Sri Pankaj Kumar Das vs. The Union Of INDIA And 10 Ors

Held

The Court held that all the issues raised in the writ petition had become infructuous. The petitioner's counsel submitted that the Show Cause Notice dated 07.08.2026 for GST cancellation and the order of suspension were recalled, and a fresh Show Cause Notice for GST registration cancellation had been issued, creating a new cause of action. The letter dated 13.08.2026 directing the withholding of payments to the petitioner was also recalled, resolving that grievance. Counsel for HDFC Bank Limited submitted that an order dated 12.10.2026 was received from the Assistant Commissioner of State Tax, stating that no proceedings pending against the petitioner warranted attachment of their bank accounts and directing the restoration of the accounts. The revenue and state tax authorities, as well as Indian Oil Corporation Limited, endorsed these submissions. The Court noted that the learned counsel for the parties conjointly submitted that there was no surviving cause of action for adjudication in the writ petition. Therefore, the writ petition was closed.

Facts

The petitioner, Sri Pankaj Kumar Das, filed a writ petition challenging a Show Cause Notice dated 07.08.2026 for GST registration cancellation and a related order of suspension. The petitioner also challenged a letter dated 13.08.2026 from the Commissioner of Taxes, Assam, to Indian Oil Corporation Limited, directing the withholding of payments to the petitioner. The respondents included various GST authorities, State Tax authorities, Indian Oil Corporation Limited, and HDFC Bank Limited. The procedural history indicates that the initial Show Cause Notice and suspension order were recalled, and a fresh Show Cause Notice for GST registration cancellation was issued. The letter to Indian Oil Corporation was also recalled. Furthermore, HDFC Bank Limited received an order dated 12.10.2026 from the Assistant Commissioner of State Tax, stating no pending proceedings warranted attachment of the petitioner's bank accounts and directing their restoration.

Key Issues

1. Whether the original Show Cause Notice dated 07.08.2026 for GST registration cancellation and the order of suspension issued by the GST authorities have become infructuous due to their subsequent recall by the authorities. 2. Whether the letter dated 13.08.2026 from the Commissioner of Taxes, Assam, directing the withholding of payments to the petitioner by Indian Oil Corporation Limited, has become infructuous due to its recall. 3. Whether the attachment of the petitioner's bank accounts with HDFC Bank Limited is warranted, considering the subsequent order dated 12.10.2026 from the Assistant Commissioner of State Tax indicating no pending proceedings requiring such attachment and directing restoration. Petitioner's arguments: The petitioner argued that the initial Show Cause Notice and suspension order were recalled, rendering the challenge to them moot. A fresh Show Cause Notice for cancellation of GST registration was issued, creating a new cause of action. The letter directing withholding of payments was also recalled, removing the petitioner's grievance on that count. The bank accounts were ordered to be restored by the Assistant Commissioner of State Tax. Revenue/State's arguments: The revenue and state tax authorities, along with Indian Oil Corporation Limited and HDFC Bank Limited, endorsed the petitioner's submissions that all issues raised in the writ petition had been resolved by subsequent actions of the authorities.