A seized vehicle may be released upon payment of outstanding taxes and compounding fees, provided that any further penalty is determined separately after affording the owner a notice and an opportunity for a hearing.

ORDER:

This writ petition is filed seeking following relief:

“To declare the action of the 2nd respondent in insisting to pay the tax and penalty as a condition for release of the vehicle of the petitioner No.TG13T1270 seized under vehicle Check Report No.373435 dated 20.02.2026, as illegal and arbitrary and for consequential relief.”

2. Heard Sri B. Siva Rama Krishnaiah, learned counsel for the petitioner and learned Government Pleader for Transport.

3. Learned counsel for the petitioner would submit that petitioner is the owner of a tourist vehicle bearing No.TG13T1270 with all requisite permissions and documents; that the permit is valid up to 01.01.2029 and petitioner paid tax up to 31.12.2025; that the petitioner has all the requisite documents i.e., fitness certificate, insurance certificate, pollution certificate and driving license. He further submitted that the vehicle was kept at Durga Mechanical Garage at Borrampeta for service; that when the mechanic of the said garage has taken out the vehicle towards outer ring road for trial run, the respondent No.3 has stopped the vehicle and seized the same on the ground that vehicle was plying without paying tax and documents namely RC, permit, IC, PUC, DL, FC, etc. Learned counsel for the petitioner further submitted that the petitioner has all the requisite documents, however, the tax for the quarter ending 31.03.2026 is to be paid and the petitioner is ready and willing to pay the tax amount along with compounding fee and prayed to allow the writ petition and pass appropriate orders.

4. Learned Assistant Government Pleader for Transport, on written instructions, would submit that the vehicle may be directed to be released subject to payment of tax up to 31.03.2026, compounding fee as well as penalty which may be decided by respondent No.2 in accordance with law.

5. In the light of submissions made by learned counsel for the petitioner as well as learned Assistant Government Pleader for Transport, the writ petition is disposed of with a direction to respondent No.2 to release the vehicle subject to payment of tax for the quarter ending 31.03.2026 and compounding fee. Respondents are at liberty to determine the penalty in accordance with law and relevant rules by duly issuing notice and affording an opportunity of hearing to the petitioner. No order as to costs.

Miscellaneous petitions, if any pending, shall stand dismissed.