Arup Datta vs. State Of West Bengal And Ors.

Facts

The petitioner, Arup Datta, filed a writ petition challenging an ex parte adjudication order dated 16.01.2025 passed by respondent No. 3 under Section 73 of the West Bengal Goods and Services Tax Act and the Central Goods and Services Tax Act, 2017. The petitioner contended that a show cause notice dated 22.10.2024, demanding tax, interest, and penalty, was uploaded on the GST portal under the 'Additional Notice and Orders' tab without separate intimation, preventing him from responding. He also argued that the date of personal hearing was fixed prior to the date of reply, violating principles of natural justice. The State respondents opposed the petition, stating the petitioner had ample opportunities. The Court noted a prima facie case for the petitioner.

Held

The Court held that the petitioner had made out a prima facie case. It found that the show cause notice and the adjudication order were uploaded only under the 'Additional Notice and Orders' tab on the GST portal, and no separate intimation was provided to the petitioner. This lack of separate intimation prevented the petitioner from replying to the show cause notice, constituting a violation of the principles of natural justice. The Court reasoned that effective communication is a cornerstone of natural justice, and relying solely on portal uploads without ensuring actual notice is insufficient. Consequently, the adjudication order dated 16.01.2025 was quashed and set aside. The petitioner was directed to file a reply to the show cause notice within two weeks, which the authority was to consider within four weeks of receipt, passing a fresh reasoned order after affording a hearing. The decision was to be communicated to the petitioner within a week thereafter.

Key Issues

1. Whether the uploading of a show cause notice and adjudication order solely under the 'Additional Notice and Orders' tab on the GST portal, without separate intimation, constitutes a violation of the principles of natural justice, particularly concerning the petitioner's ability to respond to the show cause notice and defend their case under the West Bengal Goods and Services Tax Act and the Central Goods and Services Tax Act, 2017? Petitioner's Arguments: The petitioner argued that the lack of separate intimation for the show cause notice and adjudication order, which were only uploaded on the GST portal under 'Additional Notice and Orders', prevented them from receiving actual notice and responding. This, coupled with the personal hearing date being fixed before the reply date, amounted to a violation of natural justice and procedural irregularities under the said Acts. Revenue/State's Arguments: The State respondents contended that the petitioner had been granted ample opportunities to defend their case.