M/S Wall Jewels Wallpaper World Pvt Ltd Rep By Its Director Mr Umang M Parekh v. The Assistant Commissioner (St )
IN THE HIGH COURT OF JUDICATURE AT MADRAS
Dated : 30.10.2024 Coram The Hon'ble Mr.Justice Krishnan Ramasamy and W.M.P.No.35242 of 2024 M/s.Wall Jewels Wallpaper World Pvt. Ltd, rep. by its Director Mr.Umang. M.Parekh GSTIN:33AACCW0683N1Z1 31, Rattan Bazaar, Park Town, Chennai-600003.
...Petitioner
Vs.
The Assistant Commissioner (ST), Park Town Assessment Circle, Integrated Commercial Taxes Building No.32, Elephant Gate Bridge Road (Walltax Road), Vepery, Chennai 600 003.
... Respondent Prayer: This Writ Petition filed under Article 226 of the Constitution of India for issuance of a Writ of Certiorari, to call for the records of the Respondent in the file of the Impugned Order passed by the respondent vide No.33AACCW0683N1Z1/2019-20 dated 30.01.2024 and its summary served electronically in Common Portal vide FORM DRC-07 No.ZD330124143826K dated 30.01.2024 and to QUASH the same with consequential relief to Direct the Respondent to defreeze the Petitioner's Bank Account 1/8
No.0344002100004460 maintained in Punjab National Bank, NSC Bose Road, Chennai-3.
For Petitioner : Ms.Akila S For Respondent : Mr.G.Nanmaran Special Government Pleader (Taxes)
ORDER
This Writ Petition has been filed challenging the Order passed by the Respondent dated 30.01.2024 and its summary served electronically in Common Portal dated 30.01.2024 and to quash the same with consequential direction to the Respondent to defreeze the Petitioner's Bank Account No.0344002100004460 maintained in Punjab National Bank, NSC Bose Road, Chennai-3.
2. Mr.G.Nanmaran, learned Special Government Pleader (Taxes), takes notice on behalf of the Respondent.
3. By consent of the parties, the main Writ Petition is taken up for disposal at the time of admission stage itself. 2/8
4. The learned counsel for the petitioner submits that show cause notice dated 23.06.2023 followed by reminder dated 23.01.2024 were issued to the Petitioner. Since the same were uploaded in the GST Portal, the Petitioner was not aware of the same and hence could not file its reply. Under such circumstances, impugned assessment order dated 23.01.2024 came to be passed demanding tax along with interest and penalty for the Assessment Year 2019-20 and the same was also uploaded in the GST portal. Subsequently, the Bank account of the Petitioner maintained in Punjab National Bank was freezed by the Respondent vide order dated 23.09.2024, pursuant to which a sum of Rs.2,04,197.70/- was debited from the Petitioner's bank account. Only thereafter, the Petitioner came to know of the impugned order.
5. Further, She would submit that impugned assessment order came to be passed without affording an opportunity of hearing to the Petitioner and therefore the same is in violation of principles of natural justice and therefore prays to set aside the same.
6. The learned Special Government Pleader (Taxes) appearing for the Respondent submitted that the Respondent uploaded the Show Cause Notice as 3/8
well as the reminder notice in the GST portal, but the Petitioner failed to submit its reply and therefore impugned assessment order came be passed.
7. Heard the learned counsel for the petitioner and the learned Special Government Pleader (Taxes) for the Respondent and also perused the materials available on record.
8. In the present case, the Respondent issued the Show Cause Notice followed by reminder notice to the Petitioner and the same was uploaded in the GST Portal and hence the Petitioner was not aware of the same and therefore failed to file its reply.
9. Further, it appears that opportunity of personal hearing was not granted to the Petitioner prior to passing of impugned order. Hence, this Court is of the view that the impugned order passed is in violation of principles of natural justice and it is just and necessary to provide an opportunity to the petitioner to establish their case on merits. In such view of the matter, this Court is inclined to set aside the impugned assessment order dated 30.01.2024 passed by the Respondent. Accordingly, this Court passes the following order:- 4/8
(i) The order impugned herein is set aside and the matter is remanded to the Respondent for fresh consideration on condition that the Petitioner shall pay a sum of Rs.2,25,000/- to the Respondent within a period of four weeks from the date of receipt of a copy of this order and the setting aside of the impugned order will take effect from the date of payment of the said amount.
(ii) The Petitioner shall file their reply/objection along with the required documents, if any, within a period of two weeks thereafter.
(iii) On filing of such reply/objection by the petitioner, the respondent shall consider the same and issue a 14 days clear notice by fixing the date of personal hearing to the petitioner and thereafter, pass appropriate orders on merits and in accordance with law, after hearing the petitioner, as expeditiously as possible.
(iv) Considering the fact that the impugned order itself has been set aside, this Court is of the opinion that the attachment made on the bank account of the petitioner cannot survive any longer and hence, it is lifted. As a sequel, the respondent is directed instruct the concerned bank viz., Punjab National Bank, N.S.C.Bose Road, Chennai-3 to 5/8
release the attachment on the bank account of the petitioner, immediately upon the production of proof with regard to the payment of Rs.2,25,000/- by the petitioner as stated above.
10. Accordingly, the writ petition is disposed of. There is no order as to costs. Consequently, the connected miscellaneous petitions is closed. 30.10.2024 Speaking/Non-speaking order Index : Yes / No arr 6/8
To The Assistant Commissioner (ST), Park Town Assessment Circle, Integrated Commercial Taxes Building No.32, Elephant Gate Bridge Road (Walltax Road), Vepery, Chennai 600 003.
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Krishnan Ramasamy,J., arr 30.10.2024 8/8