No VAT penalty on basis of discrepancy found during survey if no witness was available at that time

The High Court of Rajasthan held that where Assessing Officer conducted survey upon assessee and taking into consideration discrepancies noticed at that time levied penalty under section 77(8) upon assessee, since there was no witnesses present at time of survey, there was no compliance of rule 50 and, therefore, penalty was rightly deleted by Appellate Authorities.