2024 (5) TMI 244 - HC - GST

Violation of principles of natural justice - cancellation of registration of the petitioner four times without assigning any reason - for the fifth time also, neither the SCN nor the order of cancellation of registration contained any reason whatsoever except the standard reason of misrepresentation and fraud committed by the petitioner - HELD THAT - The impugned order of cancellation of registration dated 24.02.2021 is hereby quashed and set aside and the matter is remitted back to the respondent no.2- Assistant Commissioner of State Tax, Ghatak- 75 (Bhavnagar) for issuance of a fresh show- cause notice with detailed reasons for cancellation of registration of the petitioner and proceed with such show-cause notice in accordance with law. Petition disposed off by way of remand.

Summary

Issues involved:
The petition involves challenging multiple orders related to the cancellation of registration and rejection of applications, seeking writs of Mandamus and Certiorari, and requesting a stay on the implementation of the orders.

Cancellation of Registration:
The petitioner challenged the cancellation of registration orders passed without providing any reasons. The respondent authorities revoked the registration multiple times without justification. The petitioner argued that the orders lacked any specific reasons beyond generic allegations of misrepresentation and fraud. In response, the respondent authorities agreed to issue a fresh show-cause notice with detailed reasons within a week, allowing the petitioner to respond and have a hearing before a new decision is made.

Court Decision:
The High Court quashed and set aside the cancellation order dated 24.02.2021 and remitted the matter back to the Assistant Commissioner of State Tax for issuing a fresh show-cause notice with detailed reasons. The registration remains suspended until a new decision is made after considering the petitioner's reply and providing a hearing. The Assistant Commissioner was directed to issue the show-cause notice within a week, the petitioner to respond by a specified date, and a hearing to be granted within another week. The final order is expected by 29.02.2024, with the case set to be reviewed on 6th March 2024. It was clarified that the Court did not delve into the merits of the case, emphasizing that the new decision should be independent of the arguments presented in the petition.