Whether ongoing audit can be transferred: Delhi HC to examine

Siemens Healthcare Pvt Ltd Vs Union of India & Ors. (Delhi High Court)

Writ petition was filed due to reason that ongoing audit was transferred to Anti-evasion wing of CGST Commissionerate and a show cause notice was also issued by Anti-evasion Wing. No such power were conferred by the statute.

Time was granted to respondent i.e. Union of India to sustain the transfer who did not made any submission. Hence, stay was granted to SCN issued by Anti-evasion wing of CGST Commissionerate.

FULL TEXT OF THE JUDGMENT/ORDER OF DELHI HIGH COURT

Allowed, subject to all just exceptions.

The application is disposed of.

W.P.(C) 16562/2024 & CM APPL. 70043/2024 (Stay)

1. We take note of the challenge which stands raised in the writ petition with Mr. Raichandani, learned counsel appearing for the writ petitioner, pointing out that the audit was being undertaken by respondent no. 4. Thereafter, in terms of a letter dated 26 February 2024, the said respondent appears to have transferred the ongoing proceedings to the Anti-Evasion Wing of the Central Goods and Services Tax Commissionerate i.e. respondent no. 3.

2. According to learned counsel, the statute confers no such power of transfer upon the fourth respondent.

3. In order to allow learned counsels for the respondents to obtain instructions and address submissions in the aforesaid light, let the matter be called again on 04.12.2024.

1. Although, we had granted time to the respondents to obtain instructions and address submissions in light of the challenge which stands raised, presently, learned counsel for the respondent, is unable to sustain the transfer of ongoing proceedings to the Anti-Evasion Wing.

2. We had in our order of 02 December 2024 taken note of the submission of Mr. Ramchandani, who had submitted that the fourth respondent stands conferred with no authority or jurisdiction to order such a transfer.

3. Consequently, we issue notice on the writ petition. Let the respondents file a reply within a period of three weeks from today. The petitioner shall have two weeks therefrom to file a rejoinder affidavit.

4. In the meanwhile, we restrain respondent no. 3 from taking further proceedings pursuant to the impugned Show Cause Notice dated 02 August 2024.

5. This order, however, shall be without prejudice to any further proceedings that the fourth respondent may choose to pursue.

6. List again on 17.01.2025.