196 Forfeiture of security furnished under rule 120 or rule 196

Forfeiture of security furnished under rule 120 or rule 196.

196.

The Commissioner may, by an order in writing and for good or sufficient reasons to be recorded therein, forfeit the whole or any part of the security or additional security referred to in clause (a), clause (b), clause (c) of rule 195 or rule 105, as the case may be, furnished by a dealer, casual dealer, or person as demanded under clause (a), clause (b), clause (c) of rule 195 or rule 105 for -

(a) realising or recovery of tax , penalty , interest or any other sum due; or

(b) recovery of any financial loss caused to the State Government due to negligence or default in not making proper use of, or not keeping in safe custody, declarations or blank forms of declaration or way bill; or

(c) recovery under section 55 or under section 60 or section 60A of the amount of penalty remaining unpaid.