STATE OF UTTARANCHAL vs KAILASH MOTORS

The Supreme Court addressed the issue of tax recovery rights under the U.P. General Sales Tax Act prior to the State Reorganization Act of 2000, determining that the High Court had not adequately resolved this question. The Court set aside the impugned judgment and remitted the matter to the Uttaranchal High Court for fresh consideration, emphasizing the need for a thorough examination of the relevant provisions of the 2000 Act. The appeal was allowed with no order as to costs.