Gopal Enterprises Vs Chief Commissioner of Commercial Tax and GST (Orissa High Court)
The petitioner, being the consignor and owner of goods, supplied “Areca Nut Chura (Dust)” weighing 27,550 kg valued at ₹60,74,775 to a consignee in Patna. The goods were dispatched on 20 January 2026 through a transporter. While the tax invoice was prepared, the consignment was transported without an e-way bill due to technical glitches and miscommunication between the petitioner and the transporter. The petitioner relied on its accountant for compliance-related requirements and was unable to generate the e-way bill in time.
During transit, the vehicle carrying the goods was detained by the authorities on 23 January 2026. It was alleged that the driver failed to produce documents such as the invoice and e-way bill at the time of inspection. Subsequently, an order dated 30 January 2026 was passed under Section 129(1)(b) of the Odisha Goods and Services Tax Act, 2017, imposing a penalty equivalent to 100% of the value of the goods. The value of the goods was determined by the authorities at ₹1,10,20,000. The penalty order was issued in the name of the driver, as the owner did not come forward at that stage.
The petitioner became aware of the detention and penalty only on 5 February 2026 through communication from the consignee and transporter. Upon obtaining the order, the petitioner challenged the action, contending that it was the owner of the goods and was available, and that the authorities were aware of its identity. It was argued that despite this, no notice was issued to the petitioner before detaining the goods and imposing penalty, thereby violating principles of natural justice.
