(1) With a view to preventing or checking evasion of tax under this Act, checkposts or barriers or both, as the case may be, established or erected under the provisions of VAT Act shall be deemed to be a recognised check-posts or barriers for the purpose of this Act.

(2) At every check-post or barrier mentioned in sub- section (1) or at any other place when so required by the officer-in-charge of the check-post or barrier or an officer authorised by the Commissioner in this behalf, the driver or any other person in charge of-

(a) a goods vehicle, boat or any other carrier by which any goods are under transport; or

(b) a motor vehicle referred to in sub-section (3) of section 3 which is in transit; or

(c) any machinery or equipment including earthmover, excavator, bulldozer or road roller is in transit, shall stop the goods vehicle, boat or other carrier or the motor vehicle or the machinery or equipment including earth mover, excavator, bulldozer or road roller, as the case may be, and keep it stationary as long as may reasonably be necessary and allow the officer-in-charge of the check-post or barrier or, as the case may be, the officer authorised by the Commissioner in this behalf to examine the contents of the goods vehicle, boat or other carrier and inspect all records relating to the goods carried by it or, as the case may be, to inspect the records relating to the motor vehicle or machinery or equipment including earth mover, excavator, bulldozer or road roller, as the case may be, which are in the possession of such driver or other person in charge who shall, if so required, give his name and address and the name and address of the owner of the goods vehicle, boat or other carrier, or the motor vehicle or the machinery or equipment including earth mover, excavator, bulldozer or road roller, as the case may be.

(3) The officer-in-charge of the check-post or barrier or the officer authorised by the Commissioner in this behalf may seize and confiscate the scheduled goods under transport or the motor vehicle or the machinery or equipment including earthmover, excavator, bulldozer or road roller, as the case may be, in transit as referred to in sub- section (2) where such scheduled goods or motor vehicle or machinery or equipment including earth mover, excavator, bulldozer or road roller, are liable to tax under this Act but are not covered by a way bill (as prescribed for the purposes of VAT Act) signed by the person consigning such goods or motor vehicle or, machinery or equipment including earth mover, excavator, bulldozer or road roller, as the case may be, or where such officer has a reasonable apprehension of evasion of tax in respect of such goods or motor vehicle or machinery or equipment including earth mover, excavator, bulldozer or road roller:

Provided that before taking action for the confiscation of goods under this sub-section, the officer shall give the person affected an opportunity of being heard and make an enquiry, as he shall deem proper and for this purpose the provisions of VAT Act and the rules shall mutatis mutandis apply:

Provided further that where the person affected makes payment to such officer of the amount of tax payable in respect of such goods to be assessed in the prescribed manner, the goods seized as aforesaid shall be released:

Provided also that no order of confiscation shall be made in respect of goods which are not liable to payment of tax under the Act.