N. Ranga Rao & Sons PVT. LTD. vs. The Commissioner Of CGST &

Held

The Court held that since the petitioner had already availed the remedy of appeal before the CESTAT, South Zonal Bench, Bengaluru, there was no occasion for the High Court to interfere with the impugned orders. The Court noted the petitioner's submission that the appeals have been pending since 2015 and 2017 without progress and the absence of a regular bench. Consequently, the Court requested the CESTAT, South Zonal Bench, Bengaluru, to decide the petitioner's appeal numbers 21179/2015 and E/20221/2017 within a period of three months from the date of receipt of a copy of this order. The writ petitions were disposed of with this direction.

Facts

The petitioner, N. Ranga Rao & Sons Pvt. Ltd., filed two writ petitions before the Karnataka High Court challenging two Orders-in-Original passed by the Commissioner of CGST & Central Excise, Mysuru. The first order, dated February 26, 2015, imposed a total demand of Rs. 56,52,05,518 and penalties of Rs. 14,15,00,000 for the periods October 2007 to September 2011 and October 2011 to March 2014. The second order, dated November 28, 2016, imposed a total demand of Rs. 13,70,62,322 and penalties of Rs. 3,45,00,000 for the periods April 2014 to September 2014 and October 2014 to February 2015. The petitioner had already filed appeals against these orders before the CESTAT, South Zonal Bench, Bengaluru, and had paid substantial pre-deposits.

Key Issues

1. Whether the High Court should interfere with the impugned orders when the petitioner has already availed the statutory remedy of appeal before the CESTAT? The petitioner argued that their appeals before the CESTAT, filed in 2015 and 2017, have not progressed and there is no regular bench to hear them. They sought a direction for the expeditious disposal of these pending appeals. The respondent, the Commissioner of CGST & Central Excise, did not present any arguments as the matter was being heard on preliminary hearing and the petitioner had already availed the appellate remedy.