WP(C) Nos. 24877 & 24888 of 2012

Case Details & Bench

Court: High Court of Kerala
Hon'ble Judges: P. V. Kunhikrishnan
Judgment Date: 2021-11-11
Court Decision / Holding: The writ petitions are allowed. The impugned recovery notices in WP(C) Nos. 24877 and 24888 of 2012 are quashed.
Final Disposition: Writ petitions allowed; impugned recovery notices quashed.

Parties to the Case

Appellants / Petitioners

M.K. Abdul Latheef
Parveena Ice Plant
A.R.K. Ice Plant
On Ice Land Niwa
K. Viswanathan Premier Ice Plant
M/S Mubarak Ice Plant
Sakkena Beach Ice & Cold Storage
The Kerala State Ice Manufacturers Association
Yamama Ice & Sea Foods
Saleem Saleem Ice Plant
Karapurath Ice Factory
M.A. Musthafa Al Ameen Ice Factory
Abdul Manaf Ameena Ice Factory
Three Star Industrials
Abdul Salim Proprietor, ALF Ice Plant

Respondents

The Assessing Officer / Fisheries Deputy Director, Kozhikode
The Director of Fisheries, Fisheries Department, Thiruvananthapuram
State of Kerala represented by its Chief Secretary, Secretariat, Thiruvananthapuram
The Deputy Director of Fisheries, Thrissur
The Deputy Director of Fisheries, Kollam

Legal Representation & Advocates

Counsels for Petitioners

• Smt. Sumathy Dandapani (Sr.)
• Sri. Millu Dandapani

Counsels for Respondents

• Smt. Vidya KuriaKose, Government Pleader

Case Synopsis & Summary

These connected writ petitions challenge recovery notices issued under the Kerala Fishermen's and Allied Workers Welfare Cess Act, 2007. The petitioners include individual ice plant operators, ice factories, and an industry association, who contend that their business activities do not fall within the Act's ambit and seek certiorari to quash the notices and a declaration of nonliability. They argue that applying the cess to their operations would be ultra vires or misdirected and rely on prior judgments from this Court that have limited or scoped the Act's reach. The respondents contend that the cess is statutory and applicable to the fisheries sector and that the notices were correctly issued under the Act. The court, invoking Seafood Exporters Association of India v. State of Kerala (ILR 2019(1) Kerala 643) and the 2021 decision in W.P.(C) No. 22237 of 2010, holds that the impugned orders cannot stand. It quashes the recovery notices in both petitions and allows the writ petitions. The decision underscores the necessity for precise application of statutory schemes and alignment with controlling precedents, particularly where the Act's coverage has been circumscribed by other decisions. The outcome relieves the petitioners from the cess liability in these cases and sets a favorable precedent for similar sectors.

Provisions of Law Cited

Kerala Fishermen's and Allied Workers Welfare Cess Act, 2007

Submissions & Arguments

Contentions of Appellants / Petitioners

The petitioners challenge the levy under the Kerala Fishermen's and Allied Workers Welfare Cess Act, 2007, contending that their business activities do not fall within the Act's ambit and seeking certiorari to quash the notices and a declaration of nonliability. They rely on jurisdictional limits of the Act and on controlling precedents that have restricted its application to their operations.

Contentions of Respondents

The respondents contend that the cess is statutory and applicable to the fisheries sector and that the notices were properly issued under the Act. They rely on statutory provisions and on established jurisprudence that supports enforcement of the levy within the Act's ambit.

Cited Precedents (3)

Case Name	Citation	Treatment	Explanation
Seafood Exporters Association of India v. State of Kerala and others	ILR 2019(1) Kerala 643	Positive	Court relies on this precedent to construe the scope of the Act and to support quashing the challenged notices.
Judgment in W.P.(C) No. 22237 of 2010	W.P.(C) No. 22237 of 2010	Positive	The 06.10.2021 judgment is cited as supportive authority for the petitioners' challenge.
OP No. 6958 of 2003	OP No. 6958 of 2003	Mentioned Only	Exhibit P8 includes a copy of this court's judgment; mentioned in the appendix but without explicit treatment in the core reasoning.

Extracted Judgment Text

Exact text extracted from official judgment records.

