300-A of the Constitution of India and consequently, direct the Respondent No.3to release the Unregistered Construction Equipment (Imported) bearing Chasis No. LXGCPA501RA005810 and Engine No.7524C009881/20240059 and to pass..” 21 Vehicle 2. The case of the Petitioner is that the Petitioner is a limited company doing business of leasing out the construction equipment to third parties, of business the Petitioner company imported the subject In the process Unregistered Construction Equipment Vehicle (Imported) bearing Chasis No. LXGCPA501RA005810 and Engine No.7524C009881/20240059 3 (a) The further case of the Petitioner is that after importing the subject vehicle the Petitioner got an opportunity of granting lease of the subject vehicle to the 3'"^ party who are situated in Andhra Pradesh. Since the terms of lease period was fixed for short time the Petitioner unable to get it registered in compliance of Section 40 of the Motor Vehicles Act, 1988 (for short “Act”) in the State of Maharashtra, which is the principal place of business as well as residential place of the Petitioner company. (b) While transporting the subject vehicle to Andhra Pradesh, the Respondent Authorities seized the vehicle on the ground of violation of Section 39 of the Act i.e., (1) using vehicle without registration and (2) vehicle with non-payment of tax as well as G.O.Ms.No.43 Tr&B(Tr.l) Dept., dated 17.07.2015. 3. Learned counsel for the Petitioner submits that whatever may be the claim of the Respondents, the subject vehicle should be registered in the State of Maharashtra since the principal place of business as well residence of the Petitioner was situated in Mumbai as contemplated U/s 40 of the Act. Section 40 of the Act reads thus: “40. Registration, where to be made - Subject to the provisions of section 42, section 43 and section 60, every owner of a motor vehicle shall cause the vehicle to be registered by [any registering authority in the State] in whose jurisdiction he has the residence or place of business where the vehicle is normally kept.” ;4 He further submits that there is a default on the part of the Petitioner to get it registered the vehicle immediately after importing the same and before transporting the same to the State of Andhra Pradesh. If a vehicle the roads of State of Andhra Pradesh, as per the G.O.Ms.No.43, plying on dated 17.07.2015 the Petitioner is liable to pay Rs.50,000/- as tax for one along with compounding fee of Rs.6,000/- (Rs.5000/- for using year vehicle without registration and Rs. 1,000/- under the header Vehicle with of Tax/Without Tax/No Tax/HMV). In compliance of the Non-Payment the Petitioner already paid Rs.50,000/- except life tax and penalty. Even after the receipt of the same the Respondents are not releasing the same of Sections 39 and 40 vehicle to get it registered to comply the provisions of the Act. the other hand, learned Government Pleader for Respondents 4, On submits that an unregistered vehicle cannot be entered on road, more so other than the State. He further submits that since it was entered into the State of Andhra Pradesh and it is an unregistered jurisdiction of the vehicle, the owner of the vehicle is liable to pay tax @7.5 % of the cost of life tax and for delay in registration of the vehicle and should the vehicle as suffer penalty @ 2% per month. Accordingly, the Petitioner was served a demand notice on 06.01.2025 for payment of Rs. 16,81,091/-. Unless the 4f 5 Petitioner addressed the said amount, the claim of the Petitioner i release of the vehicle cannot be granted. i.e. 5. Heard learned counsel for the Petitioner and learned Government Pleader for Respondent. A perusal of the material placed on record, it is observed that the subject vehicle is newly imported vehicle by the Petitioner. It is an admitted fact that the Petitioner is having its principal place of business as well as residence within the jurisdiction of the State of Maharashtra. On perusal of the Section 40 of the Act as extracted above, every owner of a new vehicle shall cause the vehicle to be registered by [any registering authority in the State] in whose jurisdiction he/it has the residence or place of business is situated. If that is so, the Petitioner shall submit evidence that where the vehicle should be registered is within the jurisdiction of Andhra Pradesh or within the jurisdiction of State of Maharashtra. 6. As per the evidence submitted by the Petitioner along with Writ Petition the subject vehicle should be registered within the jurisdiction State of Maharashtra. The demand notice demanding of payment of life tax as well as penalty does not arise except annual tax of Rs.50,000/- along with compounding fee. Even though the documents and evidence put forth by the Petitioner is not sufficient to come to a conclusion that the vehicle should^be registered in the State of Maharashtra, then it can be of 6 registered at Andhra Pradesh, they are entitled to collect life tax as well as the penalty as per demand notice dated 06.01.2025. 7. In view of the reasons as stated above, this Writ Petition is disposed of directing the Respondent Authorities to consider the documents, material and evidence submitted by the Petitioner and determine whether the vehicle to be registered either within the jurisdiction of Maharashtra Andhra Pradesh and after such conclusion / determination Respondent Authorities, or by the shall release the vehicle after collecting Rs.50,000/- M.V. Tax along with compounding fee and also 50% of the penalty as per the demand notice dated 06.01.2025. After such payment the Respondents shall release the vehicle of the Petitioner within the two weeks of such payment. 8. Accordingly, the Writ Petition is disposed of. No costs. As a sequel, interlocutory applications, if any pending, shall stand closed. Sd/-K.SRINIVASA RAJU ASSISTANT REGISTRAR / //TRUE COPY// SECTION OFFICER To, The Principal Secretary, Transport Roads and Buildings Department, State of Andhra Pradesh, Secretariat Buildings, Velagapudi Village, Tullur Mandal, Guntur District. The Transport Commissioner, Government of Andhra Pradesh, Pandit Nehru Bus Station, Vijayawada NTR District. The Deputy Transport Commissioner-cum- Regional Transport Commissioner, Punammathota, Labbipet, Vijayawada - 520010. The Motor Vehicle Inspector, Jagayyapet, NTR District. The Assistant Motor Vehicle inspector, Jagayyapet, NTR District. 1. 2. 3. 4. 5. - rr ■ 6. One CC to Sri Madhava Rao Nalluri, Advocate [OPUC] 7. Two CCs to GP for Transport, High Court of Andhra Pradesh. [OUT] 8. Three CD Copies. ssb HIGH COURT DATED:10/01/2025 f- ORDER WP.No.975 of 2025 AND/y;^ ... ^ 2 k JAM 2^'3 . Curreni becuon !!!5:^SPaTCV^^^ a: m O 03, DISPOSING OF THE W.P. WITHOUT COSTS