Rajlaxmi Constructions Ltd Vs Union of India And Others (Orissa High Court)
Summary: The Orissa High Court at Cuttack considered a writ petition filed by M/s Rajlaxmi Constructions Ltd. challenging a Show Cause Notice in Form GST DRC-01 bearing Reference No. ZD2105240238281 dated 28.05.2024 issued under Section 74(1) of the Central Goods and Services Tax Act, 2017 and the Odisha Goods and Services Tax Act, 2017, together with the consequential Order-in-Original dated 16.03.2026 and Summary of Order in Form GST DRC-07 bearing Reference No. ZD2103260110670. The proceedings concerned tax periods April 2019 to March 2020 and raised a total demand of Rs.28,80,95,516/-. The petitioner invoked the extraordinary jurisdiction of the High Court under Articles 226 and 227 of the Constitution of India.
The petitioner contended that the Summary Show Cause Notice dated 28.05.2024 had been issued by the Deputy Commissioner of State Tax, CT&GST Circle, Kendrapada, initiating proceedings under Section 74 of the CGST Act, 2017, based on WAMIS data without taking note of the facts and figures disclosed in the returns. According to the petitioner, the adjudication order was subsequently passed on 16.03.2026 by the Assistant Commissioner of State Tax, CT&GST Circle, Kendrapada, and such course was untenable because the authority which initiated the proceeding could not have had it completed by an authority of a lower rank.
