(1)The Commissioner may, at the time of granting of certificate of registration to dealer under Section 31 or any time thereafter for good and sufficient reasons to be recorded in writing, require the dealer to furnish in the prescribed manner such security or such additional security as may be specified by him for securing proper and timely payment of tax or any other sum payable by him under this Act.
(2) The Commissioner may, by order in writing and for good or sufficient reason to be accorded therein, demand from any person after than a registered dealer, who imports into Meghalaya any consignment of goods, a reasonable security for ensuring that there is no evasion of tax.
(3) The Commissioner may, by order in writing and for good and sufficient reason, demand from any person or a dealer a reasonable security for proper use and safe custody of the form referred to in sub-section (2) of Section 75 and obtained from the prescribed authority.
(4) The Commissioner may, by 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 sub-section (1), sub-section (2), or sub-section (3), as the case may be, furnished by a dealer, registered dealer, undertaking or person as required by sub-section(1) or demanded under sub-section (2), or sub-section (3), for-(a)Realizing or recovery of tax 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, blank or unsaved forms of way bill.
(5)Where, the Commissioner may be reason of any order under sub-section (4), the security as required by a dealer, registered dealer, undertaking or person is forfeited in whole or is rendered insufficient, such dealer, registered dealer, undertaking or person, shall on demand by order of the Commissioner, furnish fresh or further security of the requisite amount or shall makeup the deficiency, as the case may be, in such manner and within such period as may be specified in such order.
(6) The Commissioner may, on application by a dealer, registered dealer, undertaking or persons who has furnished security as required by sub-section (1) or demanded under sub-section (2) or sub-section (3), refund in the prescribed manner any amount of security or part thereof if each security is not required for the purposed for which it was furnished.
(7) Security as required by sub-section (1) or demanded under sub-section (2) sub-section(3) or sub-section (5) shall be furnished by a dealer, registered dealer, undertaking or person in such manner and by such time as may be specified in the order requiring to furnish, or demanding such security.
(8) No order shall be passed under this section without giving the dealer, registered dealer undertaking or person an opportunity of being heard.