M/S Shikhar Foods Private Limited vs. Union Of INDIA And Another
Original PDF →Facts
The petitioner, M/s Shikhar Foods Private Limited, filed a writ petition challenging an order dated 20.01.2025 and DRC-07 dated 31.01.2025, passed by the Superintendent, CGST & Central Excise Range- Maharajganj. The petitioner also challenged a Show Cause Notice dated 07.04.2021 and DRC-01 dated 18.12.2023. The petitioner had filed a reply on 23.11.2023. However, the respondent authority did not grant any opportunity for a personal hearing after the reply was filed and proceeded to pass the order dated 20.01.2025 without issuing any notice for such hearing.
Held
The Court held that the action of the respondent authority in passing the impugned order dated 20.01.2025 without granting an opportunity of hearing to the petitioner subsequent to the filing of their reply on 23.11.2023, was in violation of the principles of natural justice. The Court reasoned that a fair hearing is a cornerstone of administrative proceedings, and the petitioner was deprived of this right. Therefore, the impugned order dated 20.01.2025, passed by the Superintendent, CGST & Central Excise Range- Maharajganj, was quashed and set aside. The Court directed the authorities to grant an opportunity of hearing to the petitioner and thereafter pass a reasoned order in accordance with law within a period of 12 weeks from the date of the order.
Key Issues
1. Whether the impugned order dated 20.01.2025, passed by the respondent authority, is liable to be set aside for violation of the principles of natural justice, specifically for not granting an opportunity of hearing to the petitioner after the filing of their reply? The petitioner contended that the respondent authority failed to provide an opportunity of personal hearing after the reply was filed on 23.11.2023, and subsequently passed the impugned order on 20.01.2025 without any notice for hearing. This action, according to the petitioner, violates the fundamental principles of natural justice. The respondent's arguments were not recorded in the judgment.
Sections Cited
None explicitly mentioned as discussed in detail, but the context implies principles of natural justice related to assessment/adjudication proceedings.
AI-generated summary — verify with the full judgment below
Neutral Citation No. - 2025:AHC:111269-DB Court No. - 3 Case :- WRIT TAX No. - 2790 of 2025 Petitioner :- M/S Shikhar Foods Private Limited Respondent :- Union Of India And Another Counsel for Petitioner :- Ajay Kumar Yadav,Ashish Bansal,Siddharth Yadav Counsel for Respondent :- A.S.G.I.,Abrar Ahmad,Amit Mahajan Hon'ble Shekhar B. Saraf,J. Hon'ble Praveen Kumar Giri,J.
This is a writ petition under Article 226 of the Constitution of India wherein the writ petitioner has made the following prayers: "A. Issue a writ, order or direction in the nature of CERTIORARI to set aside and quash the IMPUGNED Order dated 20.01.2025 and DRC-07 dated 31.01.2025 (Annexure 1) passed by the Respondent No.
B. Issue a writ, order or direction in the nature of CERTIORARI to set aside and quash the IMPUGNED Show Cause Notice dated 07.04.2021 and DRC-01 dated 18.12.2023 (Annexure-4) issued by the Respondent No.2."
Upon a perusal of the impugned order, it is clear that the reply of the petitioner was filed on 23.11.2023. The respondent authority did not grant any opportunity of hearing subsequent to filing of the reply and passed an order on 20.01.2025 without giving any notice to the petitioner for personal hearing.
In light of the same, we are of the view that the above action of the respondent authority is in violation of principles of natural justice as opportunity of hearing was not granted to the petitioner.
Accordingly, the impugned order dated 20.01.2025 passed by Superintendent, CGST & Central Excise Range- Maharajganj, Div- Gorakhpur-I, is quashed and set aside with a direction upon the authorities to grant an opportunity of hearing to the petitioner and thereafter pass a reasoned order in accordance with law within a period of 12 weeks from the date.
With the aforesaid direction, the writ petition is disposed of. Order Date :- 11.7.2025 K.Tiwari (Praveen Kumar Giri, J.) (Shekhar B. Saraf, J.) KRISHNA KANT TIWARI High Court of Judicature at Allahabad
Reproduced from the public record of the Allahabad High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.