9911796707
|
Home
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (5) TMI 423 - HC - GSTCalling upon debtors of writ applicant to make paument of dues towards the contract - attachment of bank accounts finished goods lying in the godown - HELD THAT - There should not be any difficulty in allowing the writ applicant to supply the finished goods so that the payment towards the same can be received in the bank accounts. However, there is a problem in this regard as today, the GST registration of the writ applicant has already been cancelled. The writ applicant has moved an application for revocation of the order cancelling the registration. No decision has been taken on such application. It will be in the fitness of things if an appropriate decision is taken as regards the application filed by the writ applicant seeking revocation of the cancellation order. Here also, the payment can be secured because ultimately, all the companies referred to above will be crediting the amount in the bank accounts. Statutory wages and dues - HELD THAT - There are larger issues involved in this writ application which may have to be gone into while hearing this matter finally. However, prima facie, some relief is granted to the writ applicant. Mr. Bairagar is required to immediately speak to the authority concerned and try to arrive at some consensus so that an appropriate order can be passed on 02.05.2022 - Post this matter on 02.05.2022.
Issues Involved:
1. Whether the department should inform debtors to start making payments to the writ applicant. 2. Permission for the writ applicant to supply finished goods. 3. Revocation of the GST registration of the writ applicant. 4. Statutory wages and dues. Analysis: Issue 1: Debtors' Payments The court discussed whether the department should instruct the 47 debtors of the writ applicant to commence payments to ensure the funds reach the bank accounts. The court emphasized the importance of securing the amounts from the debtors rather than preventing payments. It was noted that there was no immediate risk of withdrawal or misuse of the funds by the writ applicant. The court sought consensus on this matter to guarantee payments from the debtors. Issue 2: Supply of Finished Goods The court acknowledged that finished goods worth over Rs. 5.0 Cr. belonging to the writ applicant were stored in a godown and were attached. These goods were intended for supply to entities such as Indian Railways and Bharat Heavy Electricals Ltd. The court expressed willingness to allow the writ applicant to deliver the finished goods to receive payments into the bank accounts. However, a challenge arose due to the cancellation of the writ applicant's GST registration, pending a decision on the application for revocation. The court suggested resolving the GST registration issue to facilitate securing payments from the companies. Issue 3: GST Registration Revocation The court highlighted the cancellation of the writ applicant's GST registration and the pending application for revocation. It stressed the importance of making a timely decision on the revocation application to enable the writ applicant to receive payments into the bank accounts from various companies, including Indian Railways and Bharat Heavy Electricals Ltd. Issue 4: Statutory Wages and Dues While acknowledging the presence of broader issues in the writ application requiring detailed examination during the final hearing, the court indicated a preliminary inclination to provide some relief to the writ applicant concerning statutory wages and dues. The court suggested that further discussions and consensus should take place promptly to facilitate issuing an appropriate order on the matter by a specified date. In conclusion, the court directed the concerned authority to engage in immediate discussions to reach a consensus, aiming to pass an appropriate order on the issues raised on 02.05.2022. The matter was scheduled for further consideration on the specified date.
|
