Proceedings u/s. 130 of GST Act cannot be initiated for excess stock found during survey: Allahabad HC

Vk Electricals Vs Additional Commissioner Grade-2 Appeal-Ii And Another (Allahabad High Court) Allahabad High Court held that in case of excess stock found at the time of survey proceedings u/s. 73/74 of GST Act should be initiated. Accordingly, initiating proceedings u/s. 130 read with rule 120 unsustainable and liable to be quashed. Facts- The petitioner is a registered Company and is engaged in the business of trading of electrical goods. On 14.9.2018, an inspection/search under section 67 of the GST Act was conducted at the business premises of the petitioner by the SIB and the stock was a...