2024 (2) TMI 1458 - HC - GST

Levy of penalty u/s 122 read with sections 130, 130(1) and 130(2) of the Odisha Goods and Services Tax Act, 2017 - violation of principle sof natural justice - HELD THAT - Without expressing any opinion on learned Senior Counsel s contention, this writ application is disposed off with liberty to the petitioner to prefer an appeal before the appellate authority. Learned Senior Counsel has vehemently argued that if the appeal is not expeditiously decided there is every likelihood of the goods being disposed of under section 130(7) of the Act which will be to detriment of the appellant s interest and will seriously prejudice his cause. The appellate authority shall ensure expeditious disposal of the petitioner s appeal if it is filed within a week from today. The petitioner shall be at liberty to seek any interim order before the appellate authority during the pendency of the appeal. Petition disposed off.

Summary

Issues:
1. Imposition of penalty and fine under sections 122, 130, 130(1), and 130(2) of the Odisha Goods and Services Tax Act, 2017.
2. Allegation of breach of principles of natural justice in passing the impugned order.
3. Prayer for release of goods and consideration by appellate authority under section 67(6) of the Act.
4. Concern regarding expeditious disposal of appeal to prevent disposal of goods under section 130(7) of the Act.

Analysis:
The judgment pertains to a writ application challenging an order imposing a penalty and fine under sections 122, 130, 130(1), and 130(2) of the Odisha Goods and Services Tax Act, 2017. The petitioner argued that the impugned order required payment of a significant amount in lieu of confiscation of goods, alleging a breach of natural justice and non-compliance with section 130(4) of the Act. The court, while not expressing an opinion on the contentions, disposed of the writ application with liberty for the petitioner to appeal. The petitioner's counsel emphasized the need for expeditious appeal resolution to prevent potential disposal of goods under section 130(7) of the Act, which could prejudice the petitioner's interests.

The court directed the appellate authority to ensure prompt disposal of the petitioner's appeal if filed within a week, allowing the petitioner to seek interim relief during the appeal process. It was clarified that the court did not delve into the merits of the case but emphasized the importance of timely adjudication by the appellate authority. The judgment highlights the significance of procedural fairness and timely resolution in matters involving statutory appeals and potential confiscation of goods under tax laws.

In conclusion, the writ petition was disposed of with the specified observations, emphasizing the need for expeditious handling of the appeal to safeguard the petitioner's interests and prevent any adverse consequences due to potential disposal of goods under the relevant provisions of the Odisha Goods and Services Tax Act, 2017.