2022 (11) TMI 83 - HC - GST

Seizure of goods alongwith vehicle - notices under Section 129 of Central GST Act, 2017 were issued - HELD THAT - No useful purpose will be served for delineating the substantial issue of law as the issue is academic at this point of time, as the goods have already been released. However, it is made clear that since the appeal is filed before the Appellate Commissioner together with mandatory pre-deposit as contemplated under section 107 of the Central GST Act, 2022, we leave all the issues open to be canvassed before the Appellate Tribunal. Appeal dismissed.

Summary

Issues:
Challenge to order in W.P.No. 18753/2022 | Interpretation of powers of ITAT | Maintainability of appeal in Appeal No. 396/2022 | Academic nature of writ appeal

Challenge to order in W.P.No. 18753/2022:
The appellant, a Logistic Service Provider and Transporter, challenged the order in W.P.No. 18753/2022 dated 25.08.2022, where the learned single Judge disposed of two other writ petitions along with the appellant's appeal. The appellant's vehicle, transporting goods for M/s. Panasonic Carbon Pvt. Ltd., was intercepted at Redhills, Tamilnadu, resulting in the seizure of the consignment meant for Eveready Industries India Ltd., Assam. Notices under Section 129 of Central GST Act, 2017 were issued, leading to the appellant filing W.P.No.18753 of 2022, which was dismissed by the learned single Judge.

Interpretation of powers of ITAT:
The judgment highlighted that the ITAT, while not a Court, exercises judicial powers with wide amplitude, including the power to grant stay incidental to its appellate jurisdiction. The conclusion emphasized that the Tribunal must be recognized as having the power to grant stay, a principle deemed applicable to the current scenario.

Maintainability of appeal in Appeal No. 396/2022:
The appellant, aggrieved by the final detention order issued on 19.07.2022, filed a statutory appeal before the Appellate Commissioner in Appeal No. 396/2022 after making a mandatory pre-deposit of 25% as per amended Section 107. Concerns were raised regarding the maintainability of the appeal due to observations in the impugned order potentially affecting the appeal's validity. Despite the release of goods and the lorry during the proceedings, the appellant pursued the appeal.

Academic nature of writ appeal:
The respondent contended that the writ appeal, filed by a Logistic Company, was academic and should be dismissed. It was argued that the appellant's interest was limited to the vehicle used for transport, thus lacking standing to advocate for the consignor or consignee. The court, after considering arguments from both sides, deemed the issue academic as the goods had been released, but clarified that all issues could be raised before the Appellate Tribunal. Consequently, the Writ Appeal was dismissed without costs, and the connected miscellaneous petition was closed.