S. R. RAJASEKHARA MURTHY, J. - Brindavan Industries, Raichur, was a dealer registered under the Karnataka Sales Tax Act, 1957 ("the KST Act") For the assessment years, 1977 to 1979, it fell into arrears of tax payable under the Act in a sum of Rs. 47,847 and thus became a defaulter under the Act,

2. The defaulter had obtained a loan on the security of the building and machinery, etc., from the Karnataka State Financial Corporation ("KSFC" for short). For default in repaying the loan, the assets of Brindavan Industries, both movables and immovables, were brought to sale by the KSFC and in the auction-sale held on 17th February, 1984, the assets of the defaulter were sold in public auction and the petitioner in this writ petition was the highest bidder. Thus, both the movable and immovable assets of the defaulter were handed over by the KSFC to the petitioner.

3. After the assets were thus transferred in favour of the petitioner, the recovery officer attached to the commercial tax department, Gulbarga, issued a notice to the petitioner on 20th August, 1985, as per annexure-B, calling upon the petitioner to pay the arrears of tax and penalty in a sum of Rs. 47,847 due from Sr