2019 (11) TMI 592 - HC - GST

Detention of goods - Section 129 of the GST Act - detention was on the ground that the validity period of the e-way bill that accompanied the transportation had already expired at the time of detention - HELD THAT - As the detention was on the ground that the validity period of the e-way bill that accompanied the transportation had already expired at the time of detention. Under the said circumstances, the detention cannot be said to be unjustified. It is directed that if the petitioner furnishes a bank guarantee for the tax and penalty amount quantified in Ext.P4 order, then the respondents shall release the consignment and the vehicle to the petitioner.

Summary

Issues:
Detention notice under Section 129 of the GST Act due to expired e-way bill validity.

Analysis:
The petitioner challenged the Ext.P4 detention notice issued under Section 129 of the GST Act, citing an expired e-way bill as the reason for detention. The court noted that the detention was justified under the circumstances of the expired e-way bill. However, considering the petitioner's plea, the court directed that upon furnishing a bank guarantee for the tax and penalty amount specified in Ext.P4 order, the respondents must release the consignment and the vehicle to the petitioner. Subsequently, the respondents were instructed to proceed with the adjudication process under Section 130 of the GST Act after providing notice to the petitioner and following the prescribed procedure. The petitioner was also required to provide a copy of the writ petition along with the judgment to the respondents for further action.