(1) A certificate-debtor shall make an application for settlement of total a mount recoverable in respect of a certificate for which a notice under sub-section (5) of section 52 has been issued by Tax Recovery Officer on or before the 31st day of March, 2004.

(2) The application shall contain the name, trade name, certificate of registration No., certificate case No., total amount recoverable, amount payable and paid for settlement, etc.

(3) Every applicant shall, before making the application for settlement, pay the amount calculated at the rate specified in sub-section (5) of section 56A, as may be applicable.

(4) The appropriate Tax Recovery Officer shall issue a certificate of settlement to the applicant on being satisfied that there is no discrepancy in the application made under subsection (3) of section 56A and the amount has been paid in full as per provisions of sub-section (5) of section 56A.

(5) Where upon verification in accordance with the provisions of sub-section (6) of section 56A, the appropriate Tax Recovery Officer finds any discrepancy in the application or finds payments made by the applicant in short of amount payable for settlement, he shall issue a notice to the applicant in the prescribed form within one month following the month in which the application was received, asking him to rectify the discrepancy or to make the payment of the amount which was paid in short within thirty days from the date of service of the notice upon him and he shall issue a certificate of settlement to the applicant on satisfactory compliance by the applicant of the notice as per the provisions of clause (a) of sub-section (6) of section 56A or reject the application where the applicant does not comply with the requirement of the said notice, as the case may be.

(6) Where it appears to the appropriate Tax Recovery Officer that the benefit of settlement has been obtained by suppressing any material information or particulars or by furnishing any incorrect or false information or particulars, may, for reasons to be recorded in writing and after giving the applicant a reasonable opportunity of being heard, revoke the certificate of settlement.

(7) The appropriate Tax Recovery Officer shall inform to the appropriate assessing authority, the appellate authority or the revisional authority in respect of acceptance of application for settlement, or issuance of certificate of settlement, or rejection of application for settlement or revocation of certificate of settlement.