Mantra Gold vs. State Of Maharashtra Thr Agp And Ors
Facts
The petitioner, M/s. Mantra Gold, filed a writ petition before the Bombay High Court challenging the recovery of Rs. 1,00,00,000/- by the respondents without a show cause notice or determination of liability. The petitioner sought a writ of Quo Warranto and a writ of Mandamus or Certiorari to declare the recovery illegal and direct a refund. The Court noted that after the deposit was made, a show cause notice dated 9 August 2023 was issued by the petitioner on their refund application. The refund application itself was rejected by an order from the Assistant Commissioner, Division III CGST, and the show cause notice was stated to be pending. The petition was filed under Article 226 of the Constitution of India.
Held
The Court acknowledged that a show cause notice dated 13 June 2023 had been issued by the petitioner on their refund application, and this application had been rejected by the Assistant Commissioner, Division III CGST. The show cause notice itself was stated to be pending. Considering this procedural development, the Court deemed it in the interest of justice to have the pending show cause notice adjudicated expeditiously. The Court directed that the show cause notice dated 13 June 2023 be decided in accordance with the law within a period of six weeks from the date of the order. All contentions of the parties, including those urged by the petitioner in the present proceedings, were expressly kept open. The Court did not decide the legality of the recovery or the entitlement to refund at this stage, deferring these to the adjudication of the show cause notice.
Key Issues
1. Whether the recovery of Rs. 1,00,00,000/- from the petitioner without a show cause notice and determination of liability was illegal, as per Article 226 of the Constitution of India? 2. Whether the petitioner is entitled to a refund of the recovered amount? Petitioner's contentions: The petitioner argued that the recovery of Rs. 1,00,00,000/- was illegal as it was made without issuing a show cause notice and without determining any liability. They sought a writ of Quo Warranto to question the authority of the 2nd Respondent to recover the amount and a writ of Mandamus or Certiorari to declare the action illegal and direct a refund. Revenue/State's contentions: The judgment does not record any specific contentions made by the respondents (The State of Maharashtra & Ors.).
AI-generated summary — verify with the full judgment below
18-WP-7853-2023.DOC IN THE HIGH COURT OF JUDICATURE AT BOMBAY CIVIL APPELLATE JURI ICTION WRIT PETITION NO. 7853 OF 2023 M/s. Mantra Gold ...Petitioner Vs. The State of Maharashtra & Ors. ...Respondents ___________ Mr. Brijeshh Pathak, for Petitioner. Mr. Rajan Pawar, AGP for State. Mrs. Shruti D. Vyas, Addl. G. P. a/w R. S. Pawar, AGP for State. __________ CORAM: G. S. KULKARNI & FIRDOSH P. POONIWALLA, JJ. DATE: 1 APRIL, 2024. P.C.
We have heard Mrs. Bharucha learned counsel for the petitioner as also learned AGP for respondent.
This petition under Article 226 of the Constitution of India has been filed praying for the following substantive reliefs (a) and (b): “(a) Issue appropriate writ or order in the nature of Qua Warranto thereby directing the 2nd Respondent to show cause under what authority could they have recovered an amount of Rs.1,00,00,000/- from the Petitioner without issuance of show cause notice and determination of any liability; (b) that this Hon’ble Court may be pleased to issue a Writ of Mandamus or a Writ in the nature of Certiorari or any other appropriate writ or order thereby declaring that the action of recovery of Rs.1,00,00,000/- from the Petition
The judgment continues below.
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