2019 (7) TMI 1892 - HC - GST

Seeking continuation of the ad-interim relief relying upon the order of the Hon'ble Apex Court in UNION OF INDIA VERSUS SAPNA JAIN AND ORS. 2019 (6) TMI 58 - SC ORDER - HELD THAT - The Hon'ble Apex Court noted it down that different High Courts of the Country have taken divergent views in the matter and made observation that position in law should be clarified by the Apex Court. The Apex Court had taken a note of our order dated 11th April, 2019 wherein, we granted protection to the petitioners and specifically observed that it was not inclined to interfere with the same - The Apex Court, however made it clear that the High Courts while entertaining such request in future, will keep in mind that the Apex Court by its order dated 27th May, 2019 passed in SLP (Crl.) No. 4430 of 2019 had dismissed the special leave petition filed against the judgment of the Telangana High court in similar matter, wherein the High Court of Telangana had taken a view contrary to what has been held by the High Court in the present case. Stand over to 26th August, 2019.

Summary

Issues:
Ad-interim relief continuation based on divergent views among High Courts, challenge to High Court order in Apex Court, clarification needed by Apex Court, consideration of Telangana High Court judgment.

Analysis:
The High Court was dealing with petitions where ad-interim relief was granted and challenged by respondent No.1, citing an order from the Apex Court. The Apex Court noted the divergent views among different High Courts on the matter and decided to clarify the legal position. The Apex Court specifically mentioned the High Court's order granting protection to the petitioners and expressed no inclination to interfere with it. However, the Apex Court highlighted a conflicting view taken by the High Court of Telangana in a similar matter. Consequently, the Apex Court listed the connected matters, including the present case, before a Bench of three Judges for resolution.

In light of the Apex Court's decision to refer the issue to a Bench of three Judges for clarification, the High Court decided to continue the ad-interim relief granted earlier until further orders. The High Court granted liberty to the respondents to move the matters after the Apex Court's decision in the listed cases, emphasizing the importance of awaiting the clarification from the higher authority. The case was adjourned to 26th August, 2019, pending the decision of the Apex Court on the matter. The High Court's decision to maintain the status quo was based on the need for a comprehensive resolution by the Apex Court due to conflicting interpretations by different High Courts.