M.R.Sharma, J.

1. The petitioner is a partnership firm (hereinafter called the petitioner-firm) registered as a dealer under the Punjab General Sales Tax Act (hereinafter referred to as "the Act"). It filed the necessary returns for the year 1967-68. On the basis of these returns, the Assessing Authority framed the assessment. It is stated that the sales tax payable by the petitioner-firm had already been deposited along with the returns. The Assessing Authority filed the case on 27th October, 1969. There after, the Assessing Authority served another notice upon the petitioner firm in form S.T. XIX in which it was mentioned that the sales amounting to Rs. 1,32,038.76 made to different registered dealers were wrongly allowed because those dealers were not genuine dealers in terms of the definition of the word "dealer" as given in Section 2(d) of the Act. The petitioner-firm was called upon to show cause why the exemption granted to it under Section 5(2)(a)(ii) of the Act in respect of the sales made to the alleged ungenuine dealers be not withdrawn. In response to this notice, a representative of the petitioner-firm appeared before the Assessing Authority and submitted that