HDB Financial Services Limited Vs State of U.P. and 2 others (Allahabad High Court)
Allahabad High Court dismissed a writ petition filed by HDB Financial Services Limited challenging a penalty of ₹5,40,000 imposed under Section 129(3) of the GST Act. The penalty was levied after authorities detained a vehicle carrying a Pokland Machine, which the petitioner claimed was being transported to its parking yard in Varanasi due to non-payment by the borrower, in accordance with an arbitration award. The petitioner argued that since the goods were merely being shifted to their yard, there was no requirement for an e-way bill, making the penalty unjustified. However, the authorities rejected this claim, leading the petitioner to approach the court.
The court found that the petitioner failed to assert ownership of the goods within the 15-day period following the penalty order. Additionally, the delay in filing the writ petition, along with a lack of substantive engagement, raised doubts about the petitioner’s claims. Given that an alternative remedy was available through an appeal, the court declined to exercise its jurisdiction under Article 226 of the Constitution. The petition was dismissed, with the court advising the petitioner to seek redress through an appeal under the Limitation Act.
FULL TEXT OF THE JUDGMENT/ORDER OF ALLAHABAD HIGH COURT
