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TMI Blog2019 (2) TMI 247X X X X Extracts X X X X X X X X Extracts X X X X ..... ion to the respondent to forthwith allow provisional release of the goods seized under the seizure memos dated 11/12.1.2018 and 14/15.3.2018. 3. At the outset, Mr. Hardik Modh, learned advocate for the petitioner submits that he is pressing this petition only for the prayer for provisional release of the goods and does not press for any other relief at this stage. 4. The petitioner herein is engaged in the manufacture of jewellery from gold, diamond and precious metals on its own account as well as on job work basis and claims to be having substantial income from job work. Search came to be carried out at the factory premises of the petitioner on 11.1.2018 under section 67 (2) of the Central Goods and Service Tax Act, 2017 (hereinafter re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ted 14/15.3.2018. Vide letter dated 13.3.2018, the petitioner requested the respondents to release the goods as they had paid GST at the appropriate rate under the Act along with penalty. 8. Thereafter, the petitioner furnished various documents from time to time and vide letter dated 29.5.2018 provided the reasons as to why the goods were not required to be seized, inter alia, stating that the petitioner being a job worker was not responsible for payment of GST on the value of supply of goods and that it was liable to pay GST only on job work charges. 9. Vide letter dated 19.6.2018, the competent authority extended the period of seizure in terms of section 67 (7) of the CGST Act for a further period of six months. Since the respondents f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... approximately Rs. 70 lakhs. It was submitted that since the goods are still lying with the respondent no interest would be payable thereon. It was submitted that the petitioner having already paid Rs. 14,16,868/- and having reversed credit of Rs. 7,90,793/-, the respondents may be directed to provisionally release the seized goods upon the petitioner furnishing a bank guarantee of Rs. 50 lakhs. 11. On the other hand, Mr. Nirzar Desai, learned Senior Standing Counsel for the respondent submitted that, in terms of the show cause notice, the total proposed demand comes to around Rs. 13 crores, and, hence, the relief claimed in the petition may not be granted and, if the Court is inclined to grant the relief as prayed for, the petitioner may ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eversed credit of SGST to the tune of Rs. 7,90,793/-, which comes to approximately Rs. 22 lakhs. Under the circumstances, if the petitioner furnishes bank guarantee of Rs. 50 lakhs and a bond for the value of the goods in FORM GST INS-04, the interest of justice would be served. 14. In the light of the above discussion, without entering into the merits of the controversy, the petition is partly allowed in the following terms. 14.1 The respondents No.2 and 3 are directed to forthwith provisionally release the seized goods of the petitioner under sub-section (6) of section 67 of the CGST Act, upon the petitioner executing a bond in FORM GST INS-04 for the total value of the seized goods, and furnishing a bank guarantee of Rs. 50 lakhs. 15. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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