- (1.) Leave granted.
(2.) These two appeals are inter-linked being directed against the judgment of the Orissa High Court in Writ Petition No. OJC 13435/2000. The writ application was filed by Orient Papers Mills (hereinafter referred to as the 'assessee') under Articles 226 and 227 of the Constitution of India, 1950 (in short the 'Constitution') for a direction to Sales Tax Officer Sambalapur III Circle, Jharsuguda and the Commissioner of Sales Tax, Orissa to refund the sales tax collected along with interest. The Sales Tax Officer (opposite party No. 1) in the writ petition had calculated the interest payable to the assessee at Rs. 31,16,438/-. According to the assessee the amount payable was Rs. 73,73,424/-.
(3.) Background facts which led to filing of the writ petition as described therein are as follows : The assessee is a dealer registered under the Orissa Sales Tax Act, 1947 (in short the 'Act'). For the assessment year 1993-94, the Sales Tax Officer rejected the books of accounts of the assessee and raised a demand of Rs. 33,48,97,000/- resulting in an extra demand of Rs. 3,04,48,546/-. The assessee filed first appeal before the Assistant Commissioner of Sales Tax, and being unsuccessful filed second appeal before Orissa Sales Tax Tribunal (in short the 'Tribunal'). When the matter was pending before the Tribunal, a notice of attachment was issued by the Sales Tax Officer. Questioning the notice, the assessee filed a writ petition before the Orissa High Court which was registered as OJC No. 1969/1996. By order dated 11-3-1996 the High Court vacated attachment and directed the assessee to deposit a sum of Rupees 50 lakhs on or before 25-3-1996 without prejudice and subject to result of the writ petition. It was made clear in the order that if the assessee was entitled to any refund, it can ask for the same together with interest which would be calculated on and from the date of deposit and not from the date of formal application for refund. It may be noted here that the assessee had moved an application for stay before the Commissioner of Sales Tax who had directed the assessee to deposit a sum of rupees one crore by 15-9-1996. Against that order the assessee filed a writ petition OJC No. 9735/1996. By order dated 17-9-1996 taking into account the fact that the assessee had already deposited Rupees 50 lakhs pursuant to the directions given in the other writ petition, the High Court directed deposit of a further sum of Rupees 25 lakhs without prejudice to the claims involved. The payment was to be made by 23-9-1996 which was done. The second appeal was disposed of by the Tribunal remanding the matter to the Assistant Commissioner. Against the said order the State Government filed an application before the Tribunal seeking a reference to the High Court but the same was rejected as according to it no question of law was involved. After remand, the Assistant Commissioner re-considered the matter and directed refund of Rupees 75 lakhs by its order dated 1-7-2000. An application for refund was filed by the assessee on 24-7-2000. In the application for refund, the assessee claimed Rs. 73,73,424/- as interest. But according to the Sales Tax Officer the amount payable was only Rs. 31,16,438/- calculating the interest from the dates of deposit.;