M/S Hraday Kumar Yadav vs The Union Of India
2022 Latest Caselaw 2017 Patna

          IN THE HIGH COURT OF JUDICATURE AT PATNA
                  Civil Writ Jurisdiction Case No.4587 of 2022
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M/s Hraday Kumar Yadav, (Sole Proprietor firm) having its registered office at Piluwaha, W. No. 07, P.S. Jadia Supaul, through its proprietors Mr. Hraday Kumar Yadav.

... ... Petitioner/s Versus

1. The Union of India, through the Secretary, Ministry of Finance, Department of Revenue, having its office at Room No. 46. North Block, P.O. and P.S. North Block, New Delhi - 110001.

2. The Central Board of Indirect Taxes and Customs, through its Chairman, Ministry of Finance, Department of Revenue, having its office at North Block, P.O. and P.S. North Block, New Delhi - 110001.

3. The Commissioner of Central Goods and Services Tax and Central Excise, Patna having its office at New Secretariat, Patna, Bihar.

4. Joint Commissioner of State Tax, Circle Supaul, Bihar.

5. Assistant Commissioner of State Tax, Circle Supaul, Bihar.

6. Additional Commissioner (Appeal), Purnea Division, Purnea.

... ... Respondent/s ====================================================== Appearance :

For the Petitioner/s : Mr. Anurag Saurav, Advocate Mr. Abhinav Alok, Advocate Mr. Priyajeet Pandey, Advocate For the Respondent/s : Dr. K. N. Singh, ASG Mr. Anshuman Singh, Sr. SC, CGST & CX For the State : Mr. Vikash Kumar, SC-11 ====================================================== CORAM: HONOURABLE THE CHIEF JUSTICE and HONOURABLE MR. JUSTICE S. KUMAR

ORAL JUDGMENT

(Per: HONOURABLE THE CHIEF JUSTICE)

Date : 05-04-2022

The petitioner has prayed for the following

relief/s :-

Patna High Court CWJC No.4587 of 2022 dt.05-04-2022

Patna High Court CWJC No.4587 of 2022 dt.05-04-2022

It is brought to our notice that vide impugned order dated

05.02.2021, passed by the Respondent No. 6 namely the Additional

Commissioner (Appeal), Purnea Division, Purnea, the appeal of

the petitioner against the order dated 08.03.2020, passed by

Respondent No. 5, namely The Assistant Commissioner of State

Tax, Circle Supaul; and summary of order dated 09.03.2020 in

Form GST DRC-07, has been rejected on the ground of the same

being barred by limitation.

Patna High Court CWJC No.4587 of 2022 dt.05-04-2022

Learned counsel for the Revenue, states that he has

no objection if the matter is remanded to the Assessing Authority

for deciding the case afresh and the limitation shall not be

allowed to come in the way. Also, the case shall be decided on

merits. Also, during pendency of the case, no coercive steps shall

be taken against the petitioner.

Statement accepted and taken on record.

However, having heard learned counsel for the

parties as also perused the record made available, we are of the

considered view that this Court, notwithstanding the statutory

remedy, is not precluded from interfering where, ex facie, we

form an opinion that the order is bad in law. This we say so, for

two reasons- (a) violation of principles of natural justice, i.e. Fair

opportunity of hearing. No sufficient time was afforded to the

petitioner to represent his case; (b) order passed ex parte in

nature, does not assign any reasons sufficient even decipherable

from the record, as to how the officer could determine the amount

due and payable by the assessee. The order, ex parte in nature,

passed in violation of the principles of natural justice, entails civil

consequences; (c) We also find the authorities not to have

adjudicated the matter on the attending facts and circumstances.

All issues of fact and law ought to have been dealt with, even if Patna High Court CWJC No.4587 of 2022 dt.05-04-2022

the proceedings were ex parte in nature.

As such, on this short ground alone, we dispose of the

present writ petition in the following mutually agreeable terms:

(a) We quash and set aside the impugned order dated

05.02.2021 passed by the Respondent No. 6 namely the

Additional Commissioner (Appeal), Purnea Division, Purnea,

and the order dated 08.03.2020 passed by Respondent No. 5,

namely the The Assistant Commissioner of State Tax, Circle

Supaul; and summary of order dated 09.03.2020 in Form GST

DRC-07;

(b) We accept the statement of the petitioner that ten

per cent of the total amount, being condition prerequisite for

hearing of the appeal, already stands deposited. If that were so,

well and good. However, if the amount is not deposited for

whatever reason(s), same shall be done before the next date;

(c) Further the petitioner undertakes to additionally

deposit ten per cent of the amount of the demand raised

before the Assessing Officer. This shall be done within four

weeks.

(d) This deposit shall be without prejudice to the

respective rights and contention of the parties and subject to

the order passed by the Assessing Officer. However, if it is Patna High Court CWJC No.4587 of 2022 dt.05-04-2022

ultimately found that the petitioner's deposit is in excess,

the same shall be refunded within two months from the date

of passing of the order;

(e) We also direct for de-freezing/de-attaching of the

bank account(s) of the writ-petitioner, if attached in reference

to the proceedings, subject matter of present petition. This

shall be done immediately.

(f) Petitioner undertakes to appear before the Assessing

Authority on 19th of April, 2022 at 10:30 A.M., if possible

through digital mode;

(g) The Assessing Authority shall decide the case on

merits after complying with the principles of natural justice;

(h) Opportunity of hearing shall be afforded to the

parties to place on record all essential documents and

materials, if so required and desired;

(i) During pendency of the case, no coercive steps

shall be taken against the petitioner.

(j) The Assessing Authority shall pass a fresh order

only after affording adequate opportunity to all concerned,

including the writ petitioner;

(k) Petitioner through learned counsel undertakes to

fully cooperate in such proceedings and not take Patna High Court CWJC No.4587 of 2022 dt.05-04-2022

unnecessary adjournment;

(l) The Assessing Authority shall decide the case on

merits expeditiously, preferably within a period of two

months from the date of appearance of the petitioner;

(m) The Assessing Authority shall pass a speaking

order, assigning reasons, copy whereof shall be supplied to

the parties;

(n) Liberty reserved to the petitioner to challenge

the order, if required and desired;

(o) Equally, liberty reserved to the parties to take

recourse to such other remedies as are otherwise available

in accordance with law;

(p) We are hopeful that as and when petitioner takes

recourse to such remedies, before the appropriate forum,

the same shall be dealt with, in accordance with law, with a

reasonable dispatch;

(q) We have not expressed any opinion on merits

and all issues are left open;

(r) If possible, proceedings during the time of

current Pandemic [Covid-19] be conducted through digital

mode;

The instant petition sands disposed of in the Patna High Court CWJC No.4587 of 2022 dt.05-04-2022

aforesaid terms.

Interlocutory Application(s), if any, also stands

disposed of.

Learned counsel for the respondents undertakes to

communicate the order to the appropriate authority through

electronic mode.

(Sanjay Karol, CJ)

( S. Kumar, J) Ashwini/Sujit AFR/NAFR CAV DATE Uploading Date 11.04.2022 Transmission Date