M/S. Shree Navdurga Agro Industries A Partnership Firm vs. State Of Maharashtra Thr. A.G.P And Anr
Held
The Court allowed the writ petition. It held that the issue raised by the Petitioner was covered by the decisions of the High Court in Rawman Metal & Alloys vs. The Deputy Commissioner of State Tax, Thane, and King Enterprises vs. Union of India & Ors. Applying the law laid down in these precedents to the undisputed facts of the case, the Court found in favor of the Petitioner. The Court directed the reversal and re-crediting of the total amount of Rs. 4,09,23,713/- to the Petitioner's Electronic Credit Ledger. This action was to be completed within two weeks from the date of uploading the order. The Rule was made absolute with no costs.
Facts
The Petitioner, M/s. Shree Navdurga Agro Industries, filed a writ petition before the Bombay High Court challenging orders passed by Respondent No. 2. These orders, dated 07.11.2025, debited a total of Rs. 4,09,23,713/- from the Petitioner's Electronic Credit Ledger for the Financial Years 2020-21 and 2021-22. The Petitioner sought to have these debits declared illegal, non-est, null and void, and sought a direction to reverse and re-credit the debited amounts. The Petitioner's counsel presented the case, and the State's counsel appeared. The parties agreed that the issue was covered by prior decisions of the High Court.
Key Issues
1. Whether the impugned orders dated 07.11.2025, which debited Rs. 1,81,76,902/- and Rs. 2,27,68,120/- from the Petitioner's Electronic Credit Ledger for FY 2020-21 and 2021-22, creating a negative balance of Rs. 4,09,23,713/-, are patently illegal, non-est, null and void ab initio, without jurisdiction, and arbitrary, thereby warranting quashing and setting aside under Rule 86A of the CGST/SGST Rules. Petitioner's Contention: The Petitioner argued that the impugned orders and the resulting debit from their Electronic Credit Ledger were illegal and sought their quashing and reversal. They relied on the principle that such actions, if found to be without jurisdiction or arbitrary, should be set aside. Revenue's Contention: The judgment records no specific arguments from the revenue or state regarding the impugned orders. However, the parties agreed that the issue was covered by existing High Court decisions.
Sections Cited
Rule 86A
AI-generated summary — verify with the full judgment below
10-WP-16185-2025 (C).DOCX Pallavi IN THE HIGH COURT OF JUDICATURE AT BOMBAY CIVIL APPELLATE JURISDICTION
WRIT PETITION NO. 16185 OF 2025 M/s. Shree Navdurga Agro Industries A Partnership Firm ...Petitioner Versus State of Maharashtra Thr. AGP And Anr. ...Respondents ______________________________________________________ Mr. Brijesh Pathak, Ms. Vaishnavi Murkute and Mr. Dulraj Jain for Petitioner. Ms. S.D. Vyas, Addl. GP, a/w Mr. Aditya R. Deolekar, AGP for Respondent. ______________________________________________________ CORAM : M.S. Sonak & Advait M. Sethna, JJ. DATED : 1 December 2025 Oral Order (Per : M.S. Sonak, J.) :-
Heard learned counsel for the parties.
Rule. The Rule is made returnable immediately at the request of and with the consent of the learned counsel for the parties.
The Petitioner by instituting this Petition seeks the following substantive reliefs:- “(a) issue a Writ of Certiorari or any other appropriate writ, order or direction calling for the record and proceedings maintained by Respondent No.2 in relation to the exercise of powers under Rule 86A, and all other records pertaining thereof and after considering the validity, legality and proprie
The judgment continues below.
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