M/S Greenline Services vs The State Of Bihar
2022 Latest Caselaw 595 Patna

Citation : 2022 Latest Caselaw 595 Patna
Judgement Date : 24 January, 2022

Patna High Court

M/S Greenline Services vs The State Of Bihar on 24 January, 2022

         IN THE HIGH COURT OF JUDICATURE AT PATNA
                    Civil Writ Jurisdiction Case No.1092 of 2022

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M/s Greenline Services having its place of business at Khata No. 513, Khesra No. 577, Basgama, By Pass Road, Gulabbagh, Purnea - 854326 through its authorized representative namely Piyush Kedia male aged about 30 years son of Ratan Kedia resident of Kaptanpara, Kuskibagh, VTC, P.O. And District - Purnea - 854301.

... ... Petitioner/s

Versus

1. The State of Bihar through the Principal Secretary cum Commissioner, Department of State Taxes, Government of Bihar, Patna.

2. The Additional Commissioner of State Taxes (Appeals), Purnea Division, Purnea.

3. The Joint Commissioner of State Taxes, Purnea, Purnea. (2018-2019).

... ... Respondent/s

====================================================== Appearance :

For the Petitioner/s : Mr. Gautam Kumar Kejriwal, Advocate For the Respondent/s : Mr. Vikash Kumar (SC11) ====================================================== CORAM: HONOURABLE THE CHIEF JUSTICE and HONOURABLE MR. JUSTICE S. KUMAR

ORAL JUDGMENT

(Per: HONOURABLE THE CHIEF JUSTICE)

======================================================= (The proceedings of the Court are being conducted by Hon'ble the Chief Justice/ Hon'ble Judges through Video Conferencing from their residential offices/residences. Also, the Advocates and the Staffs joined the proceedings through Video Conferencing from their residences/offices.) =======================================================

Date : 24-01-2022

The petitioner has prayed for the following relief/s :- Patna High Court CWJC No.1092 of 2022 dt.24-01-2022

It is brought to our notice that vide impugned order

dated 24.09.2021 passed by the Respondent No. 2 namely the

Additional Commissioner of State Taxes (Appeals), Purnea

Division, Purnea, in Appeal No. (ARN) AD100621000248V, the Patna High Court CWJC No.1092 of 2022 dt.24-01-2022

appeal of the petitioner against the order dated 06.03.2021 passed

by Respondent No. 3, namely the Joint Commissioner of State

Taxes, Purnea, in GSTIN 10AFAPM4257Q1ZC, under Section 73

of BGST Act, 2017; and summary of order dated 06.03.2021 in

Form GST DRC-07 has been rejected by a cryptic, misconceived

and non-speaking order.

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. 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 sufficient reasons even decipherable from the record, as

to how the officer could determine the amount due and payable by Patna High Court CWJC No.1092 of 2022 dt.24-01-2022

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 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

24.09.2021 passed by the Respondent No. 2 namely the

Additional Commissioner of State Taxes (Appeals), Purnea

Division, Purnea, in Appeal No. (ARN) AD100621000248V,

summary of demand dated 25.09.2021 issued in form GST

APL-04, order dated 06.03.2021 passed by Respondent No. 3,

namely the Joint Commissioner of State Taxes, Purnea, in

GSTIN 10AFAPM4257Q1ZC, under Section 73 of BGST Act,

2017 and summary of order dated 06.03.2021 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 Patna High Court CWJC No.1092 of 2022 dt.24-01-2022

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

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 24.02.2022 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 Patna High Court CWJC No.1092 of 2022 dt.24-01-2022

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

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, Patna High Court CWJC No.1092 of 2022 dt.24-01-2022

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

reasonable dispatch;