Tvl. SVJ Holdings Vs Additional Commissioner of CGST and Central Excise (Madras High Court)
Summary: The Madras High Court considered two writ petitions challenging the assessment order and penalty order primarily on the ground of jurisdiction. The petitioner relied on Notification No.2/2022 Central Tax dated 11.03.2022, contending that the notification conferred adjudicatory powers on specified officers in relation to notices issued by the DGGI. Since the adjudication was allegedly not carried out by one of the officers listed therein, the petitioner contended that the impugned orders were issued without jurisdiction. The respondents sought time to file their counter. On examining the documents, the High Court noted that the show cause notice had been issued by the DGGI and found that a prima facie case was made out that the assessment and penalty orders had been issued in contravention of Notification No.2/2022. The Court consequently granted an interim stay of the impugned orders until the next hearing date and directed that the matter be listed on 02.09.2026.
Challenge to Assessment and Penalty Orders
In the two writ petitions, the assessment order and penalty order were challenged primarily on the ground of jurisdiction.
Learned counsel for the petitioners referred to Notification No.2/2022 Central Tax dated 11.03.2022 and submitted that an amendment had been effected conferring adjudicatory powers on the officers listed in Table 5 in relation to notices issued by the DGGI.
