Coal Mines Associated Traders Private Limited And Anr. vs. State Of West Bengal And Ors.

Facts

The petitioners, Coal Mines Associated Traders Private Limited & Anr., filed a writ petition challenging an adjudication order dated December 26, 2023, passed under Section 73(9) of the CGST/WBGST Act, 2017. The petitioners contended that the order violated the principle of natural justice as they were not afforded an opportunity for a personal hearing, despite requesting one via a letter dated September 29, 2023. The State of West Bengal and its authorities were the respondents. The amount in dispute and the specific tax period(s) were not explicitly stated in the provided text. The procedural history involves the issuance of the adjudication order and the subsequent filing of the writ petition.

Held

The Court held that the impugned adjudication order dated December 26, 2023, passed under Section 73(9) of the CGST/WBGST Act, 2017, was liable to be set aside due to a violation of the principle of natural justice. The reasoning was that the petitioners had explicitly requested a personal hearing, which was not provided to them before the order was passed. The Court emphasized that while writ petitions against statutory appellable orders are generally discouraged, the violation of natural justice warrants intervention in the interest of justice. The Court did not delve into the merits of the case. The operative direction was to set aside the impugned order and remand the matter back to the adjudicating authority. The adjudicating authority is directed to pass a fresh order in accordance with law after affording the petitioners an opportunity of personal hearing within eight weeks from the date of communication of the order, without granting unnecessary adjournments.

Key Issues

1. Whether the impugned adjudication order dated December 26, 2023, passed under Section 73(9) of the CGST/WBGST Act, 2017, is liable to be set aside on the ground of violation of the principle of natural justice by denying the petitioners an opportunity of personal hearing? Petitioner's contention: The petitioners argued that the adjudication order was passed in violation of the principle of natural justice because their request for a personal hearing, made on September 29, 2023, was not granted before the order was issued on December 26, 2023. They relied on the fundamental right to be heard before an adverse order is passed. Revenue/State's contention: The State did not record any specific arguments against the petitioner's claim regarding the violation of natural justice in the provided text. However, the judgment notes that the writ court is generally reluctant to entertain writ petitions against statutory appellable orders.