STATE OF KERALA vs K. M. CHARIA ABDULLAH & CO.

The Supreme Court held that the High Court erred in declaring Rule 14A of the Madras General Sales Tax Rules, 1939, ultra vires the Madras General Sales Tax Act, 1939, specifically Section 12(2)(i). The Court established that the revising authority is permitted to direct further inquiry if it finds prima facie illegality or impropriety in the record. The Court set aside the High Court's order and remanded the proceedings for disposal according to law.