Global Finance Leasing Services vs. State Of Punjab And Others
Facts
The petitioner, M/s Global Finance & Leasing Services, challenged an adjudication order dated 28.08.2024 and consequential proceedings. The primary ground for challenge was the alleged violation of principles of natural justice and Section 75(4) of the Punjab Goods and Services Tax Act, 2017, due to the absence of a personal hearing before the adjudication order was passed. The respondent-State, represented by the learned State Counsel, did not dispute the petitioner's assertion that no opportunity for a personal hearing was provided prior to the issuance of the impugned adjudication order. The petition also challenged an order passed by the Appellate Authority dated 11.02.2025 and a Form GST APL issued on 23.01.2026.
Held
The Court allowed the petition, holding that the adjudication order dated 28.08.2024 was passed in violation of the principles of natural justice and Section 75(4) of the Punjab Goods and Services Tax Act, 2017, due to the failure to grant the petitioner an opportunity of personal hearing. The Court found that the respondent-State did not dispute this factual assertion. Consequently, the Court followed its recent judgment in CWP-33977-2025, titled ‘Kemexel Ecommerce Pvt. Ltd Versus State of Punjab and Others’. The impugned adjudication order dated 28.08.2024, the order passed by the Appellate Authority dated 11.02.2025, and the Form GST APL issued on 23.01.2026 were all set aside. The respondent-State was granted liberty to proceed afresh against the petitioner in accordance with the law. The ratio decidendi is that failure to provide a personal hearing before passing an adjudication order, when mandated by statute and principles of natural justice, vitiates the order.
Key Issues
1. Whether the adjudication order dated 28.08.2024 is liable to be set aside for violation of the principles of natural justice and Section 75(4) of the Punjab Goods and Services Tax Act, 2017, by not granting the petitioner an opportunity of personal hearing. The petitioner contended that the adjudication order was passed without providing an opportunity for a personal hearing, which is a mandatory requirement under the principles of natural justice and specifically contravenes Section 75(4) of the Punjab Goods and Services Tax Act, 2017. The petitioner relied on a recent judgment of the High Court in CWP-33977-2025 titled ‘Kemexel Ecommerce Pvt. Ltd Versus State of Punjab and Others’. The respondent-State, represented by the learned State Counsel, did not dispute the fact that no opportunity of personal hearing was offered to the petitioner prior to the passing of the impugned adjudication order.
Sections Cited
Section 75(4)
AI-generated summary — verify with the full judgment below
IN THE PUNJAB AND HARYANA HIGH COURT AT CHANDIGARH 170
CWP-11553-2026 Date of Decision: 18.04.2026 M/S GLOBAL FINANCE & LEASING SERVICES ... Petitioner VERSUS STATE OF PUNJAB AND OTHERS ... Respondent CORAM: HON'BLE MR. JUSTICE DEEPAK SIBAL.
HON'BLE MS. JUSTICE LAPITA BANERJI. **** Present: Mr. Sandeep Goyal, Sr. Advocate with Ms. Ambika Jindal, Mr. Atharav Prabhakar and Urvi Khanna, Advocates for the petitioner.
Mr. Saurav Kapur, Addl. A.G., Punjab. DEEPAK SIBAL, J. (ORAL)
Through the instant petition, challenge is made to the adjudication order dated 28.08.2024 (Annexure P-3), alongwith all consequential proceedings, on the ground that prior to the issuance of the aforesaid adjudication order no opportunity of personal hearing was granted to the petitioner, which is not only violative of the principles of natural justice but also contravenes Section 75(4) of the Punjab Goods and Services Tax Act, 2017. Learned State Counsel, who appears on advance notice, does not dispute the fact that prior to passing of the impugned adjudication order dated 28.08.2024 (Annexure P-3), no opportunity of personal hearing was eve
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