2020 (8) TMI 480 - HC - GST

Detention of goods alongwith vehicle - Section 129 of the GST Act - petitioner seeks permission to clear the goods on furnishing a bank guarantee to cover the amounts demanded in Ext.P4 - HELD THAT - The detention of the vehicle and the goods was on the finding that the goods on inspection were found to be different from those that were covered by the invoice and transportation documents - the detention cannot be said to be unjustified. 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.

Summary

Issues: Detention notice under Section 129 of the GST Act

Analysis:
The petitioner challenged Ext.P4 notice issued under Section 129 of the GST Act, which detained the vehicle and goods due to discrepancies between the goods inspected and those covered by the invoice and transportation documents. The court found the detention justified upon reviewing the reasons in Ext.P4. The petitioner sought clearance by providing a bank guarantee for the demanded amount. The court directed the 1st respondent to allow the petitioner to clear the goods upon furnishing the bank guarantee. Subsequently, the files were to be forwarded to the adjudicating authority for dispute resolution under Section 130 of the GST Act. The adjudication process was mandated to include a hearing for the petitioner within one month from the date of file submission. The petitioner was instructed to present a copy of the judgment and writ petition to the 1st respondent for further proceedings.