2020 (8) TMI 335 - HC - GST

Release of detained goods - detention on the ground that the transportation of the goods having been covered by two e-way bills, when there was only one invoice covering the transportation - misdeclaration of mode of transportation shown as per the e-way bills - HELD THAT - The writ petition is disposed off by directing the 1st respondent to permit the petitioner to clear the goods and the vehicle on furnishing a bank guarantee for the amount demanded in Ext.P4. Thereafter, the 1st respondent shall forward the files to the adjudicating authority for an adjudication of the dispute under Section 130 of the GST Act, which adjudication shall be completed only after hearing the petitioner, within a period of one month from the date of the files being forwarded to the 2nd respondent. Petition disposed off.

Summary

Issues: Challenge to detention notice under Section 129 of the GST Act

Analysis:
The petitioner challenged a detention notice issued under Section 129 of the GST Act, citing discrepancies in the transportation of goods covered by two e-way bills with only one invoice and a mismatch in the mode of transportation. The court found the detention notice prima facie justified based on these reasons.

Analysis:
The court heard arguments from the petitioner's counsel and the Government Pleader. The petitioner sought permission to clear the goods by providing a bank guarantee for the amount demanded in the detention notice. The court directed the respondent to allow the petitioner to clear the goods on furnishing the bank guarantee and instructed forwarding the files to the adjudicating authority for dispute resolution under Section 130 of the GST Act within one month.

Analysis:
The adjudication process must include hearing the petitioner and should be completed within the specified timeframe. The petitioner was instructed to provide a copy of the judgment and the writ petition to the respondent for further action. The judgment resolved the challenge to the detention notice by allowing clearance of goods with a bank guarantee and initiating the adjudication process under the GST Act.