JUDGMENT

Dr. Arijit Pasayat, J. —

1. Leave granted.

2. Challenge in this appeal is to the judgment of a Division Bench of the Andhra Pradesh High Court granting partial stay of realization of demand raised against the appellant. Following order was passed by the High Court:

“On payment of 50% of the disputed tax within a period of six weeks from today by the petitioner, there shall be interim stay as prayed for. The amount already paid shall be given credit to.”

3. In support of the appeal, learned counsel for the appellant submitted that appellant is a sick company and therefore the High Court should not have directed payment of the amount as directed.

4. Learned counsel for the respondent-State on the other hand submitted that A.P. Tax on Entry of Goods into Local Areas Act, 2001 (in short the ‘Act’) clearly permits the levy. In revenue matters this Court should not interfere.

5. Principles relating to grant of stay pending disposal of the matters before the concerned forums have been considered in several cases. It is to be noted that in such matters though discretion is available, the same has to be exercised judicially.

6. The applicable principles have been set out succinctly