AIR 1997 SUPREME COURT 3285 ::1997 AIR SCW 3348 ::(1997) 43 KantLJ(Trib) 438 ::(1998) 99 ELT 33 ::(2004) 117 ECR 271 ::1997 (2) UJ (SC) 551 ::1997 (7) SCC 1 ::(1997) 5 Scale 471 ::1998 BRLJ 82 ::(1997) 106 STC 604 ::(1997) 7 Supreme 365 ::(1997) 7 JT 427 (SC) ::1997 (7) JT 427

Supreme Court Of India

(From : Madhya Pradesh)*

Hon'ble Judge(s): J. S. Verma, B. N. Kirpal , JJ

Constitution of India , Art.246— Madhya Pradesh Sthaniya Kshetra Me Mal Ke Pravesh Par Kar Adhiniyam (52 of 1976) , S.7(5)— S. 7(5) is not ultra vires on ground that presumption provided thereunder is not rebuttable and it leaves no discretion to reduce or waive penalty on ground of absence of mala fide. M.P. No. 696 of 1993, D/- 23-2-1995 (Madh Pra), Reversed. Section 7(5) is not ultra vires on the ground that presumption under it, is not rebuttable and it leaves no discretion to authority to waive or reduce penalty on the ground of absence of mala fide. What is to be noted is that S. 7(5) has to be construed to mean that the presumption contained therein is rebuttable and secondly the penalty of ten times the amount of entry tax stipulated therein is only the maximum amount which could be levied and the assessing authority has the discretion to levy lesser amount, depending upon the facts and circumstances of each case. Section 7(5) when construed in the aforesaid manner, it will be apparent that it is not ultra vires. .....