Premas Life Sciences PVT LTD Through Its Authorized Represenative Basanta Rout vs. The State Of Jharkhand

Held

The Court disposed of the writ application. The respondents had submitted a letter dated 12.02.2024, stating that an amount of Rs. 4,83,74,814/- had been deposited into the petitioner's account, which included the GST amount of Rs. 10,57,374/-. The respondents contended that this was the admissible amount. In light of this submission and payment, the Court granted liberty to the petitioner to approach an appropriate forum for redressal if the grievance related to the quantum of the amount paid. The Court did not decide on the admissibility of the entire claimed amount or the specific GST provisions applicable to the dispute over the quantum. The letter dated 12.02.2024 was directed to be kept on record.

Facts

The petitioner, Premas Life Sciences Pvt. Ltd., filed a writ application seeking a direction for the release of outstanding dues amounting to Rs. 5,33,29,450/-. These dues arose from a purchase order dated 29.12.2021 for various research-related products issued by the respondents. The matter was previously listed for hearing on 24.01.2024, with the Additional Standing Counsel for the respondents assuring that payment would be made within two weeks. On the current date of hearing, the Additional Standing Counsel submitted a letter dated 12.02.2024, indicating that an amount of Rs. 4,83,74,814/-, which includes GST of Rs. 10,57,374/-, had been deposited into the petitioner's account. The respondents stated that the sanctioned and paid amount was the admissible amount.

Key Issues

1. Whether the respondents are liable to pay the full outstanding amount of Rs. 5,33,29,450/- to the petitioner as per the purchase order dated 29.12.2021, considering the provisions of the Goods and Services Tax (GST) regime. Petitioner's Contention: The petitioner argued that the full amount of Rs. 5,33,29,450/- was due and payable as per the purchase order. The petitioner implicitly contended that the GST component was a necessary part of the transaction and should be paid. The petitioner sought a direction for the release of these outstanding dues. Respondents' Contention: The respondents, through the Additional Standing Counsel, submitted that an amount of Rs. 4,83,74,814/- had been paid, which included the GST amount of Rs. 10,57,374/-. They asserted that the amount sanctioned and paid was the admissible amount, implying that the remaining amount claimed by the petitioner was not admissible or was disputed.