Rafiqul Hasan Vs State of West Bengal & Ors. (Calcutta High Court)
Summary: In Rafiqul Hasan Vs State of West Bengal & Ors., the Calcutta High Court considered a challenge to an adjudication order under Section 73 of the GST Act for FY 2018-2019. A show-cause notice in Form GST DRC-01 was served on 19 December 2023, with a reply deadline of 19 January 2024 and personal hearing on 11 January 2024. Although the petitioner’s representative appeared at the hearing, the petitioner subsequently filed his reply on 9 March 2024, which was sent by Speed Post on 11 March 2024. The adjudication order was passed on 20 March 2024, but the Court noted that the order contained both 20 March 2024 and 19 December 2023 as dates, while its annexure was also dated 19 December 2023. The Court therefore found that the respondents may not have considered the petitioner’s reply before passing the order. Referring to Section 75(4), the Court held that if an adverse order was contemplated after receipt of the reply, the petitioner ought to have been given an opportunity of hearing. The Court accordingly granted another personal hearing upon payment of 10% of the disputed tax, in addition to the amounts already recovered and deposited for the appeal, and directed the respondents to pass a fresh adjudicating order within four weeks. The original order would revive if the petitioner failed to cooperate. Principles of Natural Justice & Mandatory Right to Personal Hearing under GST
