Compounding Fee not become illegal or arbitrary just because it exceeds principal and interest amount

Vikram Singh Vs. Union Of India & Ors. (Delhi High Court) Only because in a particular case, due to the delay attributable purely to the petitioner, the amount of compounding charges turned out to be much higher than the principal and the interest, it does not per se render the compounding charges illegal or arbitrary. The petitioner ought to have exercised due diligence and deposited the tax and the interest at the inception without prejudice to his rights and contentions in the appeal. The non-payment of tax amounts, which are determined to be offences under the Act and delay by the pet...