BharatTaxGST

Shikha Goel (Proprietor Of M/S A.S. Foods) vs. The Commissioner CGST Delhi-East Commissionerate & Anr.

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W.P.(C)/3697/2022HC DelhiGSTCNR DLHC01009129202208 March 2022Bench: HON'BLE MR. JUSTICE MANMOHAN,HON'BLE MR. JUSTICE SUDHIR KUMAR JAIN3 pages
For Petitioner: Mr.Keshav Kumar Verma with Mr.Yogesh Goel, AdvocatesFor Respondent: Mr.Harpreet Singh, SSC for GST with Ms.Suhani Mathur, Advocate. Mr.Tushar Sahu, Advocate for R- 2/HDFC Bank
AI SummaryAllowed

Facts

The petitioners' bank accounts were provisionally attached by the GST authorities. The attachment orders were issued in September 2020.

Held

The Court held that the provisional attachment orders had ceased to have effect after one year from their issuance, as per Section 83(2) of the CGST Act. Consequently, the bank accounts should be defreezed.

Key Issues

Whether the provisional attachment of bank accounts remains valid beyond one year. The validity of the attachment orders in light of statutory time limits.

Sections Cited

Section 83(2), Section 83(1), Section 74

AI-generated summary — verify with the full judgment below

Heard together (2 matters)

W.P.(C) Nos.3696/2022
W.P.(C) 3697/2022

Read from the judgment's own cause title. This page is filed under one of them.

Cause title — parties, addresses and appearances
W.P.(C) Nos.3696/2022 & 3697/2022 Page 1 of 3 $~5 & 6 * IN THE HIGH COURT OF DELHI AT NEW DELHI + W.P.(C) 3696/2022 & C.M.No.10967/2022 ANUJ GOEL (PROPRIETOR OF M/S GOEL TRADING COMPANY) ..... Petitioner Through Mr.Keshav Kumar Verma with Mr.Yogesh Goel, Advocates. versus THE COMMISSIONER CGST DELHI EAST COMMISSIONERATE & ANR. ..... Respondents Through Mr.Harpreet Singh, SSC for GST with Ms.Suhani Mathur, Advocate. Mr.Tushar Sahu, Advocate for R- 2/HDFC Bank. + W.P.(C) 3697/2022 & C.M.No.10970/2022 SHIKHA GOEL (PROPRIETOR OF M/S A.S. FOODS) ..... Petitioner Through Mr.Keshav Kumar Verma with Mr.Yogesh Goel, Advocates. versus THE COMMISSIONER CGST DELHI-EAST COMMISSIONERATE & ANR. ..... Respondents Through Mr.Harpreet Singh, SSC for GST with Ms.Suhani Mathur, Advocate. Mr.Tushar Sahu, Advocate for R- 2/HDFC Bank. This is a digitally signed Judgement. NEUTRAL CITATION NO: 2022/DHC/000881 W.P.(C) Nos.3696/2022 & 3697/2022 Page 2 of 3 % Date of Decision: 08th March, 2022 CORAM: HON'BLE MR. JUSTICE MANMOHAN HON'BLE MR. JUSTICE SUDHIR KUMAR JAIN

J U D G M E N T MANMOHAN, J (Oral)

1.

Present writ petitions have been filed seeking directions to the Respondents to release/de-freeze the bank accounts of the Petitioners that had been provisionally attached by the Respondents vide orders dated 10 : th September, 2020 and 11th

2.

On the last date of hearing, learned counsel for the Respondents had sought time to obtain instructions. September, 2020. 3. Today Mr.Harpreet Singh, learned standing counsel for the Respondent states that no fresh DRC-22 notices have been issued against the Petitioners. He also clarifies that the State GST has issued notices under Section 74 of the Delhi GST Act to the Petitioners.

4.

Admittedly, after issuance of the impugned orders/letters, no fresh attachment order has been issued to the Petitioners. According to Section 83(2) of the CGST Act, every provisional attachment order ceases to have effect after the expiry of one year from the date the order was passed under Section 83(1) of the CGST Act. Consequently, the impugned provisional attachment order/letter is no longer effective. This is a digitally signed Judgement. NEUTRAL CITATION NO: 2022/DHC/000881

W.P.(C) Nos.3696/2022 & 3697/2022 5. Accordingly, this Court directs the Respondents to defreeze the bank accounts of the Petitioners not later than three days from today. With the aforesaid directions, the present writ petitions along with pending applications stand disposed of.

MANMOHAN, J

SUDHIR KUMAR JAIN, J MARCH 08, 2022 KA This is a digitally signed Judgement. NEUTRAL CITATION NO: 2022/DHC/000881

Reproduced from the public record of the Delhi High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.