M/S. Lakshmi Mobile Accessories vs. Joint Commissioner (Intelligence & Enforcement)

Held

The High Court dismissed the appeal, affirming that no violation of natural justice occurred as the proper officer did not rely on third-party statements for imposing liability. It held that the justification for rejecting the appellant's belated retraction of a confession statement was a matter for the appellate authority under Section 107, not for a writ court under Article 226.

Facts

The appellant challenged an assessment order issued under Section 74 of the CGST/SGST Act, alleging denial of cross-examination of witnesses and improper reliance on a retracted confession statement due to language barriers. The single judge dismissed the writ petition, citing the availability of an alternate remedy under Section 107 and finding no specific reliance on third-party statements by the proper officer.

Key Issues

Whether the denial of cross-examination of witnesses constituted a violation of natural justice when the proper officer did not rely on their statements, and whether the rejection of a belatedly retracted confession statement could be challenged in a writ petition despite an alternate remedy.