Shish Jewels Private Limited Vs Intelligence Officer (Kerala High Court)
Kerala High Court held that there is no provision in Section 130 of the Goods and Services Tax Act which prohibits the interim release of goods which are detained pending finalization of proceedings under Section 130.
Facts- The petitioner is engaged in the wholesale trade of gold, precious metals and ornaments made therefrom to various jewellery shops in different States and is a registered dealer under the provisions of the Goods and Services Tax Act (GST Act). The principal place of business of the petitioner is at Gujarat. The petitioner obtained registration under the GST Act in Kerala and is preparing to start business at Thrissur. According to the petitioner, as part of business, the petitioner deputes Marketing Executives as carriers to exhibit its goods to dealers in different States. Only if the dealers approve the exhibited goods, the petitioner supplies the required ornaments, along with tax invoice. In the case of diamond gold jewellery unlike gold jewellery, the petitioner has also to obtain a certificate from the laboratory certifying the purity of the precious stones. Only upon receipt of the laboratory certificate, the petitioner proceeds to sell the approved diamond gold jewellery along with the certificate and tax invoice. In order to transport the sample ornaments for approval of dealers, the petitioner issues delivery challans in the name of its Marketing Executives in accordance with Rule 55(1) (c) of the Central/State Goods and Services Tax Rules, 2017.
