Judgment
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE DINESH KUMAR SINGH WEDNESDAY, THE 29TH DAY OF NOVEMBER 2023 / 8TH AGRAHAYANA, 1945 WP(C) NO. 16134 OF 2022 PETITIONERS:
1 TN NAVARATHNA THANGA MALIGAI LLP, NO.68/7, 3RD FLOOR, KCR BUSINESS TODAY, TATABAD, 7TH STREET, COIMBATORE -641 012,, PIN – 641012, REP. BY ITS AUTHORIZED SIGNATORY, UNNIKRISHNAN T.P 2 MOHAMED ASHIK A AGED 25 YEARS, S/O.ALAYUDEEN BATCHA, SALES MANAGER, TN NAVARATHNA THANGA MALIGAI LLP, NO.68/7, 3RD FLOOR, KCR BUSINESS TODAY, TATABAD, 7TH STREET, COIMBATORE, RESIDING AT 699, EAST STREET, KANDIYUR, THANJAVUR, TAMIL NADU- 613 202.
3 K. AZARUDEEN AGED 25 YEARS,S/O.KAMAL BATCHA, SALES EXECUTIVE, TN NAVARATHNA THANGA MALIGAI LLP, NO.68/7, 3RD FLOOR, KCR BUSINESS TODAY, TATABAD, 7TH STREET, COIMBATORE, RESIDING AT 699, KULATHUMETTU STREET, KANDIYUR P.O., THIRUVAIYARU (TK), THANJAVUR, TAMIL NADU - 613 202., PIN - 613202 BY ADVS.
NIRMAL.S K. REMIYA RAMACHANDRAN ANJANA A.
VEENA HARI RIA ELIZABETH JOSEPH IRENE ELZA SOJI RESPONDENTS:
1 STATE OF KERALA TAXES DEPARTMENT, SECRETARIAT,THIRUVANANTAPURAM-695 001.
2 ASSISTANT COMMISSIONER OF STATE TAX, MOBILE SQUAD NO.IV, STATE GST DEPT., KERALA, PALAKKAD -678 001.
3 ASST. STATE TAX OFFICER, MOBILE SQUAD NO: IV, O/O DEPUTY COMMISSIONER OF STATE TAX (INTELLIGENCE), KERALA SGST DEPARTMENT, PALAKKAD - 678 001., PIN - 678001 4 EXCISE INSPECTOR, EXCISE RANGE OFFICE, PALAKKAD RANGE, PALAKKAD - 678 551., PIN - 678551 BY ADV ADVOCATE GENERAL OFFICE KERALA
WP(C) NO. 16134 OF 2022 2 OTHER PRESENT:
RESHMITA RAMACHANDRAN-GP THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 29.11.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
WP(C) NO. 16134 OF 2022 3 J U D G M E N T
This writ petition has been filed impugning Ext.P3 notice issued by the 2nd respondent under Section 130 of the CGST Act and KSGST Act for confiscation of the gold which was carried by the 2nd petitioner, who, according to the learned counsel for the petitioner, was the Sales Manager of the 1st petitioner.
2. Petitioners 2 and 3 were found in possession of gold items weighing 429.280 grams. However, only in respect of 166.820 grams, the petitioners 2 and 3 were having valid documents. The said gold items were seized and thereafter, Ext.P3 notice under Section 130 was issued to the petitioners.
3. This Court had granted an interim order on 15.06.2022 inasmuch as Ext.P3 notice was strictly restricted only to 262.46 grams of gold and the rest of the gold items, that is 166.820 grams which was accompanied by valid documents, were directed to be released to the petitioners forthwith. In compliance of the said order, the gold items weighing 166.820 grams for which the petitioners 2 and 3 were having valid documents, have been released.
4. The petitioners have filed this writ petition only against Ext.P3 show cause notice and there is no final order passed in date.
Whether the notice should have been issued under Section 129 or
WP(C) NO. 16134 OF 2022 4 Section 130 of the CGST, is a question to be decided by the 2nd respondent himself after considering the entire issue. Since the petitioners have approached only against the show cause notice, I am of the view that the petitioners can be directed to file reply to the show cause notice issued by the second respondent and the said reply to the show cause notice should be adjudicated in accordance with the law.
5. In the result, this writ petition is disposed of with a direction to the petitioners to file reply to Ext.P3 notice within a period of 15 days from today and if the petitioners file the reply, the petitioners should be put to notice for hearing and after considering the submissions/reply to the show cause notice, appropriate orders in the proceedings should be passed.
With the aforesaid liberty and direction, this writ petition is disposed of.
SD/- DINESH KUMAR SINGH JUDGE rp
WP(C) NO. 16134 OF 2022 5 APPENDIX OF WP(C) 16134/2022 PETITIONER EXHIBITS Exhibit P1 TRUE COPY OF THE IDENTITY CARD OF THE 2ND PETITIONER Exhibit P2 TRUE COPY OF THE IDENTITY CARD OF THE 3RD PETITIONER Exhibit P3 TRUE COPY OF THE NOTICE OF CONFISCATION IN FORM GST MOV-10 DATED 27/04/2022 Exhibit P4 TRUE COPY OF THE E INVOICE BEARING NO. TN/22-23/0063 DATED 26/04/2022 Exhibit P5 TRUE COPY OF THE JOB WORK ISSUE VOUCHER WITH DELIVERY NOTE NO.22 DATED 26/04/2022 Exhibit P6 TRUE COPY OF THE JOB WORK ISSUE VOUCHER WITH DELIVERY NOTE NO.23 DATED 26/04/2022 Exhibit P7 TRUE COPY OF THE JOB WORK ISSUE VOUCHER WITH DELIVERY NOTE NO.24 DATED 26/04/2022 Exhibit P8 TRUE COPY OF THE DEBIT NOTE NO.3 DATED 26/04/2022 Exhibit P9 TRUE COPY OF THE RELEVANT PAGES OF THE STOCK REGISTER Exhibit P10 TRUE COPY OF THE REPLY DATED 28/04/2022 TO EXT.P3 NOTICE Exhibit P11 TRUE COPY OF THE JUDGMENT DATED 17/10/2017 IN WPC.33177/2017 RESPONDENT EXHIBITS Exhibit R2(a):- True copy of the letter issued by the Excise Inspector, Palakkad Range, to the State Tax Officer, Palakkad, dated 27.04.2022 Exhibit R2(b):- True copy of GST MOV -01 dated 27.04.2022 Exhibit R2(c):- True copy of GST MOV -02, dated 27.04.2022, issued by the 2nd respondent on the 2nd petitioner Exhibit R2(d):- True copy of the summons issued by the 2nd respondent on the 2nd petitioner dated 27.04.2022 Exhibit R2(e)1:- True copy of the Tamil statement of the 2nd petitioner dated 27.04.2022
WP(C) NO. 16134 OF 2022 6 Exhibit R2(e)2:- True copy of the Malayalam translation of the statement of the 2nd petitioner dated 27.04.2022 Exhibit R2(f):- True copy of the physical verification report in GST MOV- 04