Principles of Natural Justice violated, High Court orders to restore GST Registration

The Division Bench of the Patna High Court, comprising Chief Justice Sanjay Karol and Justice Partha Sarthy in the case of Manoj Kumar Sah Versus The State of Bihar has ordered to quash the order passed by the Joint Commissioner of State Tax, Madhubani, Bihar for cancelation of the Registration Certification of the petitioner without giving any prior notice.

Reasoning and Decision of the Court

The Court perused the facts of the case and observed that it cannot be disputed that with the passing of the said order, petitioner is liable to both civil and penal consequences but the authority ought to have at least referred to the contents of the show cause and the response thereto, which was not done.

The Court expounded that Principles of natural justice stand violated and the order needs to be quashed as it entails penal and pecuniary consequences.

Therefore, the Court allowed the writ petition and directed the State of Bihar through Commissioner of State GST, New Secretariat, Patna to finalize the petitioner’s assessment and/or pass appropriate orders, in accordance with law.

Case Details

Case:- Civil Writ Jurisdiction Case No.18307 of 2022

Petitioner:-  Manoj Kumar Sah

Respondent:- The State of Bihar

Counsel for the Petitioner – Ms. Archana Sinha

Counsel for the Respondent - Mr. Vivek Prasad

Judge: Chief Justice Sanjay Karol and Justice Partha Sarthy