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GST - Highlights / Catch Notes

Home Highlights December 2024 Year 2024 This

Petitioner's demat accounts were attached/frozen despite ceasing ...


Demat accounts frozen despite director resignation, violating natural justice. HC ordered relief, quashed freezing before due process.

December 20, 2024

Case Laws     GST     HC

Petitioner's demat accounts were attached/frozen despite ceasing to be director of company, violating natural justice principles. HC held prima facie petitioner's liability u/s 89 of MGST Act requires compliance with natural justice before attachment/freezing action. Relief granted quashing attachment/freezing of demat accounts, without precluding respondents from proceeding per law, issuing notices u/s 89 MGST Act and adhering to natural justice if action against petitioner proposed. Application disposed.

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