U.P. Bone Mills Private LTD (Steel Division) Works And Another vs. Union Of INDIA And 3 Others

Held

The Court found that the writ petitioners, U.P. Bone Mills Private Ltd (Steel Division) Works and Another, were ready to pay any excess amount determined after assessment. The Court directed the respondent authority to calculate the total amount payable by the writ petitioner, including any penalty, and communicate this to the petitioner within three weeks. Upon full payment by the petitioner within one week of receiving the communication, the seized goods and vehicle were to be released in accordance with the law. The Court did not explicitly decide on the legality of the seizure itself but facilitated a resolution based on the petitioner's willingness to pay.

Facts

The writ petitioners, U.P. Bone Mills Private Ltd (Steel Division) Works and Another, challenged notices dated 14/15th November, 2019, and 18th November, 2019, issued by the Superintendent and Assistant Commissioner of Central Goods and Services Tax, Division Ist, Muzaffarnagar. The core of the dispute is the seizure of goods and a vehicle. The petitioners contend that the seizure was illegal, occurring despite the driver producing all valid documents, including an e-way bill. The petitioners stated their readiness to pay any excess amount after assessment. The Court noted the absence of a Board of Directors' resolution supporting this statement.

Key Issues

1. Whether the seizure of goods and vehicle was illegal, notwithstanding the production of valid documents by the driver, as per the provisions of the Central Goods and Services Tax Act, 2017 (CGST Act)? Petitioner's contention: The seizure was illegal because all valid documents, including the e-way bill, were tendered to the officer. The authorities acted without proper justification. Respondent's contention: The judgment does not record any specific arguments made by the respondent authorities regarding the legality of the seizure or the validity of the documents produced.