## **IN THE HIGH COURT OF KERALA AT ERNAKULAM** ## **PRESENT** **THE HONOURABLE MR. JUSTICE P.V.KUNHIKRISHNAN THURSDAY, THE 11[TH] DAY OF NOVEMBER 2021 / 20TH KARTHIKA, 1943 WP(C) NO. 24877 OF 2012** ## **PETITIONERS:** 1 M.K.ABDUL LATHEEF, PARVEENA ICE PLANT, HARBOR ROAD, JN, BEYPOOR P.O. KOZHIKODE 673015. 2 CRESENT ICE BEACH ROAD, BEYPOR KOZHIKODE 673015, REPRESENTED BY ITS MANAGING PARTNER ABDUL RAZAK. 3 A.R.K. ICE PLANT BEACH ROAD, BEYPOR KOZHIKODE 673015, REPRESENTED BY ITS MANAGING PARTNER ABDUL RAZAK. 4 ON ICE LAND NIWA, FAROOK COLLEGE P.O. KOZHIKODE 673632, REPRESENTED BY ITS MANAGING PARTNER MOHAMMED NAJEEB. 5 K.VISWANATHAN PREMIER ICE PLANT FISHING HARBOR ROAD BEYPOR, CALICUT 673015. 6 M/S.MUBARAK ICE PLANT BEACH ROAD, BEYPOR KOZHIKODE 673015, REPRESENTED BY ITS MANAGING PARTNER C.P.ABDUL LATHEEF. 7 SAKKENA BEACH ICE & COLD STORAGE, BEACH ROAD, BEYPOR CALICUT 673015. BY ADVS. SMT.SUMATHY DANDAPANI (SR.) WP(C) Nos. 24877 & 24888 of 2012 2 SRI.MILLU DANDAPANI ## **RESPONDENTS:** 1 THE ASSESSING OFFICER / FISHERIES DEPUTY DIRECTOR KOZHIKODE 673015. 2 THE DIRECTOR OF FISHERIES FISHERIES DEPARTMENT THIRUVANANTHAPURAM - 695001. 3 STATE OF KERALA REPRESENTED BY ITS CHIEF SECRETARY SECRETARIAT, THIRUVANANTHAPURAM 695001. SMT.VIDYA KURIAKOSE, GP THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 11.11.2021, ALONG WITH WP(C).24888/2012, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C) Nos. 24877 & 24888 of 2012 3 ## **IN THE HIGH COURT OF KERALA AT ERNAKULAM** ## **PRESENT** **THE HONOURABLE MR. JUSTICE P.V.KUNHIKRISHNAN THURSDAY, THE 11[TH] DAY OF NOVEMBER 2021 / 20TH KARTHIKA, 1943** ## **WP(C) NO. 24888 OF 2012** ## **PETITIONERS:** 1 THE KERALA STATE ICE MANUFACTURERS ASSOCIATION REG. NO. ER 906/02, PREMIER BUILDING, FISHERIES HARBOUR THOPPUMPADY-682005, REPRESENTED BY ITS GEN. SECRETARY SRI. K. UTHAMAN. 2 YAMAMA ICE & SEA FOODS BLANGAD, CHAVAKKAD-680506 REPRESENTED BY ITS MANAGING PARTER P.K. UNNIKRISHNAN. 3 SALEEM SALEEM ICE PLANT, (SALEEM HELADORA & FROZERS) BLANGAD, CHAVAKKAD-680506. 4 KARAPURATH ICE FACTORY EDAMUTTOM, THRISSUR-680568 REPRESENTED BY ITS MANAGING PARTNER M.E. ABDHU. 5 M.A. MUSTHAFA AL AMEEN ICE FACTORY VADANAPPILLY.P.O., GANAESAMANGALAM, THRISSUR-680614. 6 ABDUL MANAF AMEENA ICE FACTORY AZHEEKODE JETTY.P.O., THRISSUR-680666. 7 THREE STAR INDUSTRIALS AZHEEKODE JETTY.P.O., THRISSUR-680666 WP(C) Nos. 24877 & 24888 of 2012 **==> picture [7 x 7] intentionally omitted <==** REPRESENTED BY ITS MANAGING PARTNER K.A. ALU. 8 ABDUL SALIM PROPRIETOR, ALF ICE PLANT CHANGANKULANGARA VAVVAKKAVU.P.O., KARUNAGAPPALLY KOLLAM-690528. BY ADVS. SMT.SUMATHY DANDAPANI (SR.) SRI.MILLU DANDAPANI ## **RESPONDENTS:** 1 THE ASSESSING OFFICER & FISHERIES DEPUTY DIRECTOR O/O. DEPUTY DIRECTOR OF FISHERIES, THRISSUR-680004. 2 THE ASSESSING OFFICER & FISHERIES DEPUTY DIRECTOR O/O. DEPUTY DIRECTOR OF FISHERIES KOLLAM-691013. 3 THE DIRECTOR OF FISHERIES FISHERIES DEPARTMENT, THIRUVANANTHAPURAM-695001. 4 STATE OF KERALA REPRESENTED BY ITS CHIEF SECRETARY SECRETARIAT, THIRUVANANTHAPURAM-695001. BY ADV.SMT.VIDYA KURIAKOSE, GOVERNMENT PLEADER THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 11.11.2021, ALONG WITH WP(C).24877/2012, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C) Nos. 24877 & 24888 of 2012 5 ## **P.V.KUNHIKRISHNAN, J** **---------------------------------W.P.