2023 (3) TMI 1368 - HC - GST

Cancellation of GST registration of petitioner - appeal preferred by the petitioner was dismissed as being beyond the prescribed period of limitation - HELD THAT - Considering the fact that the order impugned cancelling the registration is prima facie without application of mind which is squarely covered by the judgment of this court in the case of M/s Chandra Sain 2022 (9) TMI 1047 - ALLAHABAD HIGH COURT and the issue of non-fixation of time and date is squarely covered by the judgment rendered in the case of M/s Jaiprakash Thekedar 2023 (1) TMI 237 - ALLAHABAD HIGH COURT the writ petition deserves to be allowed on both the counts. The matter is remanded to the adjudicating authority for passing a fresh order in accordance with law after giving opportunity of hearing to the petitioner within a period of three months from the date of production of certified copy of this order - Petition allowed by way of remand.

Summary

Issues involved:
The issues involved in the judgment are the cancellation of registration of the petitioner and the dismissal of the appeal on the ground of being beyond the prescribed period of limitation.

Cancellation of Registration:
The petitioner challenged the order dated 09.12.2020 cancelling their registration, contending that a show cause notice was sent without specifying the time and date for personal hearing. The Counsel argued that the order was non-speaking and violated Article 14 of the Constitution of India. Citing relevant judgments, including M/s Jaiprakash Thekedar vs Commissioner, Commercial Taxes and another, it was argued that the cancellation was without proper application of mind. The court found the order prima facie without application of mind and allowed the writ petition, setting aside the impugned orders.

Dismissal of Appeal:
The appeal filed by the petitioner against the cancellation order was dismissed for being beyond the prescribed period of limitation. The Counsel argued that the non-fixation of time and date for hearing was an arbitrary exercise of power. Relying on the judgment in M/s Chandra Sain, Sharda Nagar, Lucknow through its Proprietor Mr. Chandra Sain vs U.O.I., it was contended that the issue of non-fixation of time and date was covered by previous judgments. The court found in favor of the petitioner, setting aside the orders and remanding the matter to the adjudicating authority for a fresh order within three months.

Conclusion:
The High Court of Allahabad, in the judgment delivered by Hon'ble Pankaj Bhatia, J., allowed the writ petition challenging the cancellation of registration and the dismissal of the appeal. The court found that the orders lacked proper application of mind and violated the principles of natural justice. The matter was remanded for a fresh order to be passed in accordance with the law, providing the petitioner with an opportunity for a hearing within three months.