Ms Moti Commodity Future P LTD vs. Commissioner Of Central Excise Andser Tax

Facts

The appellant, M/s Moti Commodity Futures Pvt. Ltd. (now Motisons Commodities Pvt. Ltd.), filed a writ petition and a central excise appeal before the High Court of Judicature for Rajasthan, Bench at Jaipur. The respondent was the Commissioner of Central Excise and Service Tax, Jaipur-I, now renamed as Commissioner of GST. The proceedings were related to matters concerning GST and central excise. The appellant's counsel informed the Court that an application had been filed under the 'Sabka Vishwas Scheme'. Based on instructions received, the appellant's counsel sought to withdraw both the writ petition and the appeal.

Held

The Court held that since the learned counsel for the assessee submitted that an application had been filed under the 'Sabka Vishwas Scheme' and, on instructions, sought to withdraw the writ petition and appeal, the same should be dismissed as withdrawn. The Court reasoned that the appellant, having chosen to avail the 'Sabka Vishwas Scheme' and consequently wishing to withdraw the ongoing legal proceedings, was entitled to do so. The Court found no impediment to granting this request. As a consequence of the main petition and appeal being withdrawn, any pending applications related to these proceedings were rendered infructuous. The ratio decidendi is that a party can withdraw legal proceedings if they have opted for a settlement scheme like the 'Sabka Vishwas Scheme' and instruct their counsel accordingly. The operative direction was the dismissal of the writ petition and appeal as withdrawn.

Key Issues

The primary issue before the Court was whether the writ petition and the central excise appeal, filed by M/s Moti Commodity Futures Pvt. Ltd., should be dismissed as withdrawn. The appellant's counsel argued that an application had been filed under the 'Sabka Vishwas Scheme' and, on instructions, sought to withdraw the pending proceedings. The respondent, Commissioner of GST, did not appear to contest the withdrawal. The Court was therefore to decide whether to permit the withdrawal of the appeal and writ petition based on the appellant's submission and the existence of the 'Sabka Vishwas Scheme'. No specific provisions of the GST or Central Excise Act were debated, as the matter was resolved by the withdrawal.