(C)Nos.24877 and 24888 of 2012 ---------------------------------Dated this the 11[th] day of November 2021** ## **JUDGMENT** **The above two writ petitions are connected and therefore I am disposing these writ petitions by a common judgment. It will be enough, if the prayer in one of the writ petition is extracted. The prayer in W.P. (C)No.24877/2012 is extracted hereunder:** _“(i) declare that petitioners will not come under the purview of the Act. (ii) issue a writ of certiorari to set aside the notices Exts.P1 to P7 issued by the 1[st] respondent. (iii)award cost of this petition. (iv)grant such other relief as this_ _Hon'ble Court may deem fit and proper in the facts and circumstances of the case.”_ **2. Petitioners are aggrieved by the proceedings taken under the Kerala Fishermen's and Allied Workers Welfare Cess Act, 2007 demanding cess. Both sides submitted that the** WP(C) Nos. 24877 & 24888 of 2012 6 **matter is covered by the judgment of this Court in** _**Seafood Exporters Association of India v. State of Kerala and others [ILR 2019(1) Kerala 643]**_ **and the judgment dated 06.10.2021 in W.P.(C)No.22237 of 2010.** **In the light of the above judgments, I think the impugned orders will not stand. Therefore, these writ petitions are allowed. The impugned recovery notices in W.P. (C)Nos.24877 and 24888 of 2012 are quashed.** ## **Sd/-** **P.V.KUNHIKRISHNAN JUDGE** **DM** WP(C) Nos. 24877 & 24888 of 2012 7 ## **APPENDIX OF WP(C) 24877/2012** ## PETITIONER EXHIBITS |EXHIBIT P1|TRUE COPY OF NOTICE NO.E/3224/08| |---|---| ||DATED 4/8/2012 ISSUED TO 1ST| ||PETITIONER.| |EXHIBIT P2|TRUE COPY OF NOTICE NO.E/3224/08| ||DATED 4/8/2012 ISSUED TO 2ND| ||PETITIONER.| |EXHIBIT P3|TRUE COPY OF NOTICE NO.E/3224/08| ||DATED 4/8/2012 ISSUED TO 3RD| ||PETITIONER.| |EXHIBIT P4|TRUE COPY OF NOTICE NO.E/3224/08| ||DATED 4/8/2012 ISSUED TO 4TH| ||PETITIONER.| |EXHIBIT P5|TRUE COPY OF NOTICE NO.E/3224/08| ||DATED 4/8/2012 ISSUED TO 5TH| ||PETITIONER.| |EXHIBIT P6|TRUE COPY OF NOTICE NO.E/3224/08| ||DATED 4/8/2012 ISSUED TO 6TH| ||PETITIONER.| |EXHIBIT P7|TRUE COPY OF NOTICE NO.E/3224/08| ||DATED 4/8/2012 ISSUED TO 7TH| ||PETITIONER.| |EXHIBIT P8|TRUE COPY OF REPLY DATED 3/10/12| ||SUBMITTED BY 3RD PETITIONER TO R1.| |EXHIBIT P9|TRUE COPY OF LETTER NO.K3-19431/12| ||DATED 22/9/12 ISSUED BY 2ND| ||RESPONDENT.| |RESPONDENTS EXHIBITS :NIL|| |EXHIBIT R3(A)|A TRUE COPY OF THE SCHEME.| WP(C) Nos. 24877 & 24888 of 2012 8 ## **APPENDIX OF WP(C) 24888/2012** ## PETITIONER EXHIBITS EXHIBIT P1 TRUE COPY OF THE ORDER NO.B1053/2008(4)DATED 20.9.2012 ISSUED BY THE 1ST RESPONDENT. EXHIBIT P2 TRUE COPY OF THE ORDER NO.B1053/2008(7)DATED 20.9.2012 ISSUED BY THE 1ST RESPONDENT. EXHIBIT P3 TRUE COPY OF THE ORDER NO.B1053/2008(3)DATED 20.9.2012 ISSUED BY THE 1ST RESPONDENT. EXHIBIT P4 TRUE COPY OF THE ORDER NO.B1053/2008(8)DATED 20.9.2012 ISSUED BY THE 1ST RESPONDENT. EXHIBIT P5 TRUE COPY OF THE ORDER NO.B1053/2008(9)DATED 20.9.2012 ISSUED BY THE 1ST RESPONDENT. EXHIBIT P6 TRUE COPY OF THE NOTICE NO.87/CESS/10-11, DATED 13.6.2011 ISSUED BY THE 1ST RESPONDENT. EXHIBIT P7 TRUE COPY OF THE LETTER NO.1/3160/08 DATED 16.8.2012, ISSUED BY THE 2ND RESPONDENT. EXHIBIT P8 TRUE COPY OF THE JUDGMENT IN OP NO.6958 OF 2003 DATED 31.8.2005 OF THIS HON'BLE COURT. RESPONDENTS EXHIBITS :NIL //TRUE COPY// PA TO JUDGE